Follow @FloodPanel

Flood Barrier USA

Flood Protection for Commercial Property

  • Home
  • About Flood Barrier USA
  • Flooding News
  • Contact Us

Flood Insurance Rates to Skyrocket

Author: Flood Expert Donna Conneely

In our last post we explored ways to save on flood insurance, which is a major expense for anyone who owns property in a flood zone. But in the past few days news reports have indicated that the rates will soon skyrocket far beyond what anyone had imagined. It appears that Congress has now decided that the National Flood Insurance Program (NFIP) must gradually begin to pay for itself, rather than continue in its current state of subsidization.

FEMA Insurance Rates affected by Biggert-Waters Act of 2012
An example of how National Flood Insurance Program rates may increase when the Biggert-Waters Flood Insurance Reform and Modernization Act of 2012 is implemented. National Flood Insurance Program

This is very ominous news for anyone with property inside a designated flood zone. As a result of the Biggert-Waters Flood Insurance Reform and Modernization Act of July 2012, insurance rates will increase in large jumps over the next four years until the program begins to break even.

The Biggert-Waters Act, although it will bring huge spikes in flood insurance rates, will also ensure that the insurance will be continuously available with no stoppages, at least through the year 2017. Until now, the NFIP has been funded in a haphazard way, with several gaps in funding that halted construction of tens of thousands of building projects.

The survival of the NFIP is now assured for the next four years, which is a relief to those living in flood zones. Without the NFIP coverage, these home and business owners would not be able to buy insurance from any private company — the properties would be completely unprotected. In many flood-prone areas across the US, flood insurance is federally mandated in order to use the property, so losing the NFIP coverage would be tantamount to losing the property altogether.

The Biggert-Waters Act also mandated the improved accuracy of flood zone maps, and these new maps are being released now. As a result, tens of thousands of property owners are finding that they will soon be required to carry flood insurance for the first time. Other properties that have been flooded and rebuilt in the past will be straddled with exorbitantly high insurance rates that reflect the risky location of the property. No longer will these flood-prone properties enjoy federally subsidized flood insurance, but will have to “pull their own weight” as a risky insurance gamble.

Although the Biggert-Waters Act provides recourse for challenging the new floodplain maps and for appealing the decision to include a property inside the flood zone, most of these property owners will find that expensive flood insurance will soon be an onerous expense that they must find a way to live with. In desperation, many will begin to make improvements to their infrastructure that will protect the property and help to lower astronomically high insurance rates.

Soon, flood protection measures that in the past were deemed too expensive or difficult will become simply prudent and cost-effective. Flood panels, earthen berms, run-off control projects, and other flood protection measures will increasingly be an integral part of every new construction, and owners of existing properties will by necessity begin the retrofit process to include these features.

 

 

This entry was posted on Friday, June 21st, 2013 at 11:45 am and is filed under Flood Protection. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Leave a Reply

  • Sponsor Resources

    Flood Panel (Standard)
    Flood Panel, a flood barrier

     
    Panel-and-Post System
    Panel and Post System

     
    Puddle Panel
    Puddle Panel, a flood shield

     
    Hinged Flood Gate
    Hinged Flood Gate

     
    Dual Function Flood Doors
    Dual Function Flood Door

     
    Flood Log
    Flood Log, modular flood barriers

     
  • RSS Google News: Flooding

    • River levels dropping; East Fork still flooding in Seymour - 101.5 ... - 101.5 WKKG
    • Will there be torrential flooding or minor trickles in SC this spring? What the NWS forecasts - The State
    • California farmers flood fields to boost groundwater basin - Yahoo News
    • Showers, Possible Storms And Flooding, Likely For Tuesday - NorthEscambia.com
    • March 28: Missouri River Flooding in 1929 (Part One) | Prairie Public ... - Prairie Public Broadcasting
    • Climate change: Derry council praised in UK-wide report - BBC
    • Nambucca River causes massive problems for oyster grower with three floods, sewage spills - ABC News
    • Campers evacuated at High Falls Park, flooded streets in Monroe County - 13WMAZ.com
    • 'Oh, my God': East Macon neighbors stuck inside homes after flooding on Sunnydale Drive - 13WMAZ.com
    • UT researchers develop smart stormwater basin to prevent flooding ... - The Daily Texan
    • Snow piles up in northern Utah as worries about flooding mount - KUTV 2News
    • 'I can't get my medicine' said a sick elderly man trapped inside his home due to flooding - WACH.com
    • Volunteers start filling 6,000 sandbags a day to prepare for flooding in Stillwater - KARE11.com
    • South Valley families receive care packages after widespread flooding - KFSN-TV
    • Allensworth seeks donations as flooding begins to ebb - Foothills Sun Gazette
    • Mozambique - Floods and Tropical Cyclone Freddy Operational ... - ReliefWeb
    • Oahu flood advisory canceled; heavy showers still possible - Honolulu Star-Advertiser
    • Amid south Valley's massive flooding, where's Gavin? - The San Joaquin Valley Sun
    • Road in McDuffie County washes away from flooding - WJBF-TV
    • Provo prepares for spring runoff and flooding - KSLTV
  • Editor

    Donna Conneely
  • Pages

    • Home
    • About Flood Barrier USA
    • Flooding News
    • Contact Us
Flood Panel - commercial flood protection experts

Copyright © 2023 - Flood Barrier USA | Entries (RSS) | Comments (RSS)

Website design by Art Zenith