90% of all natural disasters have some form of flooding.
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25% of homes with flood claims each year are in low risk zones.
Collapse or subsidence of land and the insured house, along a shore of a body of water caused by waves or currents of water are considered a flood and are covered by this policy.
Private insurance companies and the federal government recognized that their association would improve the overall success of the program. Accordingly, insurance companies administer the program, but the federal government funds the insurance.