I attened the Future of Flood Insurance Summit in Miami this week. With the whole FEMA program being re-authorized and private carriers anxious to get in the market, it’s an exciting time for an insurance geek.
One fascinating situation we heard about from an attorney involved in the case is happening in Houston. There are now two defined parties in a class action suit for Inverse Comdemnation, where there properties were effectively destroyed due to government action. The two different parties are the ones who lived ABOVE the flood control equipment, who flooded because the authorities held back on opening the controls to let water through, because that would flood the communities BELOW the equipment. The second group is the group BELOW the equipment, who ‘only’ flooded because the water was released!
A no-win if there ever was one.