Insurers See Storm Clouds Over Brooklyn
Home insurers are increasingly dropping coverage or raising fees for Brooklynites, claiming the borough’s properties are in a high-risk hurricane zone—no matter how landlocked those properties happen to be. According to an article in New York Magazine, Allstate and other big firms have been nixing policies in neighborhoods like Park Slope and Ditmas Park, saying…
Home insurers are increasingly dropping coverage or raising fees for Brooklynites, claiming the borough’s properties are in a high-risk hurricane zone—no matter how landlocked those properties happen to be. According to an article in New York Magazine, Allstate and other big firms have been nixing policies in neighborhoods like Park Slope and Ditmas Park, saying they’re vulnerable to a Katrina-like catastrophe. “There’s no differentiation [in terms of] distance to water,” notes insurance broker Banach, who says he’s seeing two or three non-renewals every week. Sure, the city’s surrounded by water, but it seems pretty boneheaded to tax owners all over Brooklyn without regard to how close they are to the coast, or whether they’re in flood zones. As the flood maps show, not all areas are created equal when it comes to the threat of flooding. Anyone have trouble getting coverage lately?
The Storm Before the Storm [New York]
State Farm is evil. You’d might be better off stashing your policy premiums in your mattress than paying them for “coverage”.
The only thing they cover is themselves. And the only reason they have adjusters is to justify them NOT covering their customers.
Another good reason to move to the “Heights”, whichever one you chose.
Granted, it is only a matter of time until RE agents point this out in the listings.
“Great buy, $400K Heights studio, insurable and out of the flood zone”. Hooray.
where’d ya get that great pic?
Not a homeowner in Brooklyn yet.
For those of you lucky enough to have coverage, what are you paying for say a 2 family brownstone? Or are there so many facors I am not even thinking about that the range is wide?
Allstate dropped us last year.
You all need to read this on how insurance companies are ripping off home owners.
http://www.bloomberg.com/news/marketsmag/mm_0907_story1.html
Is it flooding or wind damage that is the reason why the insurance companies are changing coverage? I think that the big issue in a lot of the Katrina related litigation was whether the damage was due to flooding (not covered) or wind (covered).
I was dropped by All State. I’m in Park Slope near 7th ave and quite far away from any water. I also had a really hard time getting insurance from almost ANY provider due to what I consider to be pretty silly hurricane worries.
All State is not accepting new policies for ANYWHERE in the 5 boroughs… think about how much business they are turning away. Supposedly there was a big hurricane 70 years ago and there’s supposed to be a 70-some-odd year cycle.
Considering most of Brooklyn (not all, I realize) sits atop several glacial rifts, I’d like we’d have more beach front property than flooding.
I understand someone who lives in Coney Island or in Sunset Park on 1st Ave, but Park Slope and Ditmas Park? Please!
NY Times article from earlier this year clearly showed folks will be flocking to South Brooklyn if a hurricane hits. Perhaps we can charge as much as Hotel Le Blue due to our elevation?