Florida Counties Retain Federal Flood Insurance Discounts — For Now

Communities receive discounts for taking flood mitigation measures.

Sara Getman
Written bySara Getman
Sara Getman
Sara GetmanAssociate Editor

Sara Getman is an Associate Editor at Insurify and has been with the company since 2022. Prior to joining Insurify, Sara completed her undergraduate degree in English Literature at Simmons University in Boston. At Simmons, she was the Editor-in-Chief for Sidelines Magazine (a literary and art publication), and wrote creative non-fiction.

Outside of work, Sara is an avid reader, and loves rock climbing, yoga and crocheting.

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Evelyn PimplaskarEditor-in-Chief, Director of Content
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Published July 31, 2024 at 12:00 PM PDT | Reading time: 2 minutes

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Pinellas, Estero, Cape Coral, Fort Myers Beach, and unincorporated Lee County are holding onto their National Flood Insurance Program (NFIP) discounts for now.

Floridians pay some of the highest rates for flood insurance, at $958 annually. 

FEMA’s Community Rating System (CRS) program offers conditional discounts for NFIP policyholders in communities that meet certain standards for flood-mitigation efforts. Earlier this year, some communities were at risk of losing their discounts due to unpermitted work, lack of documentation, and poor monitoring of work in special flood hazard areas, WGCU reported.

“FEMA is trying to create a situation where after every hurricane, they don’t have to pay for rebuilding all the same structures,” David Silverberg, a retired editor at Homeland Security Today, told WINK News. “They want communities to harden. They want them to become more resilient. And the way they do this is by imposing these codes, or standards.”

Florida claimed two-thirds of all NFIP payouts in 2023. Payouts directly translate into higher rates for policyholders.

Homeowners could see continued savings if communities stay diligent in flood-mitigation efforts.

Community Rating System helping homeowners save

The FEMA-run CRS uses a points-based class system to categorize the number of discounts a community is eligible for — up to a 45% discount. Communities can opt into 19 scaled incentives, ranging from flood information at local libraries to relocating flood-prone buildings.

Pinellas County has a Class 2 CRS rating, which grants homeowners in the area a 40% discount on NFIP policies. Estero County has a 20% discount, and Cape Coral, Bonita Springs, Fort Myers Beach, and unincorporated Lee County have a 25% discount.

These discounts are conditional on the community’s effort to help mitigate flooding disasters. More resilient communities also result in fewer payouts from FEMA and lower flood insurance rates overall.

What’s next: Protecting Florida homeowners

Floridians pay high rates for homeowners insurance — $10,966 per year, according to Insurify data. Standard homeowners policies don’t include flood insurance, and homeowners in high-risk flood zones may be required to purchase coverage.

The state is bracing for a hurricane season that could result in high FEMA payouts.

Community resilience is key to earning, maintaining, and increasing discounts from FEMA.

“How do you keep this discount? You meet the standards, you exceed them, you build resiliently, you harden your community for the next storm,” Silverberg said. “You create a situation where you’re resilient against climate change, its effects, the storms, the weather, and every other hazard that threatens your community.”

Sara Getman
Sara GetmanAssociate Editor

Sara Getman is an Associate Editor at Insurify and has been with the company since 2022. Prior to joining Insurify, Sara completed her undergraduate degree in English Literature at Simmons University in Boston. At Simmons, she was the Editor-in-Chief for Sidelines Magazine (a literary and art publication), and wrote creative non-fiction.

Outside of work, Sara is an avid reader, and loves rock climbing, yoga and crocheting.

Evelyn Pimplaskar
Edited byEvelyn PimplaskarEditor-in-Chief, Director of Content
Evelyn Pimplaskar
Evelyn PimplaskarEditor-in-Chief, Director of Content
  • 10+ years in insurance and personal finance content

  • 30+ years in media, PR, and content creation

Evelyn leads Insurify’s content team. She’s passionate about creating empowering content to help people transform their financial lives and make sound insurance-buying decisions.

Featured in

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John Leach
Reviewed byJohn LeachSenior Insurance Copy Editor
Photo of an Insurify author
John LeachSenior Insurance Copy Editor
  • Licensed property and casualty insurance agent

  • 8+ years editing experience

John leads Insurify’s copy desk, helping ensure the accuracy and readability of Insurify’s content. He’s a licensed agent specializing in home and car insurance topics.

Featured in

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