You don't need to live in a designated flood plain in order to qualify for federal flood insurance.

That's good news for most of the people with houses or businesses downstream of the Howard Hanson Dam.

"You may qualify for the preferred risk policy which is extremely affordable," says FEMA's Mike Howard.

Howard says the premium could be as low as $120 a year.

Remember, standard homeowners and business owners insurance policies exclude flooding caused by water coming from outside the building.

"Whether it's from a dam breaking in this case or from standard flooding, snow melt, heavy rains, you would not have coverage," says Karl Newman, President of the NW Insurance Council.

Newman says renters at risk also need to consider flood insurance for the contents of their apartment.

"The landlord's insurance covers his structure and not your belongings. So it's very important to remember that."

Here are a few examples of what you can expect to pay. We got these quotes from the official federal site for flood insurance,
FloodSmart.gov. All you have to do is punch in your address and you get a price list.


For a home without basement, I got these numbers:

PREMIUM: $119

Building: $20,000
Contents: $8,000

PREMIUM: $348

Building: $250,000
Contents: $100,000

And the following are the prices for contents coverage for renters or condo owners:

$8,000 for $39
$40,000 for $105
$100,000 for $177

So, how do people get this coverage? If you want it, you need to get moving. The coverage takes 30 days to kick in unless it's new construction

And we've also confirmed that the national flood insurance program, which runs out of funding at midnight on Sept. 30, has not yet been reauthorized by Congress. Lawmakers are expected to continue funding, but there's no guarantee. Any policy written by the end of the month will be honored after the 30 day waiting period.

For more information

What you should know about flood insurance

Flood Insurance: Get it before it's too late