Which statement about flood insurance is NOT a fact?

Homeowner's insurance policies typically do not cover losses caused by floods. This means that if a homeowner experiences damage due to flooding, their standard homeowner's insurance will not provide financial reimbursement for the damage incurred. Instead, homeowners must obtain a specific flood insurance policy to protect their property in case of flood damage. The National Flood Insurance Program (NFIP) offers such policies to help manage flood risk and provide coverage in designated flood areas.

The other statements present factual information regarding flood insurance. Properties located in flood zones are often required to carry flood insurance to protect against potential flooding events. Additionally, flood insurance rates are indeed established by the NFIP, which regulates these costs to ensure they reflect the risk associated with flood-prone areas. Finally, floods are identified as the leading natural hazard in the United States, underscoring the importance of understanding flood risks and securing appropriate insurance coverage.