North Dakota among 10 States Filing Lawsuit to Block Federal Flood Insurance Increases

NEW ORLEANS - North Dakota and nine other states have filed a lawsuit against the federal government to block increases in national flood insurance rates arguing that the increased price could cost some people their homes.

FEMA says their new premium system is an improvement over past methods, incorporating data that wasn't used in the past, including scientific models and costs involved in rebuilding a home. The agency has said the old method could result in people with lower-valued homes paying more than a fair share while those with higher-value homes pay relatively less.

Increases are capped at 18% annually. But when they are fully implemented, some residents will be paying significantly more.

During a news conference on Thursday in Louisiana, state officials complained that federal officials have refused to divulge methodology and data used in computing the new rates.

North Dakota, South Carolina, Florida, Idaho, Kentucky, Mississippi, Montana, Texas, Louisiana and Virginia are all listed as plaintiffs.

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