AL 3.0 hours Floods and other Natural Hazards - Course Syllabus
3.0 Elective Hours
The National Flood Insurance Program is a federal program. Participation is voluntary, but the benefits are considerable. To join, a community agrees to adopt, administer and enforce a floodplain management ordinance that meets or exceeds the minimum requirements. When communities participate in the NFIP, property owners and renters can buy flood insurance to help deal with losses from flooding.
Federal flood insurance is designed to provide an alternative to disaster assistance and disaster loans. Disaster assistance never comes close to covering all the costs of repairing homes and businesses.
Federal flood insurance also is a better alternative than disaster loans that are made available only when a disaster declaration is made by the president or by the Small Business Administration. Loans require repayment, typically over a 10-year period. Insurance will pay whenever damage from a qualifying flood event occurs.
For decades, the national response to flood disasters generally involved constructing flood control works such as dams, levees, channelization and sea walls. After major floods, the federal government stepped in and gave disaster assistance to flood victims. This approach did not reduce many flood-related losses, nor did it discourage unwise development in high-risk areas. In some parts of the country, it may have encouraged additional hazard-prone development. Upon completion of this course, the real estate professional will have a better understanding of the history of the National Flood Insurance Program (NFIP).