NEW YORK, May 26, 2020 /PRNewswire/ -- Where disasters are
concerned, 2020 is destined to go down in history as the year of
the COVID-19 pandemic — but that doesn't make the threat of
seasonal weather events any less urgent. As the Atlantic hurricane
season approaches, and severe flooding overwhelms parts of central
Michigan - ValuePenguin.com has
just published a report showing cities where homeowners face the
greatest financial risk and exposure to flooding.
According to ValuePenguin.com's analysis:
- Across the 100 largest U.S. cities, there are only four
active flood insurance policies for every 10 houses located in
high-risk flood zones, or what FEMA designates as "100-year
Floodplains". Most of these policies are concentrated in
regions such as Florida and
Louisiana, where homeowners are
widely aware of the flood risks and are adequately
prepared.
- In seven of those 100 major cities, there are fewer than two
active flood insurance policies for every 100 houses located in a
high-risk flood zone. These cities are Boise, Idaho, Riverside, California, Detroit, St.
Louis, Cleveland,
Minneapolis, and Youngstown, Ohio.
- Homeowners in 100-year floodplains do not realize that their
homes have a 26% chance of being flooded over the duration of a
30-year mortgage. FEMA maps out areas at high risk of flooding
through the use of the 100-year floodplain — also referred to as
special flood hazard areas (SFHAs), which have a 1% chance of
flooding in any given year. While that may not sound like a high
level of risk, it becomes substantial when multiplied over several
decades.
- FEMA's changing maps are behind why so many homeowners in
high risk flood zones don't have flood insurance. Climate
change and more accurate mapping techniques are placing more
homes in the 100-year floodplain. There may be a lag between homes
getting hit with the high-risk designation and getting notice that
they now need flood insurance. Additionally, lenders and
homeowners can appeal the flood zone designation of a property to
avoid the expenses associated with flood insurance.
- The average cost of flood insurance is $708/year but the rates vary greatly depending by
property and location. Because standard homeowners
insurance does not cover flood damage, it's important for
homeowners to obtain effective flood insurance as a separate flood
insurance policy as soon as possible to mitigate the financial
fallout from floods.
ValuePenguin.com analysts did a deep dive into data from the
National Flood Insurance Program, as well as New York University's Furman Center to identify the
relationship between the number of active flood insurance policies
and the number of owner-occupied housing units located in the
100-year floodplain. To view the full report, visit:
https://www.valuepenguin.com/flood-insurance-coverage-cities
Top 50 Cities Where
Homeowners Face the Biggest Risk From Floods
|
City
|
Total housing
units
|
Housing units in
100-year floodplain
|
Active flood
insurance policies
|
Homes With Flood
Insurance
|
Boise, ID
|
252,922
|
8,718
|
1
|
0.00%
|
Riverside,
CA
|
1,521,284
|
40,083
|
344
|
