New Federal Flood Insurance Rating Plan to Start Oct. 1

By | April 5, 2021

  • April 5, 2021 at 10:04 am
    SWFL Agent says:
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    We’ll see if this goes into effect. Some homeowners will get large rate increases, they will squawk about it, and the government will relent and forgive them under the “it’s always somebody else’s fault and others will pay for it” legislative bill.

    • April 5, 2021 at 1:12 pm
      Jack says:
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      Hidden due to low comment rating. Click here to see.

      • April 5, 2021 at 2:24 pm
        Common Sense says:
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        Well, for one thing, the amount of damage required to meet that 250k limit. A 5 million dollar house with minimum damage may rack up a 250k bill because of the luxury materials, whereas, a 250k house would have to be a full loss.

      • April 5, 2021 at 3:37 pm
        Wayne says:
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        The rich can afford to self insure, it will hit the middle class homeowners since they have a mortgage.

      • April 5, 2021 at 3:41 pm
        Al E. Gator says:
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        PML don’t just mean “Pardon Me, Lady”. Probable Maximum Loss – easier to lose 100% of value on my little house in the swamp, than 25% of value on Mr. Big’s home on the bayou.

  • April 5, 2021 at 1:59 pm
    Joel says:
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    FEMA flood insurance is a government subsidy to make flood insurance more affordable for people in high risk zones. The original intent was to provide assistance for people who needed flood insurance in order to get into a home they could afford. What is happening now is that people are building/buying homes in high risk flood zones and utilizing that subsidy because they want an ocean view or lakefront property. Those high value home owners or not being asked to pay more…their subsidy is just being reduced because that was/is not the intent of the program.

    • April 9, 2021 at 3:37 pm
      Mark says:
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      I live in Pearland, TX. When we purchased our home 3-years ago, it was not located in a flood zone. Nor did any of the homes in the neighborhood flood during catastrophic hurricane Harvey rains. We had street flooding and full drainage areas, by design, but not one home went under water. Now FEMA has moved us into a 100-year flood zone despite not paying any claims in our subdivision. It is just another attempt at a government money grab. We should be able to get out of it, but we have to have a flood elevation survey completed, which will be expensive. Fortunately our MUD district is paying for those, but that will ultimately come back to us again when it is time to pay our MUD taxes. Thanks again for your help, you overreaching government hacks…..

  • April 5, 2021 at 2:59 pm
    JoeC says:
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    The value of the structure affects the cost of repairs. the higher the value the higher the repair costs.
    FEMA has tried such responsible risk rating initiatives like this many times in the past but when impacted property owners feel the direct impact to them they raise hell with their congressional representatives which has historically resulted in the congress forcing the reversal of the rate increases. Lets see how long these increases last. With a deficit of about $20 billion, this is long overdue, if allowed to remain in effect. As sea level rises and global weather patterns change, regardless of the causes, this initiative is long overdue.

    I spent almost 40 years with that program in D.C. so I speak from experience with such actions, or attempted actions.

    • April 6, 2021 at 10:13 am
      SWFL Agent says:
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      JoeC, FEMA data tell us that approx. “27% of flood claims occur in non-SFHA zones”. Isn’t their inability to identify the high risk zones more quickly an epic failure on their part as well?

      • April 9, 2021 at 3:48 pm
        Mark says:
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        Or how about only raising rates in areas that have had issues? If your home has been flooded in the past, then you should no longer be located in a non-flood zone and should expect your rates to rise accordingly since one of the best indicators of future loss potential is still past loss history. But they can’t seem to figure that out. Rather, just move every area located within one mile of a creek into a flood zone now, without regard to home elevation. Simply put, if we didn’t flood in Harvey, then it ain’t gonna happen!!!!! I mean, wasn’t that considered to be a 500-year storm?

        • April 12, 2021 at 11:40 pm
          okt0ber says:
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          That would only work in areas where maps existed when the homes were built. It’s complicated. The easy solution is for the government to force flood coverage onto homeowners policies. All of them. An extra $50 premium on every single homeowner policy in the nation could pay for the losses, and then after about 10 years we would have an extremely clear picture of where the REAL high risk flood areas are.

  • April 6, 2021 at 9:10 am
    William B says:
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    Will this effect homeowners or commercial businesses as well? Assuming rates will be going up for both in high risk zones?



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