Flood Claims from Irene still not Processed

In a recent report, 25% of flood claims from hurricane Irene are still not processed and small businesses are suffering. The NFIP is responsible for paying the claims and private insurers are responsible for processing them. Fingers are being pointed at the NFIP because they have yet to fund the claims. Private insurers who process them are not putting their own money to settle the claims. This is another burden on small businesses and shows the inefficiency of the Federally run program. This also gives us in the insurance industry cause for worry as many of our clients are covered by the NFIP. As agents we sell flood insurance to our customers because our job is to protect our clients assets. Our concern however is that the NFIP is like a low rated insurance company who cannot pay claims. Mutiple claims from multiple weather events could force the risk back on agents who have sold the policies. We can only hope that the Fed will finally fix the NFIP and make sure that claims are paid timely so that small businesses can rebuild after unfortunate weather events. Until next time be careful out there and know your risks. K

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