Flood insurance market projected to reach $25.21b in 2025

Japan stands out, with more than 75% of homeowners holding flood protection.

The global flood insurance market is projected to reach $25.21b in 2025, according to CoinLaw.

Coverage levels vary widely across regions. In Canada, 10% of households remain highly exposed to flooding but lack access to insurance, whilst 54% of homeowners have overland flood protection. 

Germany and the Netherlands report over 90% coverage in some flood-prone areas, supported by strong defense systems. In contrast, adoption remains below 30% in parts of Eastern Europe and under 10% in high-risk areas of India and the Philippines.

Japan stands out, with more than 75% of homeowners holding flood protection under standard policies. 

The UK’s Flood Re scheme supported 660,000 households with subsidised premiums in 2025, whilst Australia’s Northern Territory has mandated flood coverage for new developments, lifting uptake by up to 25% since 2018. 

India has introduced microinsurance products costing as little as $3 annually to protect low-income households.