NFIP Named Insured

Definition

What defines a “named insured” on an NFIP flood insurance policy?

In the context of the National Flood Insurance Program (NFIP), an "insured" refers to any property owner, renter, or business owner who has purchased a flood insurance policy through the NFIP Direct or a Write Your Own Company, allowing them to have coverage for flood damage to their building and contents if a flood occurs in their participating community; essentially, anyone who holds an active NFIP insurance policy.

In the case that coverage is purchased by the renter or leasee as part of the rental or lease agreement, the name of the renter or leasee AND the name of the building owner must both be shown as named insureds on the declarations page and will both be listed on the claims check should a loss be incurred. In this situation, the renter or leasee should purchase a separate policy to insure their contents.

Co-insured

What defines a “co-insured” on an NFIP flood policy?

A "co-insured" on an NFIP flood policy refers to another party who is also listed as an insured on the policy, sharing the coverage and responsibility for claims with the primary insured; essentially, it's another individual or entity that has an insurable interest in the property is covered under the same flood insurance policy.

This might include a spouse, business partner, or co-owner of a property who is also named on the flood insurance policy.

If a claim is filed, the insurance payout will be divided among all listed co-insureds based on their ownership interest in the property.

Additional Interest

What is the difference between an Additional Interest and an Additional Insured on an NFIP insurance policy?

The main difference between additional interest and additional insured involves how the insurance company views those listed. In the case of an additional interest, they are not considered as insured and receive no direct financial benefits. Therefore, they cannot file claims or collect payouts.

This page contains information about the NFIP. Find more NFIP Resources.