Does car insurance cover flood damage?

Flooding can happen nearly anywhere. In fact, 99% of U.S. counties have experienced at least one flood event since 1996, according to FEMA. If your vehicle is damaged or destroyed in a flood – whether that flooding is spawned by a storm like Tropical Storm Rafael or by a swollen springtime river like the Mississippi – it should be covered by your car insurance policy, but only if you have comprehensive coverage.

Key highlights

• Flood damage repair expenses will be covered by the comprehensive coverage portion of your insurance policy.
• You’ll usually have to pay a deductible, and the claim will only be covered up to your car’s actual cash value.
• Your claim may be denied if the flood damage was caused by improper maintenance or owner negligence, such as leaving the windows open.

What part of auto insurance covers flood damage?

Most drivers are required to have liability insurance, which covers injuries and property damage you cause in an accident. But liabilty car insurance won't cover you in the event of flooding. For that, you will need an additional kind of coverage.

“Your auto policy will most likely cover flood damage if your automobile has comprehensive [insurance], which is also called ‘other than collision’ coverage,” says Hanna Ogle, executive vice president of personal lines for Watkins Insurance Group in Austin, Texas.

“Check the declaration page on your insurance policy and look for a deductible and/or premium charge for comprehensive or ‘other than collision’ coverage,” she says.

In addition to flood damage, comprehensive car insurance provides other non-collision-related protections.

“Comprehensive usually covers damage from falling objects, weather events like hail and hurricanes, theft and vandalism, fire and explosions or hitting an animal,” says Sean Serafin, Phoenix-based vice president of catastrophe claims for USAA insurance.

How does comprehensive insurance cover flood damage?

Unlike liability insurance, which covers you up to a certain dollar amount, comprehensive car insurance coverage is limited to how much your vehicle is worth currently. This is called the actual cash value (ACV), and in some cases it can be significantly less than what you still owe on your loan or lease.

“In the event of a total loss, the insured damage would be limited to the cost to repair the damage or the actual cash value – whichever is lower,” says Rick Gorvett, professor of mathematics and actuarial science at Bryant University in Smithfield, Rhode Island.

If you file a car insurance claim for flood damage, an insurance adjuster will need to evaluate your vehicle to determine whether it can be repaired or if it is a total loss. If it's deemed a total loss, your car can be replaced, or you will be reimbursed for its ACV.

“Filing a claim for flood damage to your car is the same process as if you had an auto accident. Call your agency or the carrier and let them know what happened, when and where,” says Michael Silverman, founder and president of Silver Lining Insurance Agency in New York City.

If you have an outstanding loan or lease on that vehicle, you will be responsible for any shortfall between what you still owe and the amount that your insurer pays to your lender, which can run into the thousands of dollars. To avoid this financial pitfall, your lender will probably require you to purchase gap insurance, which would cover the gap between your outstanding debt and the settlement payment.

Is there a deductible for flood damage?

A deductible is the amount of money that you are responsible for paying before your auto insurance policy kicks in. It’s important to note that this deductible is on a per-incident basis, meaning you will have to pay it every time you file a claim.

Comprehensive deductibles often range from $250 to $1,000, with $500 being the most common amount. But remember, the lower your deductible, the most costly your insurance rate will be.

“Choosing a lower deductible means you will pay less toward a covered claim, but you may pay a higher premium for your policy,” Serafin says.

Can I add flood coverage to my existing car insurance policy?

You can add comprehensive coverage to your existing auto insurance policy if you don’t already have it, Ogle says. If you choose this coverage, expect your premium cost to increase. The additional cost associated with adding comprehensive coverage will generally be prorated through the remainder of your policy term.

Comprehensive insurance costs about $422 dollars a year with a $500 deductible. That rate is based on data from CarInsurance.com, using a hypothetical single, 40-year-old driver with a clean record and good credit who owns a Honda Accord.

Bear in mind that car insurance does not provide coverage retroactively, nor can you add or change coverages immediately before or during a flooding event.

“The coverage needs to be in place before the loss for the claim to be covered,” says Ogle. “Insurance companies will place a binding moratorium when there is a potential or active flood event, such as a hurricane or tropical storm” and suspend policy sales temporarily.

How do I file an insurance claim if my car is damaged by a flood?

If your car has been damaged by a flood or other severe weather event, here’s what you’ll need to do:

1. Contact your agent or insurance carrier right away. Your agent should be able to file a claim on your behalf.
2. Provide the time, date, location and a detailed description of the incident. Be ready to answer questions about the event and the extent of the damage.
3. Take photos and videos of the damage to supplement your claim.
4. Follow instructions to complete and submit an official claim form, if required.
5. Get an estimate. An insurance adjuster will visit to inspect your car, obtain repair estimates and communicate with you and your carrier about what happens next.

If you have a local insurance agent or broker that manages your policy, reach out to them first. But if you purchased your policy online, you’ll need to file the claim directly with the carrier.

“You can call, go online or use a mobile app to contact your insurance company,” says Janet Ruiz, director of strategic communication for the Insurance Information Institute (Triple-I), an industry research and education organization.

Why was my insurance claim for flood damage denied?

If you have comprehensive coverage, your claim for flood damage should be covered. However, “comprehensive may not cover flood losses to your vehicle in the event of a lack of maintenance of the car or negligence on the part of the insured,” Gorvett says.

Scenarios in which your claim could be denied include:

• Gradual water damage resulting from poor car maintenance
• Leaving your windows open during a severe storm, causing damage to the interior
• Claiming damages for something your policy excludes, such as an after-market car audio system.

Remember: You will be responsible for the full cost of repairing your vehicle if you lack comprehensive coverage. Bear in mind, too, that your homeowners or renters insurance policy will not cover damage to motor vehicles.

Frequently asked questions

How can I prevent flood damage to my car?

The experts we spoke with all recommend the following steps to prevent your vehicle from being damaged or destroyed by flooding:

• Keep your vehicle well maintained to prevent long-term weather damage.
• Be aware of weather and other environmental conditions ahead of time.
• Securely shut all windows when parked.
• Park in protected areas whenever possible.
• Avoid driving in standing water or large puddles.
• Move your vehicle to higher ground if there is a risk of flood, and avoid areas subject to flooding like underpasses, dips and canyons.

Will my car insurance rate go up after a flood damage claim?

Potentially, any car insurance claim can increase your rates, either on your current policy or when it comes time for renewal. When in doubt, ask your insurance agent if filing a flood damage claim will cause your rates to rise.

How do I document flood damage to my car?

To properly document flood damage to your vehicle, follow these tips:

• Take photos and videos of the interior and exterior of your vehicle.
• Document the relevant meteorological and environmental conditions that affected your vehicle, including weather and news reports.
• Contact your agent or carrier. Report the event and ask what evidence they need to file and substantiate a claim.
• Have your car evaluated by your auto insurance adjuster and verify the damage.
• Be sure your vehicle is seen and inspected by your insurance company before having it repaired.

Methodology

Editors collected rate information from auto insurance comparison site CarInsurance.com for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with a good insurance score and no violations on their record for full coverage insurance policy with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

In addition, we also calculated rates for these hypothetical drivers, but with one or more of the following on their record: speeding ticket, at-fault accident, DUI/DWI, poor credit history, or a lapse in coverage.

We analyzed more than 53 million quotes, over 34,000 ZIP codes, and 170 insurance companies nationwide.

Note: 100/300/100 means up to $100,000 for the medical bills of those you injure, up to $300,000 per accident for bodily injury liability for all persons injured in one accident, and $100,000 to repair other drivers’ cars and property you damage.