(June 22, 2018) It’s June and summer is finally here, but so is the official start of hurricane season in the Atlantic.
In our coastal town, most properties near the water carry flood insurance, even if the recent Federal Emergency Management Association (FEMA) maps have placed them within what’s called a “preferred zone” or “X” zone.
The National Flood Insurance Program (NFIP) will expire on July 31, denying necessary insurance coverage to five million Americans in more than 22,000 communities nationwide.
The National Association of Realtors is currently spearheading a call to action amongst its members to urge Congress to act now to reform and extend the NFIP. Participate in this call to action by visiting https://www.nar.realtor/realtor-party.
The National Flood Insurance Program aims to reduce the impact of flooding on private and public property by providing affordable insurance to property owners, renters and businesses, and by encouraging communities to adopt and enforce floodplain management regulations.
By providing up to $350,000 of flood insurance coverage where required for a federally backed mortgage, it is an alternative to taxpayer-funded disaster assistance.
While there is a growing market for private flood insurance, for many, the NFIP continues to be the primary source of asset protection against flooding, the most common and costly natural disaster in the United States.
If Congress fails to take action to reauthorize the NFIP, it will expire by Sept. 30.
— Lauren Bunting is an Associate Broker with Bunting Realty, Inc. in Berlin.