FEMA’s National Flood Insurance Program is criticized for enabling homeowners to rebuild in flood-prone areas repeatedly, raising concerns about sustainability and taxpayer costs. The current model encourages development in regions likely to face more frequent and severe flooding due to climate change impacts, contradicting principles of prudent planning. Critics argue that private insurers avoid covering flood risks for good reason, reflecting a broader issue of incentivizing construction in vulnerable locations. A call for policy reform suggests phasing out subsidies for such properties while gradually increasing premiums to actuarially sound levels.
Source and Details