Confused about flood insurance?

Just remember that any structure that is in a flood zone must have flood insurance if there will be a mortgage on the property.  Also keep in mind that some banks will also insist that the flood insurance be through the National Flood Insurance Program only.  This can substantially increase the mortgage costs when buying a house.   Some lenders will also insist that the property be insured to replacement value rather than loan value.  Make sure you include finding acceptable insurance as a contingency when making an offer!