Soaring insurance rates shock homeowners nationwide NEW YORK – July 15, 2013 – Homeowners nationwide living near areas where disaster struck – but not directly impacted – are still seeing dramatic increases in their insurance premiums. For example, in the wake of Hurricane Sandy, unaffected residents living near the disaster zone still saw big spikes in flood insurance premiums after the Federal Emergency Management Agency (FEMA) reclassified the area as a high-risk flood zone. Some residents in the Valley Stream, Long Island area of New York saw their flood insurance rates soar from $400 per year to $3,400. Homeowners living out West also report rising insurance premiums, but their change results from the recent threat of wildfires. The rise has prompted some homeowners to go without coverage. For example, a 63-year-old Las Vegas man refused to evacuate his property near growing wildfires. He remained in his cabin and sprayed water to keep the fires at bay, even though they came within 300 feet of the property. The man says he cannot afford homeowner’s insurance because the last wildfire ended up doubling his payments. Source: “New Flood Insurance Rates Leave Homeowners With Sticker Shock,” AOL Real Estate (July 10, 2013) and “Man Refuses to Evacuate Home on Mount Charleston,” ABC 13 News (Las Vegas) (July 10, 2013) © Copyright 2013 INFORMATION, INC. Bethesda, MD (301) 215-4688
Posted on: Mon, 15 Jul 2013 19:47:42 +0000