2014 Means More Flood Insurance Increases for Some Delmarvans - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

2014 Means More Flood Insurance Increases for Some Delmarvans


WOOLFORD, Md.- One year ago Wednesday, the first round of increases in flood insurance premiums through FEMA began, and it's not stopping in 2014.

FEMA director Craig Fugate said the increases come after Congress passed the Biggert-Waters Flood Insurance Reform Act of 2012 in order to help close FEMA's $24 billion debt; caused by the number of severe storms in the past decade.

On Delmarva, the Collins' home is along the water, like many across the peninsula.  And since they live in a flood zone, they are required to have flood insurance, but Nancy Collins thinks their premium is too high.

"It's disproportionate for those of us that have had very small claims and who in fact are challenged by the dramatic rapid increase in our premiums," said Collins.

Collins said her flood insurance cost more than her homeowners' insurance, and she isn't even in a high-risk area. Back in 2003, the storm surge from Hurricane Isabel caused the water to rise so much that it entered the Collins' sunroom and utility room.  But the family said that's the first and only time water has entered their home since it was built in 1958.  Collins said those who live in the low risk areas should keep their low rates, and higher rates should go to the higher risk areas.

"They need to go back and look at the system and see if the people who are really paying these increased premiums are paying for their own coverage or for others." said Collins.

But Eddie Bramble, another resident of Woolford, said that whenever the government makes a mistake, the public has to pay for it.

"That's unfortunately the price we pay.  There's no real work around, it comes out of the public's pocket one way or another," said Bramble.

FEMA said they need $1.5 billion from subsidized policy holders to keep the program afloat.

A full statement from FEMA director Craig Fugate can be found here.


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