0.90%
|
Detroit,
MI
|
1,891,400
|
57,380
|
495
|
0.90%
|
St. Louis,
MO
|
1,234,148
|
26,863
|
307
|
1.10%
|
Cleveland,
OH
|
956,075
|
14,738
|
196
|
1.30%
|
Minneapolis,
MN
|
1,412,408
|
40,624
|
609
|
1.50%
|
Youngstown,
OH
|
260,750
|
5,003
|
89
|
1.80%
|
Cincinnati,
OH
|
917,451
|
23,599
|
477
|
2.00%
|
Pittsburgh,
PA
|
1,107,264
|
22,111
|
447
|
2.00%
|
Grand Rapids,
MI
|
407,242
|
8,883
|
181
|
2.00%
|
Akron, OH
|
314,191
|
6,790
|
140
|
2.10%
|
Chicago,
IL
|
3,800,969
|
75,848
|
1,713
|
2.30%
|
San Francisco,
CA
|
1,763,363
|
48,411
|
1,137
|
2.30%
|
Rochester,
NY
|
471,973
|
9,231
|
235
|
2.50%
|
Ogden, UT
|
211,632
|
2,933
|
77
|
2.60%
|
Dayton, OH
|
368,556
|
9,503
|
275
|
2.90%
|
Orlando,
FL
|
964,253
|
142,388
|
4,169
|
2.90%
|
Columbus,
OH
|
832,255
|
27,324
|
917
|
3.40%
|
Bakersfield,
CA
|
289,529
|
14,136
|
496
|
3.50%
|
Milwaukee,
WI
|
671,344
|
17,172
|
609
|
3.50%
|
Albuquerque,
NM
|
378,660
|
20,749
|
738
|
3.60%
|
Springfield,
MA
|
254,960
|
5,735
|
204
|
3.60%
|
Syracuse,
NY
|
289,354
|
5,907
|
228
|
3.90%
|
Hartford,
CT
|
507,998
|
23,674
|
919
|
3.90%
|
Worcester,
MA
|
377,803
|
8,842
|
344
|
3.90%
|
Boston, MA
|
1,900,927
|
134,685
|
5,323
|
4.00%
|
Providence,
RI
|
693,380
|
44,686
|
1,881
|
4.20%
|
Allentown,
PA
|
343,328
|
7,822
|
340
|
4.30%
|
Birmingham,
AL
|
505,097
|
19,518
|
897
|
4.60%
|
Atlanta,
GA
|
2,202,308
|
69,013
|
3,301
|
4.80%
|
Kansas City,
MO
|
880,710
|
16,577
|
805
|
4.90%
|
Richmond,
VA
|
514,700
|
11,092
|
605
|
5.50%
|
Madison,
WI
|
273,123
|
7,901
|
447
|
5.70%
|
Toledo, OH
|
272,553
|
10,221
|
579
|
5.70%
|
Salt Lake City,
UT
|
394,677
|
3,008
|
172
|
5.70%
|
Buffalo,
NY
|
519,952
|
7,262
|
420
|
5.80%
|
Knoxville,
TN
|
387,132
|
6,323
|
381
|
6.00%
|
Tulsa, OK
|
418,311
|
24,611
|
1,497
|
6.10%
|
Fresno, CA
|
321,955
|
4,734
|
291
|
6.10%
|
Memphis,
TN
|
560,530
|
22,364
|
1,465
|
6.60%
|
Tucson, AZ
|
446,769
|
20,176
|
1,460
|
7.20%
|
Spokane,
WA
|
233,817
|
1,717
|
126
|
7.30%
|
Harrisburg,
PA
|
244,633
|
10,156
|
793
|
7.80%
|
Wichita,
KS
|
269,297
|
10,813
|
884
|
8.20%
|
Oklahoma City,
OK
|
550,954
|
21,956
|
1,808
|
8.20%
|
Modesto,
CA
|
180,169
|
2,518
|
214
|
8.50%
|
Lancaster,
PA
|
206,297
|
3,976
|
376
|
9.50%
|
Las Vegas,
NV
|
857,131
|
9,751
|
930
|
9.50%
|
Chattanooga,
TN
|
236,121
|
13,090
|
1,272
|
9.70%
|
Dallas, TX
|
2,606,732
|
93,600
|
9,335
|
10.00%
|
About ValuePenguin.com: ValuePenguin.com, part of
LendingTree (NASDAQ: TREE), is a personal finance website that
conducts in-depth research and provides objective analysis to help
guide consumers to the best financial decisions. ValuePenguin
focuses on value, assessing whether the return of a particular
decision is worth the cost or risk of that option, and how this
stacks up with the other possible choices they may have. For more
information, please visit www.valuepenguin.com, like our Facebook
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Additional Information:
https://www.valuepenguin.com/average-cost-flood-insurance
Media Contact:
Divya
Sangam (Ms.)
646 693 8445
Divya@valuepenguin.com
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