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FEMA Releases Document On Flood Policy Changes

April 8, 2014, 5:02 AM

FEMA Releases Document On Flood Policy Changes

The Federal Emergency Management Agency has released updated guidelines on a new law to lessen the blow of flood insurance premium hikes.

The guidelines could potentially affect more than 1,600 South Dakotans with subsidized flood insurance.

A 2012 federal policy sought to make the cost of national flood insurance rates reflect actual risk causing rates to spike.

President Barack Obama signed a policy in March to ease the rate transition with annual increases.

FEMA's document explains that the policy change will take time to implement.

Some people will receive refunds for excess premiums they paid after the 2012 law took effect.

And a new surcharge will be added to flood premiums. Policies for people's primary residence with include a $25 surcharge. A $250 surcharge will be added to other policies.

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