Insurance for everything, but still ruined by Sandy

May 6, 2013

Pardon me if all of this sounds irrational, but these are my memories of dealing with FEMA, the Small Business Administration, my insurance company and the bank as a victim of superstorm Sandy.

I almost lost it when I found out that FEMA gave as much as $30,000 to homeowners who didn’t have flood insurance, some of whom could well afford flood insurance. They got their checks in less than two weeks after the storm.

I waited about five weeks to get $5,000 from the insurance company and four months to get a final settlement. When I got the final settlement, the bank held half of it until the reconstruction was completed — four months after Sandy.

I was told to apply to the SBA for a loan. I applied and was granted a loan at 3.3 percent.

I asked what happened to the 1.6 percent loan. I was told I had a good credit rating and I had some assets; therefore, I received the higher interest rate. I guess if I were a slacker and didn’t work three jobs all my life, I could have gotten the 1.6 percent interest rate.

Now I may be forced to raise my house because I’m about 4 feet below the new flood level maps. I went to apply for the money to raise my house and was told I didn’t qualify because my home was less than 50 percent damaged. The rumor is that my flood insurance will go up to about $7,000 a year.

I’ll be 70 years old this year, and I cannot go through this again. I do not want to spend my life’s savings on insurance or raising a house that is depreciating in value if left at below flood level.

I have flood insurance, auto insurance, homeowners insurance, health insurance, dental insurance, long-term care insurance, an umbrella policy and, of course, ICC (increased cost of compliance) insurance. I pay all the taxes most of the working class pays, and now I look back and ask why?

Nicholas Perone