Flood Insurance vs. Disaster Assistance
- Most forms of federal disaster assistance are only offered if the President declares a major disaster.
- 90 percent of all disasters are not declared by the President.
- The Federal Emergency Management Agency (FEMA) individual and family grant program (for personal property) and temporary housing program (for home repair and rental assistance) are available only if the President declares a major disaster.
- The most typical form of federal disaster assistance is a loan that must be paid back with interest.
- The average individual and family grant is less than $2,500.
- To qualify for home repair assistance, your home must have relatively minor damages that can be repaired quickly. No rental assistance is available unless your home has been destroyed or significantly damaged.
- The average loan duration and payment of a Small Business Administration disaster home loan is 18.5 years and $3,140 per month.
- Floods are the most common natural disaster. 80 percent of all disasters declared by the President involve floods.
- Buildings in flood hazard areas have a 26 percent chance of being flooded during the life of a 30-year mortgage.
- Homeowners, business owners, and renters can all purchase flood insurance as long as their community participates in the NFIP. Flood insurance claims are paid even if a disaster is not declared by the President.
- When you carry a flood insurance policy and file a flood insurance claim, you usually can get a partial payment immediately.
- Flood insurance reimburses you for all covered losses. Disaster aid is limited to replacing essential items only. Homeowners can get up to $250,000 of coverage and businesses can get up to $500,000. Separate contents coverage is also available.
- Maintaining a flood insurance policy is one of the most important things you can do to protect yourself and reduce the cost of flood disasters.
Arkansas Disaster History
Apply for Disaster Assistance
Public Assistance Grant Program
Apply for Flood Insurance