Flood Insurance and Preparedness in the Village of Estero

The Village of Estero is surrounded by rivers, bays, and wetlands, which means that flooding can occur anywhere — not just in designated flood zones. Heavy rainfall, tropical storms, hurricanes, and storm surge can all contribute to flooding that may damage homes, businesses, and infrastructure.

Understanding your flood risk and securing appropriate flood insurance are among the most important steps you can take to protect your property and financial security.

Flood Insurance Eligibility

Residents, business owners, and renters in the Village of Estero are eligible to purchase flood insurance because the Village participates in the National Flood Insurance Program (NFIP).

In addition, Estero participates in the Community Rating System (CRS), a voluntary FEMA program that recognizes communities for implementing higher floodplain management standards. This participation qualifies Estero property owners for discounted flood insurance premiums.

➡️ Learn more about the Community Rating System

Why Flood Insurance Matters

Most standard homeowners’ insurance policies do not cover flood damage. Without flood insurance, property owners are responsible for the full cost of repairs and replacement. Just one inch of water inside a home can cause tens of thousands of dollars in damage.

Flood insurance helps you recover more quickly after a disaster and provides peace of mind year-round.

Federal Requirements and Flood Zones

Federal law requires flood insurance for buildings located within a FEMA-designated Special Flood Hazard Area (SFHA) if the property is financed through a federally regulated or insured lender.

Even if your property is outside an SFHA, you are still at risk. Nearly 25% of flood insurance claims come from properties in low- to moderate-risk areas.

You can view your property’s current flood zone by visiting the Village of Estero or the FEMA Flood Map Service Center.

Coverage Waiting Period

Flood insurance policies include a 30-day waiting period before coverage takes effect. You cannot purchase coverage immediately before a storm and expect protection. Plan ahead and purchase a policy well before hurricane season or heavy rain events.

Coverage Options and Premiums

Flood insurance is available through the National Flood Insurance Program (NFIP), which is administered by FEMA and backed by the U.S. government. Policies can be purchased through most licensed insurance agents.

Coverage options include:

  • Building Coverage: Protects the physical structure, foundation, electrical, plumbing, HVAC, and built-in appliances.
  • Contents Coverage: Protects personal belongings such as furniture, clothing, and electronics.
  • Combined Coverage: Provides protection for both the building and its contents.

Premiums are based on factors such as:

  • Building elevation and flood zone designation
  • Type of construction and foundation
  • Location of utilities and mechanical systems
  • Age and occupancy of the structure

Your insurance agent can review an Elevation Certificate or use FEMA’s Risk Rating 2.0 system to determine your property’s premium.

For Condominium and Rental Residents

Flood insurance is strongly recommended—even if you live on an upper floor. Flooding that damages the ground level, parking areas, or critical building systems can render the entire property uninhabitable, requiring residents to relocate during repairs.

Renters have the option to purchase contents-only flood insurance policies to protect their personal belongings. In addition, condominium associations can obtain master flood policies that cover shared areas and the building’s structural components.

Flood Insurance Claims

Before a Flood

Preparation before a flood can help you recover more quickly and ensure a smoother claims process.

Recommended steps:

  • Keep an up-to-date inventory of household items and valuable belongings.
  • Take photos and videos of your property’s interior, exterior, appliances, and fixtures.
  • If you have contents coverage, document personal items inside closets, cabinets, and storage spaces.
  • Keep fabric samples (e.g., carpet, wallpaper, upholstery) to verify material quality.
  • Maintain the following flood insurance policy details:
    • Your agent’s name and company
    • Your flood insurance policy number
    • Your Policy Declarations Page (if available)
    • The name of your mortgage company, if applicable
    • Contact information for your insurance agent after a disaster
  • Take reasonable flood loss avoidance measures, such as elevating utilities or moving valuables to higher ground.

