WBO
Well-Known Member
- Joined
- Jul 7, 2019
- Messages
- 1,709
- Likes
- 2,791
Seeing terrible numbers on deaths from Hurricane Ian. As of this morning they've confirmed at least 70 dead.
Whether you want to accept that global warming is increasing the severity hurricanes, it's clear we are having a lot more Cat 4/5s than we did when I was young. We didn't notice the bad ones as much, other than Camille that was pretty brutal, because our coastal areas were not as developed. But now the coast lines are heavily developed and one of the reasons is the Federal Flood Program. If it did not subsidize flood insurance, premiums would be 3 to 4 times higher. Example, one of my clients has an $8 million house in the Keys. Without the federal insurance his annual premiums would be $75,000, with it they are $20,000. There would be much less development without it.
It also encourages risky development. For example, Sanibel Island is a barrier island. Barrier islands move, it's their nature. But because of flood insurance there were 600 residences on the island. If they had to buy insurance like the average homeowner does, it would have been cost-prohibitive. Insurance companies hate barrier islands, but they can make money insuring the homes as long as the federal subsidy exists. BTW, you can expect the insurance companies to declare all damage to be flood damage despite the 160 kt winds, and to litigate each contrary claim. They will want the taxpayers to cover this.
Finally, because they have flood insurance the owners want to rebuild which means the taxpayers are actually going to pay to rebuild Sanibel including dredging and land replenishment. We'll be rebuilding some islands that planet earth doesn't consider to be stable.
That's what they did in NC. Prior to the 90's NC had a policy where they would not rebuild barrier islands. But they eliminated the restrictions on development and since then the states spends hundreds of millions of dollars rebuilding the islands only to watch it wash away each year.
The feds should not be doing this. BTW, if you say we should keep subsidizing, you should disclose whether you or your family owns a place on a beach. There estimates that if the program were ended it would reduce coastal real estate values in Florida by 40%.
Whether you want to accept that global warming is increasing the severity hurricanes, it's clear we are having a lot more Cat 4/5s than we did when I was young. We didn't notice the bad ones as much, other than Camille that was pretty brutal, because our coastal areas were not as developed. But now the coast lines are heavily developed and one of the reasons is the Federal Flood Program. If it did not subsidize flood insurance, premiums would be 3 to 4 times higher. Example, one of my clients has an $8 million house in the Keys. Without the federal insurance his annual premiums would be $75,000, with it they are $20,000. There would be much less development without it.
It also encourages risky development. For example, Sanibel Island is a barrier island. Barrier islands move, it's their nature. But because of flood insurance there were 600 residences on the island. If they had to buy insurance like the average homeowner does, it would have been cost-prohibitive. Insurance companies hate barrier islands, but they can make money insuring the homes as long as the federal subsidy exists. BTW, you can expect the insurance companies to declare all damage to be flood damage despite the 160 kt winds, and to litigate each contrary claim. They will want the taxpayers to cover this.
Finally, because they have flood insurance the owners want to rebuild which means the taxpayers are actually going to pay to rebuild Sanibel including dredging and land replenishment. We'll be rebuilding some islands that planet earth doesn't consider to be stable.
That's what they did in NC. Prior to the 90's NC had a policy where they would not rebuild barrier islands. But they eliminated the restrictions on development and since then the states spends hundreds of millions of dollars rebuilding the islands only to watch it wash away each year.
The feds should not be doing this. BTW, if you say we should keep subsidizing, you should disclose whether you or your family owns a place on a beach. There estimates that if the program were ended it would reduce coastal real estate values in Florida by 40%.
