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Sandy Rosenthal

Sandy Rosenthal

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Before the Flood, More New Orleans Residents Had Flood Insurance Than the Rest of the Nation

Posted: 04/10/11 07:00 PM ET

NEW ORLEANS -- In the weeks after the levee system failed in New Orleans, public officials scolded the vast majority of the city's residents for not having flood insurance. It turns up they were wrong.

"Two out of three New Orleanians carried flood insurance -- 67% compared with the national rate of about 5%."

And "Louisiana is a more enthusiastic participant in the National Flood Insurance Program than any other state in the nation."

This was revealed in data painstakingly worked up by aides to Donald Powell, the Bush administration's liaison to the disaster zone.

But real damage was done because, as observed by Harry Shearer last month at the National Press Club, it is in the early stages of news stories that Big Media creates a "template." Later, despite the appearance of conflicting data from experts, news editors tend to cling to the original versions.

2011-04-11-FrancisJamesGroundZero.jpgEven researchers at the Cato Institute got caught up in the herd mentality.

"Although flood insurance is heavily subsidized, many -- even most -- property owners in New Orleans do not buy this insurance, expecting the federal government to bail them out whether or not they are insured, " said Institute Chairman William Niskanen in testimony to Congress in September 2005.

Chairman Niskanen was wrong about New Orleans.

Nonetheless, myths, like this one about New Orleanians and flood insurance, have become established fact in the immediate aftermath and remain stubbornly entrenched.

So Levees.org is publishing Myth Buster #5 -- Per capita, more New Orleans residents had flood insurance, even if it wasn't required, than the rest of the nation, on the day the federal hurricane protection failed them.

"Of the 113,053 single family homes in Louisiana that sustained hurricane-related flood damage in 2005, at least 72,787, that's 64.4 percent, were covered by flood insurance, according to Powell's data."

Simply for the sake of comparison, "30% of the 28,800 flood homes in Mississippi had flood insurance."

Billy Kohlman, whose home in New Orleans took on 4 feet of water, had sold flood insurance since 1982 and insisted that all his clients have flood insurance.

"I thought Lake Pontchartrain or the Mississippi River could overtop the levees," said Kohlman. "But never in my wildest dreams did I think the levees themselves could break."

According to Ed Pasterick, senior advisor to FEMA, Louisiana was a stand out success in a nation where the vast majority of people living in high-risk areas don't buy flood insurance.

"Much as Louisiana nursed the hope that the big one would go somewhere else," said Pasterick, "there was an awareness that the region was a hurricane target."

Levees.org's Myth Busters 1-4 can be seen here.

 

Follow Sandy Rosenthal on Twitter: www.twitter.com/LeveesOrg

NEW ORLEANS -- In the weeks after the levee system failed in New Orleans, public officials scolded the vast majority of the city's residents for not having flood insurance. It turns up they were wron...
NEW ORLEANS -- In the weeks after the levee system failed in New Orleans, public officials scolded the vast majority of the city's residents for not having flood insurance. It turns up they were wron...
 
 
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04:37 PM on 04/15/2011
It is an old ploy called BLAME THE VICTIM used by CRIMINALS,in this case the City Hall Gang and the Corps of "Engineers"(?) to distract attention away from the perpetrators.They try to make the victims feel guilty for being victimised.Of course the frantic "warnings" to everyone to evacuate were caused by the fact that the criminals knew that the floodwalls had been DESIGNED to collapse. They didn't care 10 cents about their victims, of course, but wanted to "cover" THEMSELVES when the inevitable occurred.
05:39 PM on 04/15/2011
Weather updates from the National Hurricane Center and the Local Wether Center convinced many to evacuate for Katrina.

http://www.srh.noaa.gov/data/warn_archive/LIX/NPW/0828_155101.txt

http://www.nhc.noaa.gov/archive/2005/pub/al122005.public.022.shtml?

http://www.nhc.noaa.gov/archive/2005/pub/al122005.public.023.shtml?
04:51 PM on 04/12/2011
Most if not all lenders will not approve a mortgage in New Orleans without an agreement from the buyer to purchase flood insurance. This could account for a large portion of the homeowners in New Orleans who did have flood insurance. Others who owned their homes outright may have bought it for, you know, insurance.
12:50 PM on 04/12/2011
I had flood insurance but following the renovation of my home, prior to the flood, I could not get my, State Farm agent to come out to raise the value of my home.
Following the flood , I , to this day have never been contacted by my SF agent of 20 years..
I had to find another agent to help me through the nightmare..
They were horrible to deal with..refusing to speak to me after I filed a lawsuit...when I called regarding another property.
State Farm sucks.
01:34 PM on 04/12/2011
I know how you feel. It took me 4 years fighting the wind verses water issue. Eventually we had to hire an attorney.

We even had a video that a retired Federal Judge took during Katrina and it showed the neighboring properties being destroyed by the wind and water.

It was irrelevant because our property was not in the video.

I have insurance engineering reports from my insurer that the winds were only 90 mph in the northeast eyewall of Katrina when Katrina made her second landfall on the Mississippi Gulf Coast with a cat 5 storm surge. Eventually I was able to prove the winds gusted over 130 MPH.

Those Insurance folks are evil and political. They know we need insurance for flood, property and health. They make BIG money off of us and refuse to pay when we are at a loss.
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Sandy Rosenthal
For the vetted facts on the New Orleans Flood
11:23 AM on 04/12/2011
By federal law, as mandated in the Flood Control Act of 1965, the Corps of Engineers was responsible for project design and construction of the Lake Pontchartrain and Vicinity Hurricane Protection Project. And the local interests (including the Orleans Levee District) were responsible for maintenance of levees and flood controls.

Please see Government Accountability Office testimony Sept 2005: http://www.gao.gov/new.items/d051050t.pdf
12:12 PM on 04/12/2011
Did the local interests ( including the Orleans Levee District) break the law?
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MJinCanada
Safe from zombies until my 2nd cup of coffee
11:10 PM on 04/27/2011
I've also read that Bush shortchanged the Corps' budget so that he could use the money on Iraq. There were engineers grumbling about it some time before Katrina.
11:13 AM on 04/12/2011
Sandy, in response to an earlier post that accused me of fact-bending and misstating the law regarding who was charged with Hurricane /Flood protection. The past Orleans Levee District President Mr. Robert Harvey made the statement that the Orleans Levee District was charged for flood protection.
http://www.npr.org/templates/story/story.php?storyId=12689498

After an internet search it was discovered that Mr. Harvey is a generous and
successful lawyer. