Standard property insurance polices do not cover flood damage.
There is a 26% chance that a structure within the flood hazard area be damaged during a 30 year mortgage period - compared to a 10% chance of fire damage during the same period of time.
Structures outside of a designated flood hazard area can be damaged by a flood event.
National Flood Insurance Program
The City of Missoula participates in the National Flood Insurance Program (NFIP) which provides affordable insurance to property owners and encourages communities to adopt and enforce floodplain management regulations that will reduce the socio-economic impact from flood effects.
In order to participate in the NFIP, the city must ensure that new construction and/or substantial improvement of existing structures complies with local floodplain regulations. Property owners provide an Elevation Certificate to help the City determine compliance with local ordinances and to help insurance providers determine proper insurance premiums. Elevation Certificates must be prepared by a licensed engineer or surveyor in the State of Montana. Elevation Certificates: Who Needs Them & Why
Elevation certificates are also used to support requests for map changes including Letter of Map Amendment (LOMA) and Letter of Map Amendment based on fill (LOMR-F). If you feel a NFIP map is in error because your property is above the base flood elevation (naturally or by use of fill), you may request a LOMA or LOMR-F from the Federal Emergency Management Agency. These letters establish a property's location in relation to the Special Flood Hazard Areas (SFHA) - they are an official amendment, by letter, to an effective NFIP map.
Community Rating System
The City of Missoula also participates in the Community Rating System (CRS) which rewards communities for exceeding minimum standards required for floodplain administration.
Because of the City's rating, property owners receive a 10% discount on their flood insurance premiums.