Some Representatives think Flood Insurance should be actuarial. We agree, but believe they have been misinformed.
Testimony indicates that the NFIP:
– Paid commission and management fees of 33% to 66% to Insurance Companies having No Risk.
– Paid for Un-insured properties to be re-built.
– No Reserves were kept. Surpluses reverted to the Treasury.
– Nor is there any estimate of the cost of planning policy for (Theoretical) Acceleration of Climate Change that is built into the BW-12.
Unfortunately, we can’t find a comprehensive financial breakdown of the Flood Insurance program,
so there is no way to tell if it is actuarial, or not,,,
The Best Table of the NFIP finances we have seen was obtained from Rep.Coble’s Office (NC), but we were disappointed to see that the table did not :
– Break out Commissions and Management Fees paid to Insurance Companies
– Differentiate between Claims Paid to Insured property owners, vs. Un-insured property owners .
– Indicate Amounts reverted to Treasury
If any Representative has information to clarify these issues and demonstrate that NFIP is not actuarial, we would appreciate seeing that, otherwise we believe It’s not right to force insured folks to pay absurd Ins. Commissions, or to pay to re-build un-insured property.
Please delay BW-12 until the Policy Holders get some answers.
Great post Bill. Before any BW legislation goes into effect, the law states that an economic study on the affordability for policyholders first be conducted. Until that is thoroughly, reliably and scientifically conducted, the NFIP part cannot take effect. We cannot let the federal government break their own foolish laws.
Secondly, where is the accountability for all the money NFIP took in, why were commissions to insurance companies not limited and why were any uninsured properties rebuilt if they were not policy-holders?
Many questions have to be answered before this ill-thought law takes effect.
Keep up the great investigative and informative posts Bill.
Some Representatives think Flood Insurance should be actuarial. We agree, but believe they have been misinformed.
Testimony indicates that the NFIP:
– Paid commission and management fees of 33% to 66% to Insurance Companies having No Risk.
– Paid for Un-insured properties to be re-built.
– No Reserves were kept. Surpluses reverted to the Treasury.
– Nor is there any estimate of the cost of planning policy for (Theoretical) Acceleration of Climate Change that is built into the BW-12.
Unfortunately, we can’t find a comprehensive financial breakdown of the Flood Insurance program,
so there is no way to tell if it is actuarial, or not,,,
The Best Table of the NFIP finances we have seen was obtained from Rep.Coble’s Office (NC), but we were disappointed to see that the table did not :
– Break out Commissions and Management Fees paid to Insurance Companies
– Differentiate between Claims Paid to Insured property owners, vs. Un-insured property owners .
– Indicate Amounts reverted to Treasury
If any Representative has information to clarify these issues and demonstrate that NFIP is not actuarial, we would appreciate seeing that, otherwise we believe It’s not right to force insured folks to pay absurd Ins. Commissions, or to pay to re-build un-insured property.
Please delay BW-12 until the Policy Holders get some answers.
Bill Price USLandAlliance.US 336 -214-2676
Great post Bill. Before any BW legislation goes into effect, the law states that an economic study on the affordability for policyholders first be conducted. Until that is thoroughly, reliably and scientifically conducted, the NFIP part cannot take effect. We cannot let the federal government break their own foolish laws.
Secondly, where is the accountability for all the money NFIP took in, why were commissions to insurance companies not limited and why were any uninsured properties rebuilt if they were not policy-holders?
Many questions have to be answered before this ill-thought law takes effect.
Keep up the great investigative and informative posts Bill.
Oh and by the way…….
STOP FEMA NOW
and vote Democratic this November!!