New NFIP rating system has now taken effect

NFIP - calculations

The National Flood Insurance Program’s newest changes started on October 1. The changes made to the rating system for the National Flood Insurance Program (NFIP) went into effect as of October 1, as the Federal Emergency Management Agency (FEMA) implemented its Risk Rate 2.0. At the start of this month, the premiums paid by policyholders in this program start being impacted. The precise change in NFIP premiums under the new Risk Rate 2.0 depends on many factors. According to FEMA reports, there are several changes made to premiums calculations that…

Read More

Policyholders will pay 77 percent more in flood insurance rates, says study

Flood insurance rates - money in water

On the whole, the cost of coverage will rise sharply, but homeowners in poorer neighborhoods will pay less. A new QuoteWizard study showed that changes to US flood insurance rates will be rising by an average of about 77 percent across all policyholders. That said, homeowners living in less affluent neighborhoods will see a reduction in the amount they pay for their coverage. The study was conducted by the Lending Tree financial services provider’s QuoteWizard unit. To complete this study, the unit reviewed the price changes for the approximately 5…

Read More

FEMA unveils NFIP Risk Rating 2.0 with potential for cheaper flood insurance

NFIP Risk Rating 2.0 - Piggy Bank - Savings

The Federal Emergency Management Agency is promising reduced rates for its policyholders. The Federal Emergency Management Agency (FEMA) has unveiled its NFIP Risk Rating 2.0 pricing strategy. This is an update to the way it calculates its National Flood Insurance Program rates for its 5 million policyholders. FEMA promises that many homeowners will see a reduction in their premiums. The new NFIP Risk Rating 2.0 strategy will mean that about two out of every three older homes will see a reduction in their premiums, according to FEMA. At the same…

Read More

National Flood Insurance Program problems remain despite recent extension

How to legally protect a business idea?

NFIP continues to be riddled with challenges even as the White House pushed its expiry date. Last week, the White House signed a resolution to extend NFIP, but the National Flood Insurance Program problems are still there regardless. NFIP’s latest extension will keep it from expiring until September 30, 2021. Of course, giving it another year hasn’t made all the other National Flood Insurance Program problems disappear. Still, at least it has purchased another twelve months in which to protect those in high risk areas from having to go without…

Read More

Many US homeowners are shocked at how high their flood risk score really is

Flood risk score - person shocked

Every American homeowner is finding out how much of a risk their property is truly facing. This month, every current and potential homeowner in the United States has access to the flood risk score of their property (or one they are considering for purchase). Many find themselves amazed at how high their property’s risk of flooding has been assessed to be. America’s flood risk score is being reassessed by First Street. This is a part of a broader effort to provide current homeowners and prospective home buyers, and the real…

Read More

Live in a Flood Zone? Protect Yourself from Water Damage

flood insurance

Around 41 million Americans live in flood zones, according to a survey by Environmental Research Letters. If you’re one of those people, you’ve likely encountered water damage in one way or another.  Basements flooding, structural damage, and mold are all common after-effects of flood and water damage, made far more likely when living in a moist, flood-prone area. These factors don’t mean you have to pack up and move. With the right preparation and knowledge, dealing with flood damage doesn’t have to be scary.  Here are some actions you can…

Read More

Severe weather damage in the US hits the $4 billion mark

Severe Weather Damage - Flooding

Hailstorms and other disasters have caused quite a bit of destruction already in 2020, says Aon. Severe weather damage from events across the United States have led to substantial costs for insurers. A sizeable portion of the $4 billion estimated economic cost is covered by insurance policies. Much or the severe weather damage caused by storms have involved hail, according to the monthly Global Catastrophe Recap report from Aon. A substantial storm outbreak struck the Plains, Midwest and Southeast on May 4 and 5. This event primarily affected parts of…

Read More