Insurance Rates Rise Sharply for Affordable Housing

Ris­ing insur­ance costs are bur­den­ing , who often pay 10 to 15 per­cent than mar­ket-rate devel­op­ers, accord­ing to a report by Nan­cy Mar­shall-Gen­z­er for Mar­ket­place.

One insur­ance co-op, the Hous­ing Part­ner­ship Insur­ance , saw rate increas­es between 34 per­cent and 104 per­cent for next year. “Whether it’s flood­ing or fires on the West Coast, we believe those are adding infla­tion­ary pres­sure to our pre­mi­ums,” said Paul Bernard, vice chair of the Exchange. For the non­prof­its that man­age afford­able hous­ing, this often means shift­ing funds from res­i­dent pro­grams. 

As events like wild­fires and flood­ing make the mar­ket riski­er in many parts of the , insur­ers have raised rates and start­ed some states, such as Cal­i­for­nia, alto­geth­er.

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