Harvey Could Bankrupt The Federal Flood-Insurance Program
Hurricane Harvey may solve the auto industry’s inventory problem. But right now, it's about to create a giant headache for the federal government.
Based on the latest estimates from Irvine, California-based CoreLogic, insured flood losses for homes in the affected areas of Texas and Louisiana could total between $6.5 billion to $9.5 billion. Since private insurers typically don’t provide personal flood insurance, all but $500 million of that will fall to the Federal Emergency Management Agency’s National Flood Insurance Program, or NFIP.