The words 'do not' were inadvertently omitted before 'worsen' in the last sentence of the Becker comment.
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09/11/2005
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In which case, I agree with him.
Posted by: Anonymous | 09/12/2005 at 07:35 PM
You say: "It's a puzzle why so few people buy flood insurance even in areas of the country that are prone to flooding.
You must have flood insurance to get secured financing to buy, build, or improve structures in Special Flood Hazard Areas (SFHAs). Lending institutions that are federally regulated or insured must determine if the building is in a SFHA and require flood insurance on:
* FHA loans
* VA loans
* second mortgages
* home equity loans
* home improvement loans
* construction loans
* commercial loans
* farm credit loans
http://www.fema.gov/nfip/
While "the poor" may not have debt from federally insured institutions, I would think most properties in Katrina's wake would be req'd to haveit. Politics helps dictate the socialization oof the idiocy of building in a flood-prone environment; but given the laws, wouldn't the property owners have recourse against the banks which didn't require flood insurance, and wouldn't the taxpayer (Fed Govt) as well?
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