Natural hazards · Panama

Panama, IL natural hazards

Most of the natural-hazard damage FEMA expects in Panama comes from inland flooding, and overall the risk is high for a U.S. community.

FEMA National Risk Index, December 2025 · OpenFEMA claims, aid & declarations

Expected damage

How exposed is Panama?

High

vs. U.S. communities

FEMA expects yearly storm and flood damage to homes and buildings in Panama to be higher than in 62% of U.S. communities, mostly from inland flooding and earthquakes.

Inland flooding31%Earthquakes22%Cold waves13%Tornadoes11%Heat waves7%Strong wind7%Everything else9%

By hazard

What Panama faces

Each hazard’s share of the damage FEMA expects here, and how that compares with the rest of the country.

Inland flooding

31% of expected damage

Above average · higher than 58% of U.S. places

Recorded about once a year in the area

Earthquakes

22% of expected damage

Well above average · higher than 83% of U.S. places

Cold waves

13% of expected damage

Well below average · higher than 18% of U.S. places

Recorded about 2 times a year in the area

Tornadoes

11% of expected damage

Well above average · higher than 88% of U.S. places

Recorded about once every 7 years in the area

Heat waves

7% of expected damage

Above average · higher than 70% of U.S. places

Recorded about 9 times a year in the area

Strong wind

7% of expected damage

Well above average · higher than 93% of U.S. places

Recorded about 6 times a year in the area

Lower here

HurricanesHailIce stormsWinter weatherWildfireLandslidesLightningDrought

Not a risk here

Coastal floodingAvalanchesTsunamisVolcanic activity

Flood risk changes street by street. Check a specific address on FEMA’s flood map, and ask about flood insurance before you buy.

Flood insurance claims

Does Panama flood?

FEMA's records show no paid flood insurance claims in Panama.

of all homes
are insured

No community discount. Panama isn’t in FEMA’s Community Rating System, which cuts flood insurance up to 45% in towns that do extra flood-proofing.

Insurance rates: Montgomery County.

Disasters that hit Panama

Federal disasters declared here

None of the disasters declared for Montgomery County shows FEMA aid or repair money reaching Panama itself in FEMA’s records.

Brought FEMA money into PanamaDeclared for Montgomery County only

Montgomery County has had 5 natural disasters declared since 1953, most often tornadoes and severe storms.

About these numbers

How to read this page

An average, not a forecastFEMA’s National Risk Index estimates the damage 18 kinds of natural hazards cause in a typical year, from decades of records and models. A quiet decade can follow a bad year.

Compared by rate“Higher than N%” compares yearly damage as a share of what’s here, so a big city isn’t rated riskier just for having more buildings. Panama is smaller than a census tract, so it shares the figures of the tract around its center.

Money that reached townFlood claims are matched to Panama’s own flood-insurance community; household aid to the registrant’s city; repair grants to the Village of Panama. FEMA’s model follows property values, so a place that recently lost many homes can rate lower than it feels.

Sources: FEMA National Risk Index (December 2025); OpenFEMA: NFIP redacted claims, multiple-loss properties, community status book and residential penetration rates, housing assistance (owners and renters), public assistance funded projects, hazard mitigation properties and disaster declarations. Census tracts: U.S. Census Bureau.