After a Flood

If your property is damaged by floodwaters:

  • Take photos or videos of all damage before removing debris or moving belongings.
  • Make a detailed list of damaged items.
  • File your insurance claim promptly with your insurance agent or carrier — time limits apply.
  • Do not sign an Assignment of Benefits (AOB). In Florida, certain repair vendors may pressure homeowners to sign away policy rights, leading to inflated claims and lawsuits that increase insurance costs for everyone. Always work directly with your insurance company or licensed adjuster.

Registering for Federal Disaster Assistance

If a Presidential Disaster Declaration is issued, NFIP policyholders may also qualify for federal disaster assistance.

For eligible individuals, FEMA assistance may help with expenses not covered by flood insurance, such as:

  • Temporary housing
  • Home repairs
  • Other disaster-related needs

Because most homeowners’ policies include limited coverage for temporary housing, you may need a denial letter from your insurer when applying for FEMA assistance.

How to register:

  • Visit DisasterAssistance.gov (fastest method)
  • Call 800-621-3362 if you do not have internet access
  • Visit a local Disaster Recovery Center (DRC) for in-person support

Once registered, eligible individuals may receive assistance for temporary housing, home repairs, and other essential needs.

Increased Cost of Compliance (ICC) Coverage

What Is ICC Coverage?

Increased Cost of Compliance (ICC) coverage is included in most National Flood Insurance Program (NFIP) flood insurance policies. It provides additional financial assistance to help property owners bring their structures into compliance with current floodplain regulations after a flood.

ICC funding is only available when your local floodplain administrator determines that your structure is Substantially Damaged or meets Repetitive Loss criteria.

When ICC Coverage Applies

ICC becomes available if:

  • Your home or business is Substantially Damaged, meaning the cost to repair is 50% or more of the structure’s market value, or
  • Your structure qualifies as a Repetitive Loss property under NFIP guidelines.

These determinations ensure that damaged buildings are rebuilt safely to reduce future flood risks.

What ICC Can Help Pay For

ICC can provide up to $30,000 toward required flood mitigation measures, such as:

  • Elevation: Raising the structure to meet or exceed local flood elevation standards.
  • Floodproofing (non-residential only): Making the structure watertight to prevent flood intrusion.
  • Relocation: Moving the structure to a safer, compliant location on the same property.
  • Demolition: Removing a severely damaged or non-compliant structure.

These measures help protect the property from future flood losses and may reduce long-term flood insurance costs.

Filing an ICC Claim

To receive ICC benefits, you must meet the following requirements:

  • File your ICC claim within 60 days of receiving your Substantial Damage determination letter.
  • Complete your mitigation project within 6 years of the date of loss.
  • Provide required documents, including contractor estimates and proof of completion.
  • Work with your insurer and local floodplain administrator throughout the process.

ICC payments are made in addition to your standard flood insurance claim, but the combined total cannot exceed your policy’s maximum coverage.

Flood Risk Reduction and Preparedness

In addition to purchasing flood insurance, property owners are encouraged to take steps to reduce flood risk:

  • Elevate electrical systems, HVAC units, and appliances above flood levels.
  • Install flood vents or barriers in enclosed spaces.
  • Maintain gutters, drains, and stormwater systems.
  • Create an emergency plan and keep important documents in a waterproof container.
  • Register for local emergency alerts from the Village of Estero and Lee County Emergency Management.

How the ICC Process Works

  1. The Village of Estero issues a Substantial Damage determination.
  2. You notify your flood insurance carrier and submit an ICC claim.
  3. You consult with the floodplain administrator to choose an approved mitigation method.
  4. You submit contractor estimates and required documentation to your insurer.
  5. After work is completed, you submit final documentation for ICC payment.

Why ICC Coverage Is Important

ICC helps ensure that homes and businesses are repaired or rebuilt in ways that reduce future flood damage. By supporting mitigation, ICC also helps communities remain eligible for the National Flood Insurance Program and maintain access to federal disaster assistance.

Additional Resources