Flood Insurance Premiums Are Rising

One option for flood insurance at higher limits or greater exposure is now stacking coverage, creating a base layer with the National Flood Insurance Program (NFIP).  Knowing that the government funded program is the foundation, some carriers are more willing to offer additional protection on top of that layer.  We are also seeing a shift to a new alternative, parametric flood insurance.  Parametric flood coverage is an option where an insurance carrier would set a payout limit and place a sensor in an agreed location.  When a flood event triggers the sensor, an automatic payout is issued immediately.  There are no inspections to verify a flood event or waiting months for the settlement.  For larger scale commercial exposures, parametric may be the future of flood insurance.  Keep reading here for more information.