Lessons from deadly Texas floods: Experts: Almost all homeowners should buy flood insurance

The Guadalupe River in Texas flooded over the weekend, and the death toll continued to rise. The search and rescue operation is ongoing. USA Today analyzed that this incident reflects the cruel reality that under climate change, the American people and the houses they live in are not yet prepared for extreme climate shocks. Experts point out that almost all homeowners should consider buying flood insurance, regardless of whether they live in coastal areas.

The “Camp Mystic” summer camp site where the tragedy occurred is located on the edge of the “Special Flood Hazard Area” designated by the Federal Emergency Management Agency (FEMA). In 1987, this area was hit by flash flooding caused by heavy rains, killing 10 teenagers in the camp.

Even if the potential risks are understood, the protection effect is still not enough for people who own houses.

In Kerr County, where the “mysterious camp” is located, only 2,650 houses are located in the danger zone designated by the Federal Emergency Management Agency, which means that the houses must purchase flood insurance according to the law. For other houses, general residential insurance (Homeowners’ insurance, also known as homeowner insurance, house insurance) does not compensate for losses caused by floods.

According to the model of the non-profit research organization “First Street Foundation”, there are actually 4,592 houses in Kerr County that will encounter “once-in-a-century” floods, almost twice the number of houses in FEMA’s “special flood risk areas”.

Jeremy Porter, director of the climate impact department of the “First Street Foundation”, said that among homeowners whose houses may be threatened by floods, only about 50% purchase flood insurance.

Which homeowners need to buy flood insurance? The New York Times analyzed that, based on the current situation, almost all homeowners need to buy flood insurance.

Hurricane season runs from June to November each year. The National Oceanic and Atmospheric Administration (NOAA) estimates that there may be 19 named storms this year, of which 6 to 10 will strengthen into hurricanes.

Insurance experts say that homes in coastal areas are more likely to be threatened by floods, but floods have occurred frequently in inland areas in recent years because climate warming has made storms more powerful and caused severe rains. Experts say that even if you don’t live in coastal areas, homeowners should consider buying flood insurance.

Take Hurricane Helene in September 2024 as an example. It was a Category 4 hurricane when it landed on the coast of Florida, and then moved northward hundreds of miles inland, affecting six states, with record-breaking floods in western North Carolina.

Amy Bach, executive director of the nonprofit consumer advocacy group United Policyholders, said: “When it rains, there is a chance of flooding. Regardless of whether you live in a coastal area, it is best for homeowners to get a flood insurance quote and buy it if they can afford it, even if the deductible is high, because the cost of rebuilding a house after a disaster is very high.”

Many homeowners affected by Hurricane Helene did not have flood insurance. Statistics from the Insurance Information Institute, an industry group, show that less than 1% of residents in Buncombe County, North Carolina, which was hit hard by the disaster, have flood insurance.

Flood insurance premiums vary depending on the location of the house, the size of the house, the structure of the building, and other conditions. According to information from the financial website Bankrate, the average annual flood insurance premium is about 898 yuan, and the premiums are higher in areas prone to flooding.