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Financing Flood Losses: A Discussion of the National Flood Insurance Program

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  • Carolyn Kousky

Abstract

The National Flood Insurance Program (NFIP), housed in the Federal Emergency Management Agency, has been providing flood insurance to households and businesses for almost 50 years. To inform the policy discussion leading up to reauthorization, this article analyzes five aspects of the NFIP: (1) risk modeling and risk communication, (2) the roles of the public and private sector, (3) take‐up rates, (4) incentives for risk reduction, and (5) rate setting and the financing of catastrophic flood events. Suggestions for reform are discussed.

Suggested Citation

  • Carolyn Kousky, 2018. "Financing Flood Losses: A Discussion of the National Flood Insurance Program," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 21(1), pages 11-32, March.
    • Handle: RePEc:bla:rmgtin:v:21:y:2018:i:1:p:11-32
    DOI: 10.1111/rmir.12090
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    References listed on IDEAS

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