Private Flood Insurance Alternative

The Insurance Journal is reporting that a private flood insurance carrier has come to Connecticut as an alternative to the National Flood Insurance Program.  The Flood Insurance Agency of Florida is now offering flood insurance policies in Connecticut, according to the company’s chief executive officer Evan Hecht.  This private flood insurance market has sprung up in response to federal legislation that eliminated subsidies on federal flood insurance policies.  As a result of the federal action, flood insurance obtained through the National Flood Insurance Program is now rated to more accurately reflect actual risk of flooding, which has resulted in sharp premium increases.  Hecht believes his company can provide an alternative for homeowners along the shoreline.  The Connecticut Insurance Department confirmed to the Insurance Journal that the Flood Insurance Agency is licensed to do business in Connecticut.