Abstract: China is one of the most flood-prone countries in the world, and the flood-caused economic loss constantly rising every year which seriously affects the economic development and social stability. As an important and effective tool of flood risk management, flood insurance is of significance for flood control and disaster mitigation. Therefore, building up a flood insurance system which is best suited to China's actual situation has become more and more imminent. First, research results on flood insurance policy, system, simulation models with data management by the domestic and foreign scholars were introduced. Then, flood insurance models home and abroad, legislation and practice were described and evaluated. Further, flood insurance models home and abroad were compared. Finally, the key issues with system-construction of flood insurance in China were investigated, and some suggestions were pointed out accordingly.