What Happens When the Flood Insurance Market Goes Underwater?

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More homeowners than ever need flood insurance. Fewer than ever can afford it.

This story was originally published by Grist. Sign up for Grist’s weekly newsletter here. This story is the second in a four-part Grist series examining how climate change is destabilizing the global insurance market. It is published in partnership with the Economic Hardship Reporting Project. For millennia, the South has been shaped by its water.

A lapse in the NFIP, which would disrupt thousands of real estate transactions a day, was only avoided by a temporary 45-day extension. In the meantime, a slew of major disasters this summer had depleted FEMA’s Disaster Relief Fund, running the agency into debt and forcing it to restrict its activities in August.

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