Live Insurance News

Low flood insurance coverage worrying as climate crisis advances

September 21, 2022September 20, 2022 G. Turner

As losses from flooding skyrocket from one year to the next, uninsured rates are setting up for disaster. Low levels of flood insurance are occurring at a time during which the risk and cost of damage are taking off due to more frequent and more severe events caused by climate change. From 2011 through 2020, insured flooding losses doubled to $80B worldwide compared to the decade before. That said, flood insurance penetration is still sitting at a worrying 18 percent, according to the recent economic insights report focused on flooding…

Flood insurance uncommon among Kentucky homeowners under water

August 9, 2022August 5, 2022 H. Cutner

With dozens of people dead and rain still in the forecast, the area hasn’t been known for this type of flooding. Regions of Kentucky have suffered profoundly as a result of extensive and ongoing flooding, a situation that has only been made worse because there is very little flood insurance coverage throughout the affected areas. Hundreds of homes flooded, primarily badly, and residents were left waiting to assess the damage. While flood insurance is often purchased in parts of the country at a higher risk of damage from these natural…

Flood insurance rate increases will affect 81 percent of policyholders

April 29, 2022April 28, 2022 Logan B.

FEMA’s NFIP overhaul was intended to increase premiums primarily for larger, high-value homes. A year ago, when the Federal Emergency Management Agency overhauled the National Flood Insurance Program it expected that larger, high-value homes would see most of the rate increases. It anticipated that about 90 percent of policyholders would either keep their existing rates or would even experience a reduction in their premiums. This month, when the changes went into effect, the situation proved to be considerably different. Now that the changes in the National Flood Insurance Program (NFIP)…

FEMA recommends flood insurance coverage even outside flooding zones

June 18, 2021June 16, 2021 Logan B.

The Federal Emergency Management Agency says that if it rains, there is also a risk of flooding. The Federal Emergency Management Agency (FEMA) is recommending that home and business owners purchase flood insurance regardless of whether they live in a high-risk zone. FEMA said flooding is the most common and expensive natural disaster in the United States. According to FEMA, flood insurance is not covered under most standard home and business policies. That said, flooding poses the risk of destroying structures and possessions of a home or business in a…

Climate change is likely increasing flood insurance rates quite a bit this year

February 24, 2021February 23, 2021 Marc

Increasing flood insurance rates - Flooding in neighborhood - shops & cars

The federal government is examining the cost of coverage on April 1, with data suggesting premium hikes. Much of the country is expected to see increasing flood insurance rates this year in order to cover rapidly rising costs resulting from climate change, according to new data that will create a substantial political struggle for the Biden administration. NFIP would need to raise its premiums by four times for covering high-risk homes in floodplains. The National Flood Insurance Program (NFIP) will need to send its premiums sky high in certain areas…