EXPLORING RESILIENCY

AND SUSTAINABILITY DESIGN

University of Pennsylvania Wharton Real Estate Professor Benjamin Keys has been studying this for more than a decade .

“These are tough choices for those on a fixed income,” Keys said.

“We think of homeownership as a way to lock in our costs … It’s desirable relative to renting, where a landlord can jack up the rent each year.

But now property taxes have gone up in [vulnerable] areas, to fund infrastructure to combat flooding and these areas also have seen a sharp insurance rate increase.

A lot of homeowners don’t understand flood is not covered by primary insurance, and they don’t realize flood maps are drawn in highly political ways and don’t account for all types of flood-related risks.”

While many want to blame insurance companies for high rates, growth patterns that place people closer to risk, in an environment with many more costly disasters, is a major factor.

“We’ve been moving southward as a country for years now.

We’ve been moving into riskier areas,” he said, noting dense development in coastal, warmer areas.

“Where we’re choosing to build and to live is the biggest driver in the increase in insurance cost.”