The applicability of the normalized difference water index (NDWI) to the delineation of dam failure-induced floods is demonstrated for the case of the Sparmos dam (Larissa, Central Greece). The approach followed was based on the differentiation of NDWI maps to accurately define the extent of the inundated area over different time spans using multimission Earth observation optical data. Besides using Landsat data, for which the index was initially designed, higher spatial resolution data from Sentinel-2 mission were also successfully exploited. A geospatial analysis approach was then introduced to rapidly identify potentially affected segments of the road network. This allowed for further correlation to actual damages in the following damage assessment and remediation activities. The proposed combination of geographic information systems and remote sensing techniques can be easily implemented by local authorities and civil protection agencies for mapping and monitoring flood events.