At the present time, the National Flood Insurance Program is approximately 30 billion dollars in debt due to the 2005 and 2011 storms. Because of this debt, the Biggert-Waters Flood Insurance Reform Act of 2012 reconstructed flood insurance rates in an attempt to lessen the debt and prevent it from continuing to rise.

 

Flood Insurance Rates will begin to accurately reflect the risk associated with an individual property. For example, homes and buildings that are lower in elevation could see sharp increases in their premium over the next few years. In addition, flood rate maps are  being redrawn to more accurately reflect risk. Some areas will see changes in their flood zone determination.

 

Rate increases go into effect on Oct. 1, 2013. A Flood Elevation Certificate (call for more information) is going to be required to determine flood rates. In some cases, the certificate could lower flood insurance rates for an individual property by determining it is at a higher elevation than estimated.

 

The National Flood Insurance Program (NFIP) is the only source of flood insurance. While various carriers write the coverage (Tower Hill, Safeway, University Property & Casualty, etc.) the rates are calculated exactly the same by every carrier. Any discrepancies in premium between quotes are a result of varying deductibles or coverages. Ruggeri Insurance Agency can accurately advise you about what coverages you need and assist you in obtaining a policy that fits your needs.

 

The Biggert-Waters act implications are still being sorted out by state insurance professionals. The interpretations of this law will effect flood insurance on a drastic scale. The good news is, Ruggeri Insurance Agency is up-to-date with the most recent information about the changes. Do you have questions about how the rates will effect you? We're happy to help. (941) 966-5900