flood typically being confined to a few areas. As a result, it is an unacceptable risk due to the inability to spread the risk to a wide enough population in order to absorb the potential catastrophic nature of the hazard. In response to this, the federal government created the National Flood Insurance Program (NFIP) in 1968. The National Association of Insurance Commissioners (NAIC) found that 33 percent of U.S. heads of household still hold the false belief that flood damage is covered by a standard homeowners policy. FEMA states that approximately 50% of low flood zone risk borrowers think they are ineligible and cannot buy flood insurance. Anyone residing in a community participating in the NFIP can buy flood insurance, even renters. However, unless one lives in a designated floodplain and is required under the terms of a mortgage to purchase flood insurance, flood insurance does not go into effect until 30 days after the policy is first purchased. Individuals who are eligible and who have mortgages on their homes are required by law to purchase a separate flood insurance policy through a private primary flood insurance company or through an insurance company that acts as a distributor for the NFIP. Flood insurance may be available for residents of approximately 19,000 communities nationwide through the NFIP. Flood insurance may be available through private primary flood insurance carriers in any of the 19,000 communities participating in the NFIP as well as other communities that are not participating in the NFIP. In March 2016, TypTap Insurance became the first private market, admitted carrier in the state of Florida to offer non NFIP flood coverage to policyholders. After 2017 Hurricane Harvey, estimates of houses covered by flood insurance in the Texas resulting in over $30bn in property losses with only 40% of homes covered by flood insurance. In the United Kingdom Usually, the British insurers require from clients living in Flood Risk Areas to flood-proof their homes or face much higher premiums and excesses (American English: deductible). In Canada Historically, due to the rarity of flooding in Canada, it was the only Group of Eight member state not to offer some form of flood insurance. Partly in reaction to the 2013 Alberta floods, flood water protection offerings have been introduced as overland water protection or overland flood insurance. References Insurance