“In the aftermath of Hurricane Helene wreaking havoc across the Southeastern U.S., homeowners in the hardest-hit regions are facing the daunting challenge of financing flood damage caused by one of the deadliest storms in recent memory. This Category 4 hurricane, which initially made landfall on Florida’s Gulf Coast on September 26, unleashed trillions of gallons of water across multiple states, leaving behind a swath of catastrophic destruction that extended hundreds of miles inland. With a death toll exceeding 200, Helene now stands as the deadliest hurricane to strike the mainland U.S. since Katrina, as reported by the National Hurricane Center.
Severe flooding devastated Western North Carolina and the Asheville area, obliterating structures, roadways, utilities, and landscapes in an unforeseen manner that caught residents off guard. The impact also reached inland areas in portions of Georgia and Tennessee, leaving a trail of destruction that was difficult to brace for.
In the Oak Forest neighborhood of south Asheville, the idyllic scenery of trees towering over 1960s ranch-style homes on spacious properties was disrupted on September 27 by the aftermath of Helene. Several trees came crashing down, with some landing on houses, including Julianne Johnson’s residence. While her home narrowly escaped a massive oak tree falling onto it, a portion of the metal porch was crushed, the roof was damaged, and the basement flooded. Dealing with challenges like a damaged roof covered by a tarp held down with a brick and waterlogged carpets awaiting disposal, Johnson faced delays in filing a home insurance claim due to communication outages in the storm’s aftermath.
While typical home insurance policies may cover damage from roof and tree incidents, flood damage poses a separate predicament. Homeowners like Johnson, lacking flood insurance, now confront uncertainties about financing the aftermath of the disaster. Despite longstanding cautions from insurance professionals regarding the limitations of standard home insurance in flood scenarios, many individuals remain unaware of the divergent coverage aspects. With most private insurers not offering flood insurance, the reliance falls on the National Flood Insurance Program under the Federal Emergency Management Agency, established over 50 years ago after private insurers withdrew from high-risk areas.
Having endured significant financial losses, Helene survivors without flood insurance face grim prospects of rebuilding, with potential repercussions ranging from foreclosure to bankruptcy. While some areas may remain unreconstructed, others have witnessed widespread water damage and even mudslides that erode the land beneath homes. Although private home insurance policies typically cover wind damage from hurricanes, the industry is relieved by the manageable scale of losses from Helene, contrasting starkly with the devastating impact of prior climate-related disasters like wildfires and tornadoes.
Amy Bach, executive director of United Policyholders, expressed profound concern over the flood devastation in North Carolina, highlighting the impending disappointments faced by individuals in their recovery journey. As FEMA strives to address immediate needs post-Helene, the agency acknowledges funding shortages for the ongoing hurricane season, underscoring the urgency for a comprehensive disaster insurance mechanism akin to the Affordable Care Act for property insurance.
In response to the pressing need to raise awareness about flood risk and coverage availability, North Carolina implemented measures post-Hurricane Floyd in 1999 to educate insurance agents and mandate clear disclosures in home insurance policies regarding flood coverage limitations. As residents grapple with the aftermath of Helene, the call for proactive disaster preparedness and adequate insurance coverage remains imperative, emphasizing the unpredictable nature of natural disasters and the importance of safeguarding against potential risks.”
