With the official start of spring, while many homeowners are seeing that the dry conditions over the winter have reduced the risk of flooding, the Insurance Information Institute is reminding them that throughout the springtime, the flooding risk still remains high due to hurricanes, heavy rains, and other types of catastrophes. Homeowners, home renters, and business owners should all consider purchasing a policy that will protect them from flood, or renewing one that they have already had, to ensure that there isn’t a gap in their coverage. In the United…
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Report highlights the potential dangers of rising sea levels
A new report from the non-profit research organization Climate Central suggests that millions of U.S. citizens are at risk of coastal flooding. The report posits that changes in the climate will result in storm surges and rising sea levels. Rising water could put nearly 5 million Americans at danger of floods by 2030. The report indicates that by 2050, flooding caused by rising sea levels will be much more widespread. This could cause serious problems for the insurance industry that has been battling a higher frequency of natural disasters over…
Read MoreArmy Corps of Engineers warns that last year’s floods could spur yet more damage along the Mississippi River this year
Last year’s record breaking floods along the Mississippi River could put a significant amount of people in danger of similar events this year, according to the Army Corps of Engineers. The events of last year have dealt a significant amount of damage to protective structures that block floods, such as levees and overflow channels. The communities that were affected by these events last year will be notified of the Army Corps of Engineers concerns in February. The Corps has identified several places where floods could be a major problem this…
Read MoreNew FEMA flood maps may lower insurance rates, homeowners will have to wait a year to find out
Property insurance rates may be going down for Florida’s Marco Island as FEMA prepares new flood maps. The agency is making changes to their flood maps citing risks from pending storms and other factors. While this may be good news for residents of Marco Island, they will have to wait until next year before they see the lowered rates. FEMA has delayed the release of the Digital Flood Insurance Rate Map saying that a later release date would be in the best interest of the community. The delay will allow…
Read MoreVirginia homeowners urged to review insurance for items not covered this hurricane season
Virginia state insurance regulators are cautioning homeowners to review their policies as the hurricane season begins. Regulators note that several insurance policies include deductibles for wind damage caused by hurricanes, but many others do not. This disparity leads to lapses in coverage that are prevalent throughout the state. The State Corporation Commission says that even if homes are protected against wind damage, there is still the possibility of water damage. Regulators assert that the majority of hurricane losses stem from flood damage. The majority of property insurance policies available in…
Read MoreAn alarming rate of uninsured residents this hurricane season
The Louisiana Insurance Department is urging everyone in the state to purchase flood insurance as hurricane season begins. Insurance Commissioner Jim Donelon has been expressing the need for flood insurance for several months. With the April storms causing severe flooding along the Mississippi River, more people are aware of the damage high waters can do, but few are taking steps to protect their homes and property. Commissioner Donelon claims that the number of homes with flood insurance has fallen back to pre-Katrina levels – a disturbing report as hurricane season…
Read MoreIndustry support remains high for flood reform
The National Flood Insurance Program (NFIP) may soon receive much needed reform as the U.S. House Financial Services Committee passes a new bill that will extend the life of the program by another five years. The Flood Insurance Reform Act, as it is known, will institute a number of improvements to what is considered an archaic program. The bill has rallied the support of many insurance companies across the country, including the American Insurance Association (AIA). Currently, NFIP is more than $17 billion in debt. More than 5.6 million properties…
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