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Flood Risk Reaches New Depths

September 29, 2021

Portland Press Herald/Getty Images


For many, a beachfront home is the pinnacle of the American dream: soothing ocean sounds, balmy ocean breezes, and a year-round view of one of our sea-to-shining seas. Unfortunately, there’s a downside that dampens the appeal of waterfront homes (other than a permanent coating of sand): as temperatures rise globally, flooding continues to become a greater and greater threat to homeowners all over the continent.

Anyone looking to dip their toe into coastal real-estate should be aware that starting October 1st, the NFIP is beginning to remove the subsidized insurance that’s kept some waterfront homes affordable regardless of their replacement cost. Federal law prohibits FEMA from raising premiums more than 18% a year, and only 331,000 single-family homes will be hit with significant increases on their flood policies while 627,000 homes will actually see their insurance costs fall.

Christopher Flavelle of the New York Times takes a deeper dive into the effects of the subsidies here.

If you have a flood question or two you’d like to float by a Chartwellian, you can reach us anytime at 312.645.1200, or shoot us an email at mypolicy@chartwell.com. We’re always happy to help, whatever the weather!