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Inland levees can amplify flood risk in unprotected communities by altering floodwater levels away from their location. While these nonlocal effects of levees, which we term flood teleconnections, have been studied for specific river segments, their impact on flood risks along a river network remains underexplored. By combining data-driven, hydrodynamic, and economic models, we quantify the magnitude, spatial distribution, and economic damages associated with flood teleconnections for a large river network system with extensive levees. We find that due to levees, the 100-year flood inundation extent grows by 25% of the total levee-protected area regionally, and the flood inundation depth increases by up to 2 m at specific locations. Levees also increase the vulnerability of unprotected, marginalized communities to flooding. Our results demonstrate that flood teleconnections are spatially widespread, involve unaccounted costs, and can lead to flood inequities. These findings will be critical to climate adaptation efforts in flood-prone regions.