Hurricane Zone Insurance

Dec 16, 2003
Seattle, WA
I wanted to move this out of the Ivan threads and start a new issue... that being insurance in Hurricane zones. My comments below quote.

Originally posted by B Ozanne
I may be wrong but I see it differently. If the ocean floods into NO and the lake floods into the downtown area, there will be one huge torrent of water from the flooding Mississippi and lake. The river will continue to make it's way to the ocean via the flooded areas.

I stand by my filthy lake theory. The surge/river would top the levee a few feet at a time. Right next to the levee it would rush in, but the city would slowly flood as the pumps could not keep up with the ocean. In New Orleans my guess is that the old Miss barely flows at all, maybe just a few knots, not a roaring mountain river. After the storm the surge receeds and the river lowers leaving water in New Orleans to the top of the levees. The pumps are down because they were inundated and the water trickles out the storm drains by gravity. At -7 feet, gravity would only empty New Orleans until the water levels equalized with the lake/river. The pumps would be needed to pump out the last 7 feet of water.

This is all moot as New Orleans is "low and dry" at this time.

So, how darned expensive is insurance in New Orleans, and places like that? My sister lives in Valrico FL, near Tampa and rents a large house. Stupid rules would allow her to get renters' insurance in an apartment or a duplex, but she cannot get insurance in her single family home.

That's insane.

When it comes to flood insruance it is only offered by the goverment. I'm talking about water coming up from the ground; rivers & storm surge, etc. If your roof blows off and it rains 10 inches in your house you are covered, but if the storm surge knocks your house over regular homeowner's insurance won't cover it.

That is why we have the National Flood Insurance Program. It is subsidzed by the federal goverment to provide homeowners affordable flood insurance.

My parents own a house that is literally on Long Island Sound, during high tide there is salt water in the crawl space under the house. They pay regualar homeowner's insurance, probably slightly higher than the rest of my town because there is more wind risk. On top of that they have flood insurance. Considering the substantial risk their house is at the insurance is rather cheap.
Are you talking flood or homeowners insurance Morgan? I assume flood. I know there are some spots in my area that you can't get it, not sure what parts those are. I am just outside of a flood plain here and FEMA insurance will cost me $250yr. With new construction in my area and the result of this usually is a flood problem (per Houston average), I may invest in this next year. The creeks and bayous out in my area hardly ever flood (one exit down they do) but with the RADICAL changes in my local landscape, sure I am going to be a potential flood victim in the near future.
No public insurance company that I know will sell flood insurance. Ok, they might sell it, but they are actually just brokering it for the NFIP. If you know of any public company that sells its own flood insurance let me know so I can short that stock.

Carrie, I would highly recommend investing in flood insurance. Do the research, but it sounds like you are in a prime risk area.
Has anyone been hearing about the "double deductible" problem in Florida?

Apparently, those homes/properties hit twice or more by storms in the past few months are being asked to pay their insurance deductible twice. There is no law barring this sort of activity, but there definitely should be.

I can't imagine having to pay a very expensive deductible to begin with then having to pay again in the matter of a few weeks while my family/property was in the midst of chaos!

Read your policy, it's all in there.

It's important to remember that insurance companies aren't charities. They are in the business of making money.

Also, its your choice...lower premiums or lower deductibles. But you can't have both

Don't get me wrong, it sucks, but that's the way it is.
Looks like we all get to pay for the Hurricanes. I received my renewel Insurance papers yesterday and it went up almost $300 for 2005