RESPONDING TO A FLOOD OF COMPLAINTS ABOUT FLOOD INSURANCE Meanwhile, in New York: A few months after a joint Frontline and NPR investigation noted how profits for insurance companies administering the National Flood Insurance Program regularly peak after flooding disasters, a new report issued by the office of New York attorney general Eric Schneiderman says there’s a lack of accountability in the program that is likely costing taxpayers millions and cheating the homeowners the program is designed to serve. The AG’s office “has now found flood insurance does not cover what it promises in its ads, that many engineers and others hired to evaluate damage were not qualified and that homeowners were wrongly prevented from seeing copies of their own reports,” reports NPR’s Laura Sullivan. In response, FEMA says it has adjusted its rules and will continue to do so to make sure costs of obtaining outside services are justified and documented. [Frontline; NPR]
A good rule of thumb is to know that when Scheiderman’s name is involved the issue has been politicized, that Eric is looking for some publicity and/or that there is about to happen a shake-down of some innocent out in plain sight.