Hiscox FloodPlus: Private Flood Insurance Coverage Explained

Hiscox FloodPlus is a private flood insurance product written through Lloyd’s of London syndicates and placed by appointed agents rather than sold direct. It is one of the programs we quote against the NFIP, and on the right home it wins for a specific, structural reason: it is not bound by the federal program’s rules. Here is what that actually changes, and where it does not help.

That is not a theoretical preference. Across the California policies we bound in 2025–2026 where at least two markets returned a quote, a Hiscox program came in cheapest about 38% of the time — more than any other single market we shop, though still well short of a majority. That is the whole argument for quoting all of them rather than defaulting to one: see our cost breakdown by flood zone for what that actually costs.

What is Hiscox FloodPlus?

FloodPlus is a standalone private flood policy — not an add-on to a homeowners policy, and not an NFIP policy sold by a private company. Hiscox is a Lloyd’s insurer, and FloodPlus is underwritten on Lloyd’s paper, which is why it can be written on terms the National Flood Insurance Program cannot offer.

The distinction matters more than it sounds. Many “private” flood policies are actually NFIP policies distributed by a Write Your Own carrier — same federal form, same limits, same exclusions, just a different name on the bill. FloodPlus is genuinely a different contract. Private flood versus the NFIP goes through the general comparison; this page is about this program.

What does FloodPlus cover that an NFIP policy does not?

Four differences do most of the work:

1. Building limits above the federal cap

The NFIP’s residential building limit is $250,000, and it is statutory — no underwriter can raise it, because Congress sets it. Any home that costs more than that to rebuild is underinsured by construction under a federal policy. Private markets including FloodPlus write well above the federal cap. In our own California book only about one property in fourteen actually needs a building limit above $250,000 — but when it does, the gap is stark: the largest limit we have placed is $1.2 million, nearly five times what a federal policy could have carried. If your rebuild cost runs past what a single policy will carry, excess flood insurance layers on top.

2. Loss of use, included rather than offered

The NFIP covers no loss of use, no additional living expenses and no temporary housing, at any price, on any policy. If a flood makes your home uninhabitable, a federal policy pays nothing toward the hotel or the rental while it is repaired.

This is where FloodPlus differs in a way worth understanding, because we can see it in our own book rather than having to take a brochure’s word for it. Across the FloodPlus policies this agency has placed, every single one carried a loss of use limit — and the limits were spread across many different values rather than clustered on one, because the program calculates the limit as a share of the building limit instead of offering a flat optional amount. The limit scales with the house.

Compare that with programs where loss of use is an optional box on the quote screen. In those, the limit is a single flat figure, and roughly seven in ten policies we place through them carry no loss of use at all — not because the buyer weighed it and declined, but because nobody ticked the box and the cheaper number won. Loss of use coverage in flood insurance covers what displacement actually costs and why the gap is the largest uninsured number in a flood.

3. Replacement cost where the NFIP pays depreciated value

NFIP contents coverage is settled at actual cash value — depreciation comes off. Ten-year-old furniture is paid as ten-year-old furniture. Private policies commonly settle contents on a replacement-cost basis instead, which on a whole household of belongings is a larger difference than most people expect.

4. A shorter wait before cover starts

An NFIP policy generally will not pay for a flood in the first 30 days. Private flood programs, FloodPlus included, typically start far sooner. If a storm is forecast, a lender is holding a closing, or you have just discovered the zone your house is in, thirty days is the difference between insured and not.

One caution, and we would rather give it than have you rely on a number we cannot stand behind. Specific FloodPlus limits, sub-limits and waiting periods are set by the program and change. We are deliberately not publishing a table of them here, because a figure that was accurate two years ago and is quoted as current is worse than no figure. We confirm the actual limits on your quote, in writing, before you buy — and that is the number to make a decision on.

Do you need an elevation certificate?

Usually not, and this is one of the most practical advantages of private flood. NFIP rating for many buildings has historically depended on an elevation certificate, which means paying a surveyor and waiting. Private programs generally underwrite from their own data and do not require one to quote.

For a homeowner who has just been told they are in a high-risk zone and needs a number this week, that alone often decides which market they end up in.

Will my lender accept a FloodPlus policy?

