Flood insurance to increase Oct 1 - WCBD-TV: News, Weather, and Sports for Charleston, SC

Flood insurance to increase Oct 1

Posted: Updated:

Starting October 1, 2013, some homeowners could see their insurance spike significantly thanks to changes to FEMA regulations. Some homeowners could see their flood insurance spike between 10 and 1000 percent.

Who does this change effect?

 It could effects homes built during or before the 1970's. The exact year varies by county. Those are the homes that fall into the pre-firm or subsidized flood insurance rates, because they were built before current elevation requirements were established.

 

What changes?

The subsidized rates on older homes are going away, and now homeowners need an elevation certificate to adequately determine rates.  If you don't have one, rates could increase by up to 10 to 25 perfect each year, depending on a number of variables.

 

Why is there a change?

The changes are in response to big payouts.  FEMA has been paying out a lot of claims with recent natural disasters like Hurricane Katrina and others, massive flooding, etc .

 

What's the he ripple effect?

If you're looking to buy a home in the region, this affects you too.   Buyers can no longer assume the seller's flood policy on those older homes.  

 There are a lot of variables home to home and county to county. Charles Cole, with Crescent Insurance Agency, said the best advice is to contact your insurance agent to see if your home falls into the pre-firm category; if it's in the effected flood zones; and if you need the elevation certificate.

According to FEMA, those pre-FIRM primary residences, some 578,312 policies nationwide, will retain their subsidies until sold to new owner or until the policy lapsed. 

There is a silver lining, not all subsidized policyholders will see large increases.  According to FEMA, obtaining an elevation certificate is the best way to know a structure's risk and true-risk premiums. Some will find their premiums will decrease; some will stay about the same; some will see minor to moderate premium increases; and some policyholders will see large increases. Without an elevation certificate, homeowners cannot evaluate actual risk. 

 

 

 

 

 

 

 

 

 

  • Woman forced from her FL home after huge sinkhole appears

    Woman forced from her FL home after huge sinkhole appears

    Tuesday, July 22 2014 11:21 AM EDT2014-07-22 15:21:44 GMT
    A huge sinkhole has opened up outside a Spring Hill, Florida home. The hole is 30 feet deep and 40 feet wide and city officials have deemed the home unsafe.Now, the homeowner is forced to pack her stuff and leave just 18 months after moving in. Officials haven't determined the exact cause for the sink hole but a private contractor suspects heavy rain over the weekend may have played a role.
    A huge sinkhole has opened up outside a Spring Hill, Florida home. The hole is 30 feet deep and 40 feet wide and city officials have deemed the home unsafe.Now, the homeowner is forced to pack her stuff and leave just 18 months after moving in. Officials haven't determined the exact cause for the sink hole but a private contractor suspects heavy rain over the weekend may have played a role.
  • Employees allege Hyman's kept tips

    Popular downtown seafood restaurant faces class action lawsuit

    Popular downtown seafood restaurant faces class action lawsuit

    Monday, July 21 2014 11:39 PM EDT2014-07-22 03:39:30 GMT
    A class action lawsuit has been filed against a popular seafood restaurant in downtown Charleston, after employees allege their tips were kept from them unfairly. Former employees of Eli Hyman, and other owners of Hyman’s Seafood, are suing for minimum wages and overtime compensation. They allege the restaurant’s policy violates the Fair Labor Standards act. Under what’s known as the tip credit, server’s can be pa...
    A class action lawsuit has been filed against a popular seafood restaurant in downtown Charleston, after employees allege their tips were kept from them unfairly. Former employees of Eli Hyman, and other owners of Hyman’s Seafood, are suing for minimum wages and overtime compensation. They allege the restaurant’s policy violates the Fair Labor Standards act. Under what’s known as the tip credit, server’s can be pa...
  • Report: Higher seas mean extreme floods in SC, NC

    Report: Higher seas mean extreme floods in SC, NC

    Monday, July 21 2014 8:23 PM EDT2014-07-22 00:23:43 GMT
    Rising sea levels will mean extreme floods along the coast of the Carolinas in coming years with billions of dollars in property in danger according to new reports from a nonprofit group of scientists.Climate Central of Princeton, New Jersey, released an analysis of the danger faced in South Carolina on Monday. A report for North Carolina was released last week with an analysis for Georgia due next week.The report found that in South Carolina, the coast is likely to see extreme floods of more...
    Rising sea levels will mean extreme floods along the coast of the Carolinas in coming years with billions of dollars in property in danger according to new reports from a nonprofit group of scientists.Climate Central of Princeton, New Jersey, released an analysis of the danger faced in South Carolina on Monday. A report for North Carolina was released last week with an analysis for Georgia due next week.The report found that in South Carolina, the coast is likely to see extreme floods of more...
Powered by WorldNow

210 W. Coleman Blvd.
Mt. Pleasant, SC 29464

Telephone: 843.216.4875
Fax: 843.881.3410
Email: news@wcbd.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.