As Hurricane Season Approaches, Flood Insurance Goes Up in Price
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With the hurricane season comes the issues that each year loom over citizens of locations prone to these weather phenomena.
The unpredictability increases between June 1 and November 30, the duration that marks the cyclone season for Atlantic waters.
With this comes the rush for numerous home and company owners in these locations to buy flood insurance.
This year, and considering April 1, the Federal Emergency Management Agency (FEMA) which handles the National Flood Insurance Program (NFIP) increased the costs of its policies.
For Texas, the yearly policy was left at $624. Regardless of the increase seen since Hurricane Harvey when it had to do with $450, this is the 3rd most affordable rate in the entire nation.
This increase covers 86% of the homes that have flood insurance in the state, that is, 768,537 policies, according to QuoteWizard, an entity specialized in evaluating the expenses of home insurance across the country.
This was determined after FEMA altered the method flood variables are identified across the country, understood as Risk Rating 2.0.
According to these brand-new signs, the expense of flood insurance is governed by the historic frequency of flooding, the kind of flooding (rivers, rains, rises, and coastal disintegration), range of water sources, quality of the property (elevation type of land, etc) and the cost of restoring the property.
Under these new indications, some four million insurance policyholders throughout the nation will see an increase between $10 and $100. In Texas, that number will impact more than 660,000 residential or commercial property owners.
It must be noted that after Louisiana, Texas is the 2nd state that had to pay the most money for flood claims. While in Louisiana nearly $20 billion was paid, in Texas that sum reached nearly $17 billion in 2021.
It is very important to keep in mind that if you are buying flood insurance for the very first time, it will just be valid one month after it is acquired.
For your convenience, we have two offices, one in Houston and the other located in Katy. (713)464-4499 – (281)578-5222