Yes, and this is settled law rather than a matter of persuasion. Five federal regulators issued a joint final rule effective 1 July 2019, implementing the private flood provisions of the Biggert-Waters Act, which requires regulated lending institutions to accept a private flood policy that meets the statutory definition of private flood insurance.

There is also a compliance aid built into the rule: a lender may conclude a policy qualifies without reviewing it further if the policy or an endorsement carries a statement that it meets the definition in 42 U.S.C. 4012a(b)(7) and the corresponding regulation. Every private flood policy we place carries that statement.

Two honest limits on that, because the rule’s own preamble sets them: the statement is not mandatory for an insurer to print, and a lender may not reject a policy solely because it is missing — but a lender may also choose not to rely on it and make its own determination anyway. So it removes the friction; it does not forbid a lender from looking. In practice it turns a stalled closing into a five-minute phone call.

Hiscox FloodPlus reviews — the honest assessment

People searching for reviews of a flood program usually want to know one thing: will it be there when I claim, and is there a catch. As an agency that places this program and others alongside it, here is the straight version.

What it is good at. Homes above the federal cap. Homes where displacement would be expensive and loss of use matters. Buyers who need cover to start quickly. Properties an NFIP quote prices badly. And it is Lloyd’s paper, which is a meaningful answer to the security question.

Where it is the wrong answer, and this is the important one. Private and Lloyd’s markets underwrite on appetite, not on a track record of losses, and they typically non-renew a policy after a flood claim. If your home has already had a flood claim, or is a FEMA-designated repetitive-loss property, the NFIP is almost certainly where it belongs — federal coverage cannot be cancelled for filing claims, and that guarantee is worth more than any coverage advantage on this page.

That is not a criticism of the program; it is how the private market works, and any agent who tells you otherwise is selling rather than advising. We will tell you when the federal policy is the better answer for your house.

The other thing worth knowing: there is no single “private flood” answer. Each Lloyd’s market has a different appetite, so the same house can be declined by one and competitively priced by another. We hold contracts with several, which is what makes shopping across them possible rather than presenting one quote as the market.

Frequently Asked Questions

Is Hiscox FloodPlus real flood insurance, or a supplement?
It is a standalone private flood policy underwritten through Lloyd’s of London, not a supplement to a homeowners policy and not an NFIP policy under a different name. It can replace an NFIP policy entirely, including for lender-required coverage.

Does Hiscox FloodPlus cover additional living expenses?
Yes. Loss of use is part of the program rather than an optional add-on, and the limit is calculated as a share of the building limit, so it scales with the size of the home. Every FloodPlus policy this agency has placed carried a loss of use limit. The NFIP covers none at any price. Confirm the exact limit on your quote before you buy.

Is private flood insurance cheaper than the NFIP?
Frequently, but not always, and it depends on the individual building. Since October 2021 the NFIP has priced under Risk Rating 2.0, which rates each building on its own characteristics rather than by flood zone, so the comparison genuinely has to be run rather than assumed. We quote both and place whichever wins. What flood insurance costs goes through what drives the number.

Will my mortgage lender accept it instead of an NFIP policy?
Yes. Since 1 July 2019 federally regulated lenders have been required to accept private flood policies that meet the statutory definition, and every policy we place carries the statement that lets a lender accept it without reviewing the policy further.

Do I need an elevation certificate to get a quote?
Generally no. Private flood programs typically underwrite from their own data, so you can usually get a quote without paying a surveyor — which is often the difference between getting a number this week and waiting weeks.

Can I get it if my home has flooded before?
Usually not. Private markets typically non-renew after a flood claim, so homes with a prior claim or a repetitive-loss designation generally belong with the NFIP, which cannot cancel coverage for filing claims. We will tell you honestly which program fits your property.

About the Author

Aaron Farmer — President & Licensed Flood Insurance Specialist, California Flood Insurance

A Lloyd’s of London coverholder since 2016, Aaron has helped 40,000+ homeowners compare private and NFIP flood insurance, including hard-to-place, coastal and high-value properties. Read Aaron’s full bio →

Want the actual FloodPlus numbers for your address? We will quote it against the NFIP and the other private markets we hold, show you the loss of use limit in dollars, and tell you which one we would put our own house on. Get a free flood insurance quote or call 855-225-3566.