Even as Florida prepared for another catastrophic hurricane, recent estimates show that Hurricane Helene cost property owners up to $47.5 billion.
According to CoreLogic, Helene, a fatal Category 4 hurricane that made landfall on September 26, produced “widespread and devastating” flooding in Florida, North Carolina, South Carolina, and Georgia.
However, many residents in Helene’s path lacked flood insurance. CoreLogic believes that Helene caused between $20 billion and $30 billion in uninsured flood losses.
As Hurricane Milton Threatens The US, Helene Could Cost Property Owners More Than $47 Billion
That much exceeds the firm’s forecast of $10.5 billion to $17.5 billion in uninsured wind and flood damages.
“A significant portion of the losses from this hurricane are likely to go uninsured, leaving the individual property owner responsible for paying for repairs,” according to CoreLogic in a Friday report.
Overall, CoreLogic estimates that Hurricane Helene produced $30.5 billion to $47.5 billion in combined wind and flood losses across 16 states. The company stated it does not intend to release another update unless fresh developments merit it.
The latest cost calculations come as Hurricane Milton approaches Florida, quickly strengthening from a tropical storm to a catastrophic Category 4 hurricane in less than 20 hours.
Milton threatens to cause extra devastation to the region, emphasizing the lack of flood insurance in communities that continue to suffer significant flooding risks.
Helene’s severe rains devastated entire communities in western North Carolina. Helene has killed at least 232 people in six states, making it the second worst hurricane to hit the US mainland in the last 50 years.
Even when hurricanes have been exacerbated by record-warm seas in the Gulf of Mexico, traditional homeowners insurance policies often do not cover floods.
As Hurricane Milton Threatens The US, Helene Could Cost Property Owners More Than $47 Billion
Homeowners frequently have to acquire flood insurance independently, usually via the National Flood Insurance Program, which is handled by the Federal Emergency Management Agency.
Homeowners are not required to obtain flood insurance unless they have a federally backed mortgage and their home is in a 100-year flood zone known as the Special Flood Hazard Area (SFHA).
“Lenders do not require homes without a mortgage or those outside the SFHA to have flood insurance,” the firm claimed.
According to CoreLogic, the great majority of Hurricane Helene’s damage was caused by floods, with wind accounting for only $4.5 billion to $6.5 billion in losses. The majority of the Florida wind losses occurred in Perry, a small town of only 7,000 people.
SOURCE | CNN
