Goma Graveline Insurance
The Challenge
With funding support from the Gulf of Mexico Alliance, we are undertaking a pilot project in Dauphin Island, Alabama, to understand how marsh restoration projects that reduce flood risk can impact flood insurance premiums. In Graveline Bay, a recent marsh restoration project added over 60 acres of marsh. Nearby homeowners should have reduced flood risk from this project—but it is not clear how to get that integrated into their flood insurance prices.
The Approach
Our project is working with engineering and reinsurance partners—Moffatt & Nichol and Munich Re—to assess the risk reduction from the project and any subsequent changes in actuarial risk. We are engaging with approximately 40 nearby homeowners to discuss their flood insurance, Risk Rating 2.0, and the goals of this project. We are producing materials for each home with their change in flood frequency from the marsh restoration and the corresponding reduction in actuarial risk. After we have provided this information to the residents, we will provide additional support to them as they share their information with their insurance company.
We will track any roadblocks the homeowners face and troubleshoot as necessary. We will also share all our lessons learned with the broader community of stakeholders working to address flood insurance affordability and better understand RR2.0.
KEY TEAM MEMBERS
