Private flood insurers take on bigger market role: Fitch

Private flood insurance use rose notably in recent years as utilization of federal coverage inched down due to adjustments to public programs that have included more latitude in the mortgage sector.

Over the last four years, private coverage grew 20% while public policies the National Flood Insurance Program offers receded by 2%, according to a recent Fitch Ratings report.

The new numbers on use and performance in the report point to potential for private insurers to take on a greater role in line with reform plans from members of Congress and President Trump. But they also suggest there are limits to the role it can play in that equation.

“The private market remains relatively small and is growing as more of a supplement, not as much to completely overtake and take the place of the…