Texas Flood Survivor Claims Many Won’t Rebuild Because of High Insurance Costs
The high cost of flood insurance may prevent locals from rebuilding in Texas’s Hill Country.
Kerrville’s Cynthia Thomas survived the flooding of the Guadalupe River, but her home was seriously damaged.
As Thomas explained in a recent interview with NBC News, she, like many of her neighbors, did not have flood insurance. Now, the prohibitively high cost of insurance may prevent them from rebuilding.
None of us have flood insurance, because my next door neighbor got a quote for his new house and it was $6,000 per month for flood insurance.
Inland flooding causes serious damage. It also impacts homeowners who often don’t have flood insurance.
Thomas was not home during the July floods; she was in Houston for the weekend.
As Thomas explains to NBC News, she’s had homes in the Hill Country of Texas for nearly half a century without worrying about flood insurance:
I’ve had homes in the Hill Country for 45 years and have never had flood insurance. And it’s flooded, but it’s just never come up that high. And I’m not that close to the river. But I’m kind of at the same height those cabins were at [Camp] Mystic. And they flooded.
Thomas made the statement while taking shelter with local friends. She originally met those friends while attending Camp Mystic decades ago.
When you go to a camp like this, I felt really heard and I felt encouraged to be myself. We lived together. We learned each other’s quirks, annoying habits, all those kind of things. And yet experienced something bigger than ourselves and grander, more fun.
The camp is divided into teams or tribes, and you’re always supporting somebody….you’re learning how to compete, how to accept defeat. How to maintain friendships when you’re competing.
My friends here, they’re some friends who are locals now. It’s just been great to reconnect and feel like your whole being is involved because they knew you when you were kids.
Most Inland Homeowners Don’t Carry Flood Insurance
On September 26, 2024, Hurricane Helene created severe flooding in western North Carolina and neighboring states, causing catastrophic damage – and hundreds of deaths.
Roughly 95% of homeowners and 10% of businesses in Western NC, according to one report, do not carry flood insurance.
With the Central Texas floods between July 4 and 7, 2025, we’re seeing a similar phenomenon: the vast majority of local homeowners and business owners don’t have flood insurance because they haven’t needed it.
“None of Us Have Flood Insurance…Some Won’t Rebuild”
Some homeowners in Texas’s Hill Country are getting flood insurance quotes for $6,000 per month, despite being hundreds of miles away from the coast.
In an area dubbed “Flash Flood Alley,” the prohibitively high cost of flood insurance could make it difficult to rebuild.
As Thomas explained in a statement to NBC News:
I know the people who are not going to be able to rebuild. Most of all I’m grieving terribly about the loss of life, because some of them are friends…but I feel so blessed and lucky I was not there. Because I’m alive.
Reminder: Homeowners Insurance Doesn’t Cover Flooding
Flooding is the biggest exclusion on a standard homeowners insurance policy.
Unfortunately, many homeowners don’t know their insurance excludes flood damage until it’s too late. Many buy homeowners insurance because they assume it protects their home from virtually everything – only to find that’s not the case.
All standard homeowners insurance policies exclude flood damage. If rising water damages your home, then insurance won’t cover the cost of repairing damage to your home’s structure or any of your possessions.
How to Get Inland Flood Insurance
Sometimes known as flash flood coverage, inland flood insurance covers homeowners and business owners who live in areas that aren’t traditional high-risk flood zones.
If you want to buy inland flood insurance, you have two main options:
Option #1: FEMA’s NFIP
Most flood insurance policies in the United States come from FEMA’s National Flood Insurance Program.
The organization provides flood insurance to homeowners and business owners across the United States – including those in at-risk communities or those in flash flood zones. Overall, the NFIP covers 22,600 participating communities nationwide.
Typically, homeowners in low-lying coastal areas buy flood insurance through the NFIP. Private insurers are unable or unwilling to insure these areas, so the federal government intervenes.
Buying NFIP insurance doesn’t mean working with the government. The NFIP works with 40+ private insurance companies and thousands of independent agents, allowing you to buy NFIP-backed flood insurance through ordinary homeowners insurance providers.
To browse NFIP providers in your area, visit the official NFIP website (FloodSmart.gov) here: https://www.floodsmart.gov/get-insured/flood-insurance-provider
Option #2: Private Insurers & Standalone Plans
Some private insurers offer flood insurance – particularly in inland areas outside of the NFIP’s coverage zones.
Some of these private insurers compete directly with FEMA, charging lower rates for similar coverage. Others provide flood insurance to communities outside of the 22,600 covered by FEMA.
Residents of Kerr County, for example, can obtain coverage through nationwide insurers or independent agents. Some of these insurers provide NFIP-backed flood policies, while others provide standalone plans.
Kerr County Had 467 NFIP Flood Insurance Policies
According to Insurance Insider US, Kerr County has 467 NFIP-backed flood insurance policies with a total of $133 million of exposure.
Another report, meanwhile, found that millions of Texans live on floodplains.
FEMA is encouraging residents of Texas affected by flooding or storms since July 2, 2025 to check for government assistance through DisasterAssistance.gov:
- Visit https://www.DisasterAssistance.gov/
- Use the FEMA mobile app
- Call the FEMA Helpline at 800-621-3362, which is open 6 am to 10 pm CST and available in multiple languages
Or, learn more about assistance and options here.
