NEW ORLEANS, La. (WVUE) - Louisiana Senator Bill Cassidy is pushing for a flood insurance plan that he says could save money for homeowners in designated flood zones.
Cassidy says insurance rates should be lower for homeowners who raise their homes above flood level because their homes are less likely to flood regardless of the flood zone they live in.
The plan would also allow federal money to be spent on preventative mitigation, a plan Cassidy says will save the federal government more money in the long run.
“We have $400 million a year that goes into mitigation. Sounds like a lot of money CBO says that saves dollars,” says Cassidy. “A stitch in time saves nine if you lower someone’s risk of flooding. You’re less likely to pay to rebuild their home. It’s actually fiscally conservative to invest in prevention to avoid future payouts.”
The plan to prevent steep rate hikes including a voucher for homeowners who see their housing costs spike because of high flood insurance rates from the National Flood Insurance Program.