There is little evidence that private insurers will want to cover most homes in designated flood regions. This is why there needs to be a NFIP. Congress needs to find a long-term solution for the program rather than passing month-long extensions again and again. For more on this, check out http://bit.ly/tpxkrF
I’m sure that this study only used private residences as this gave me a large number to sample. I would have been nice if the study also included non-residential flood rates as well.
Regardless, the way Congress has been handling the NFIP extension is just plain crazy. Separate NFIP from the rest of the spending bills and find a real funding solution that will last more than a few months. Real estate trasnactions of all types are being jacked up because of the funding problems of NFIP. If they don’t want to find NFIP, then remove the mandatory flood insurance requirements for the lenders.
Am I missing something? Wouldn’t skimming off the over priced/ profitable business into the private market put NFIP in an even worse financial position? I’m all for free market but this mixed solution justs seems confusing. Input please.
NFIP is the public option just like state funds for workmens comp and medicare. No way private ins cos will replace. Spread of risk is still the guiding principle of insurance so you can’t skin off the cream to private ins cos.
Lets not forget that the private industry couldn’t handle insuring against floods in the past. This is exactly why the NFIP was created in the first place.
There is little evidence that private insurers will want to cover most homes in designated flood regions. This is why there needs to be a NFIP. Congress needs to find a long-term solution for the program rather than passing month-long extensions again and again. For more on this, check out http://bit.ly/tpxkrF
I’m sure that this study only used private residences as this gave me a large number to sample. I would have been nice if the study also included non-residential flood rates as well.
Regardless, the way Congress has been handling the NFIP extension is just plain crazy. Separate NFIP from the rest of the spending bills and find a real funding solution that will last more than a few months. Real estate trasnactions of all types are being jacked up because of the funding problems of NFIP. If they don’t want to find NFIP, then remove the mandatory flood insurance requirements for the lenders.
Am I missing something? Wouldn’t skimming off the over priced/ profitable business into the private market put NFIP in an even worse financial position? I’m all for free market but this mixed solution justs seems confusing. Input please.
NFIP is the public option just like state funds for workmens comp and medicare. No way private ins cos will replace. Spread of risk is still the guiding principle of insurance so you can’t skin off the cream to private ins cos.
Lets not forget that the private industry couldn’t handle insuring against floods in the past. This is exactly why the NFIP was created in the first place.