Coastal inundation is the flooding of coastal zone resulting from increased river discharge, spring tides, severe storms, or generation of powerful waves from tectonic activity (tsunami). This article discusses the critical factors that contribute to coastal inundation. Among the probable factors that cause coastal flooding and destruction, storm surge is the most frequent, and hence this article provides a detailed evaluation of the progress made in storm inundation research. Recent advances in coastal inundation modelling include efforts to understand the nonlinear dynamic interaction of near-shore waves, wind and atmospheric pressure with still water sea level and coastal currents, and their combined effects on storm surge along the coast and interaction with coastal morphology. An advanced storm-surge model comprises different modules, viz. an atmospheric component, and two ocean components for surge and wave simulations; these modules are coupled with each other. The nesting of regional coastal model with an ocean-wide model captures the far-field boundary forcing of extreme events that usually originate from the warm open ocean. Even though significant advancements reported on the efficiency and accuracy of storm surge and inundation prediction, further studies are required to understand the nonlinear interaction of storm surge with coastal landforms and their vegetation (land cover). In the context of rising sea level, increased tropical cyclone activity and rapid shoreline change, it is pertinent to evaluate the future flooding risk associated with landfall of tropical cyclones in densely populated coastal cities.