Tag Archives: fema

Cost of Flood Insurance Rises

Posted on October 18, 2013 | Leave a comment

MIAMI — Sharp increases in federal flood insurance rates are distressing coastal homeowners from Hawaii to New England and are starting to hurt property values and housing sales in areas just beginning to recover from the recession, according to residents and legislators.

In recent weeks, the hefty flood insurance rate increases brought about by a 2012 law have stoked widespread alarm and uncertainty, prompting rallies, petitions and concern among state governors. Mississippi has sued the federal government to try to block the law. The issue has even garnered the attention of lawmakers, otherwise mired in the acrimonious government shutdown. A bipartisan group of senators and House members from Gulf Coast states are pressing for significant adjustments to the law once the Capitol returns to normal.

Have questions about FEMA? Contact the appraisers at www.scappraisals.com; their appraisers are certified FEMA inspectors.

The law, officially known as the Biggert-Waters Flood Insurance Reform Act, is being rolled out in stages, with a major part having gone into effect on Oct 1. It removes subsidies that keep federal flood insurance premiums artificially low for more than a million policy holders around the country — a discount that was applied to properties that existed before the drawing of flood insurance rate maps.

An estimated 20 percent of the property owners with federal flood insurance received these subsidies as the new law went into effect, and their premiums will rise, in some cases precipitously, either now, over the next several years or whenever they sell their properties. The exact amount of the increase depends on the home’s elevation above flood level.

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Prepare Your House and Finances for Natural Disaster

Posted on July 22, 2013 | Leave a comment

When a storm is bearing down or a wildfire or tornado is approaching, you don’t want to be thinking about all the things you should have done to protect your family, house and finances.

So with wildfires raging in parts of the West, and hurricane season in full swing, taking some crucial steps in advance—especially if you live in a region prone to natural disasters—can help you minimize any damage.

Contact the appraisers at www.scappraisals.com for your value questions, some of their appraisers are also certified FEMA inspectors and can answer your questions about the inspection process.

“It’s imperative to make sure you are prepared,” says Thomas Kirsch, a member of the American Red Cross Scientific Advisory Council and co-director of the Center for Refugee and Disaster Response at Johns Hopkins University. “Get things ready to go,” he says, with a disaster kit “and the appropriate financial stuff available to you.”

1. Make a Plan

Create an emergency plan, detailing where you and family members would meet up after a disaster and how you’d stay in touch. Also designate an out-of-state contact whom people can call if they’re unable to get to the meeting spot.

Next, put together a disaster kit and store it in a place all family members can easily access. The disaster kit should include nonperishable food items and water for your family to last 72 hours, a first-aid kit, a flashlight and batteries. Also be sure to keep some cash on hand in case you can’t access a bank or ATM.

Disclaimer: for information and entertainment purposes only

Deducting Losses Due to Disaster

Posted on June 19, 2013 | Leave a comment

Many people reeling from the impact of hurricanes, super storms, fires, floods and other disasters this year may be wondering what, if any, relief they can get on their taxes.

In many cases, the answer will be disappointing. Congress generally has erected high barriers to deducting casualty losses.

But some victims of nature’s savagery may benefit from a little-known—and somewhat counterintuitive—tax-law twist designed to help those with losses in places that were declared as federal disaster areas by the president.

If you have questions regarding the value of your property contact the appraisers at www.scappraisals.com; they are certified FEMA inspectors.

First, here is a refresher course on deducting casualty and theft losses on personal-use property.

The big hurdle facing taxpayers is known as “the 10% rule.” Also watch out for the $100 rule. Here is how the Internal Revenue Service summarizes these rules in Publication 584:

“If the loss was to property for your personal use or your family’s, there are two limits on the amount you can deduct for your casualty or theft loss.

“1. You must reduce each casualty or theft loss by $100 [$100 rule].

“2. You must further reduce the total of all your losses by 10% of your adjusted gross income [10% rule].”