Flood Rates for Some Homeowners Set to Change

Flood rates for homeowners could be going through a change soon. It can significantly affect homes that are in heavy flood areas. These heavy flood areas include Texas and Florida. Plenty of people have moved to the Sun Belt states in what some have called The Great Migration. Additionally, many people moved there without considering the flood rates and how to prepare for them.

Flood Rate Premium Rates Rising

If someone lives in Florida or Texas, they will see their rates rise. The group that sets the flood zone rates is the Federal Emergency Management Agency (FEMA). Additionally, they plan to raise the rates for almost 90 percent of homeowners in these states. Prices are increasing because FEMA is changing the way they determine flood risks.

As a real estate agent, it is your job to help homeowners understand the cause of these rates and how to navigate around them. Additionally, flood rates for homeowners could produce a trickle affect and affect those who own multiple properties. There are steps to help secure your properties and counteract the rising flood rates.

Real Estate Insurance

Real Estate Insurance is a tailored coverage that can help offset the costs of floods and other significant damages. Also, it can help real estate agents and property managers know the figures and what they have to pay.

Flood Insurance

Flood Insurance is something many homeowners will need to secure their interests and ensure they have the best protection. It might help cover the costs of any weather-related event that could damage a home. Whether it is a hurricane or a tornado, commercial flood insurance can help cover the costs to repair.

Strategy

The best way to help homeowners is by understanding the rates and why flood rates are going up. Once agents understand the process and why FEMA has changed its model, they will be ready to break the figures. Lastly, it will help both homeowners and real estate agents understand the future outlook.

About Baldon Group

Baldon Group Founder and CEO Tom Donohue has more than 20 years of commercial insurance experience specializing in difficult insurance placements and high-risk accounts. The industry niches we specialize include construction, real estate, hospitality, and high-valued homes in coastal communities.