Sampling consumers throughout the country, the survey results uncover timely data and opinions about flood risk and flood insurance. The results provide a potential roadmap for the industry and government to work together to address and improve flood insurance coverage across the US.
Key findings include:
1. Consumers significantly underestimate their level of risk of flooding:
- 63% believe that they have Low Risk or No Risk of flooding, whereas according to a
Verisk2019 study, 62M homes representing over 50% of US homes are at Moderate to Extreme Risk
- 65% of Floridians perceive themselves to be at Low to No risk of flooding.
2. A perception that flood insurance is expensive:
- 45% of those that non-renewed and 45% of those that never bought flood insurance opted to not purchase due to perceptions or concerns about the cost of flood insurance, when the average flood insurance policy sold in 2019 was approximately
3. Misunderstanding about what entity provides their insurance:
- 57% reported having private insurance, with only 41% reporting to have NFIP insurance
- Since approximately 90% of homeowners with flood insurance have the government's National Flood Insurance Program (NFIP) policies, there is great misunderstanding of private coverage by homeowners who actually have an NFIP policy.
4. Private insurance companies are perceived to be more efficient at paying claims
- 56% expect private insurers to be more responsive at claims processing
- Consumers have high confidence in both private insurers and the NFIP in honoring claims.
"The survey highlights a significant underestimation of flood risk despite years of climate change-driven extreme flooding throughout the country," said
The survey was designed and conducted by the
For the full survey results, please visit https://neptuneflood.com.
ABOUT NEPTUNE FLOOD:
Neptune Flood was founded in 2017 by insurance and technology industry veterans, including Chairman,
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SOURCE Neptune Flood