Those of you who are fortunate enough to live in the sunny state of Florida will be well aware of the extreme weather which we sometimes experience. There are the floods, the hurricanes and the other ‘freak’ weather incidents. However, we Floridians are tough and so we deal with what Mother Nature throws at us with a cheerful heart. Sadly, when it comes to the small matter of money, we are considerably less tolerant. If you live in Florida and have heard the recent news about how flood zones will be affected by impact insurance rates, you are probably, well, a little annoyed. Why should we not get as much compensation when our houses are ruined? However, there is no point getting angry about it because cursing will not change anything. Instead, I would suggest finding out whether you will be affected by the change in policy.
Port St. John has seen more than its fair share of storms. However, one particular storm sticks in the mind of many of its residents. This delightful tempest managed to bring eleven inches of rain down on Port St. John in just seven hours. Now, many of you can probably imagine the catastrophic flooding which occurred as a result of this storm. Many of you will not be able to imagine what the reaction of the Federal Emergency Management Association was. One resident, whose house, which is in a high risk flood area, cost him $5830 in flood insurance. This cost him $485 a month on his Florida homeowners insurance when annually, he had paid $400 for flood insurance. Yes, that does indeed sound very unfair. So, the real question is, will you be affected by the new homeowner’s insurance rates Florida?
New Zones for Us
This man had friends and neighbours who happened to live across the street and, despite the fact that their properties had been built on lower ground, they were not included in the high risk flood zone.
Many residents are distressed as this means that, for those of us who are less economically advantaged, we are now unable to afford to insure our homes. Many residents were not included in a high risk flood area until this year. Now, they find themselves paying considerably more to insure their properties. However, for some people, the changes to flood risk zones has meant that they now have to pay considerably less for home insurance
Into The Coffers
Billions of dollars are now at stake in the annual flood premiums, which go directly to the Federal Emergency Management Association’s bank. The new insurance rates have also effected the local real estate market as many homeowners have decided that it is cheaper to sell their properties than it is to insure them. As well as this, few buyers are eager to buy on high risk land as it means that they will have to fork out more money for insurance.
Many people may be affected by the new homeowner’s insurance rates Florida so, if you think that your property may now be in a high risk flood zone, it is important to check here. If you find yourself suddenly paying hundred more dollars for insurance, consider selling your home. Although you may receive less money than you paid for it, it is often cheaper than insuring it.