Flood insurance rates impacted by hurricanes

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After Hurricanes Irma and Harvey, the number of flood insurance claims will of course be skyrocketing.

Thousands of miles away you would think what's happening in Florida and Texas wouldn't have an affect on North Dakota.


"At best the influence will be indirect," says Evan Mandigo, State Executive of the Independent Insurance Agents.

That's because most people's flood policies are under the National Flood Insurance Program.

A program that is already in fiscal trouble because it doles out more than it makes.

Like serious losses during Hurricane Katrina and Sandy.

"More claims are paid out than income comes in, it would have pressure on rates for everybody. But it's really too soon to know what the impact of Harvey and Irma will be," said Mandigo.

Insurance commissioner Jon Godfread says the same... It's too soon to tell if North Dakota rates will be affected by claims in Texas and Florida.

But because most people are under the NFIP umbrella, we may see some slight changes due to Harvey and Irma.

"It's about 23 billion dollars underwater," says Mandigo.

But with the program reauthorization expiring soon, North Dakotan flood insurance holders may see major changes as Congress figures out how to reform the program.

The National Flood Insurance Program Reauthorization expires at the end of September.

It covers about 5 million policyholders. ​