Flood Insurance

[nsacpi]

https://www.cnn.com/2022/10/09/us/hurricane-ian-central-florida-flood-insurance-invs/index.html

Tough situation in Florida. We socialized the risks after Sandy, Harvey and other storms. Which distorts market signals about risks associated with building in certain locations.

 

[msstate7]

Man, I can't imagine how awful it was be to get news your insurance isn't gonna cover

 

[Tapate50]

This hasn’t changed.

The government runs the NFIP. Normally for a hurricane, it’s the storm surge and rising water that gets you. Most people I. Florida know this, and chose not too.

They also don’t know the numbers yet as adjusters probably haven’t gotten to that many people yet. So I’d pump the brakes a lot on this

 

[acesfull86]

https://www.cnn.com/2022/10/09/us/hurricane-ian-central-florida-flood-insurance-invs/index.html

Tough situation in Florida. We socialized the risks after Sandy, Harvey and other storms. Which distorts market signals about risks associated with building in certain locations.

Have to break the cycle at some point.

 

[nsacpi]

Have to break the cycle at some point.

we can keep socializing the costs

but it would be more efficient if the risk associated with building in high risk areas was folded into the price

 

[Tapate50]

It is

 

[thethe]

we can keep socializing the costs

but it would be more efficient if the risk associated with building in high risk areas was folded into the price

Are you saying that all parties involved in real estate transactions know about the risk of hurricanes and that there is no coverage but aren't considering that in the overall value?

 

[nsacpi]

Are you saying that all parties involved in real estate transactions know about the risk of hurricanes and that there is no coverage but aren't considering that in the overall value?

No. My point is some of the risk is socialized. So the two parties to the transaction are passing on some of the cost to the rest of us.