Insurer Proposes Wind and Flood Insurance Combined into One Policy
Nationwide Insurance hopes the new policy would forestall litigation after a major disaster such as Katrina.
Palm Coast, FL – June 26, 2008 – Nationwide Insurance says it wants to offer both wind and flood insurance under one policy. Hundreds of lawsuits were filed after Katrina dealing with traditional insurance policies which exclude damage from flooding. It’s not always clear which event (wind or flood) contributed to the damage. Nationwide hopes its new proposal will take care of that problem.
“Americans need not suffer through a catastrophic event lacking the comprehensive insurance coverage they need,” said Jerry Jurgensen, Nationwide CEO. “If Hurricane Katrina taught us anything, it is that the market needs a home insurance product that covers flooding as well as wind damage in one policy.”
Because the federal government currently supplies flood insurance, the proposed Enhanced Homeowners Insurance Policy will need the consent of Congress. Nationwide would offer the combined insurance with the government underwriting the flood portion. Recent events in the midwest prove that such a proposal would be welcomed by more than just coastal homeowners.
FLOOD INSURANCE
ITS NICE THAT NATIONWIDE IS INCLUDING THAT COVERAGE. IT\\’S NOT SO NICE THAT NATIONWIDE IS NON RENEWING A LOT OF THEIR COASTAL COUNTY CUSTOMERS.