Texas is starting to feel the impact of a growing insurance crisis.
Prices for coverage are skyrocketing, and more insurance companies are pulling out of the state.
Mark Friedlander of the Insurance Information Institute told TPR's "The Source" it comes as Texas sees more severe and frequent disasters like recent flooding along the Guadalupe River.
He says lack of flood insurance is a huge problem across the state: “It’s the largest insurance gap we see not only in Texas, but across the country. When we look at Texas alone about seven percent of Texas homeowners have a flood policy.”
Friedlander pointed out that flood insurance is separate from home insurance and in many cases carries larger premiums, especially in flood prone areas.
Texas is experiencing a home insurance crisis. This has led to skyrocketing insurance premiums, making homeownership increasingly unaffordable for many Texans. This is due to increased frequency and severity of extreme weather events, rising costs of materials and labor, and the impact of inflation. Some insurers are leaving Texas leaving more homeowners exposed to risk.