Summary

The Center is focusing on Insurance Affordability and Availability because insurance prices should not dictate who lives on the Gulf Coast. By strategically exploring strategies for addressing insurance challenges, we are improving the existing insurance system while working towards larger transformational changes.

The Center’s three objectives for the Insurance Affordability and Availability focus area are:

• Risk Transparency. The Center is finding pathways to incorporate insurance-based risk assessments into individual and community decision making.

• Addressing Inaccuracies in Risk Assessments. The Center is piloting approaches to understand how the implementation of risk reduction measures can impact pricing of flood insurance.

• Flexible and Responsive Insurance Products. The Center is implementing pilot projects to explore the processes, communications, and structures needed to increase the availability of more flexible and affordable risk products, such as parametric and community-based insurance policies.

Read more about the Center’s Insurance Affordability and Availability Focus area in the 2024-2027 Strategic Plan here.

Early Bird Insurance Pilot - Looking for Partners!

Much of the forward-looking risk information held by insurers is inaccessible to local stakeholders like realtors, residents, building officials, and affordable housing developers. This has been exacerbated by Risk Rating 2.0 which has changed how flood risk is assessed and how that information is made available. Stakeholders have been reporting that housing developments and sales are falling through because of the high price of insurance. This could be avoided if risk information from those insurers were used to consider where and how to build the structures. Getting a quote earlier in the process, such as at the time of a design permit, can identify where there are opportunities to make changes before construction begins that could save thousands of dollars in insurance premiums.

The Center is looking for communities who are willing to pilot an approach where individuals seeking a permit for a new build are asked to also get an insurance quote based on their current design. It is an easy process and permit-seekers are not required to have an insurance quote to progress in the permit process, it is only suggested. Gathering information on how insurance quotes at early stages of development and design can help find pathways to more sustainable insurance pricing. If we can demonstrate positive change from these activities, we will also being to explore how to get standardized CRS points for these activities. If you are a municipal or county official interested in piloting this with us, please reach out to crc@thewaterinstitute.org!

Related Projects

Click the buttons to the left to read more about projects being completed by the Community Resilience Center at The Water Insitute.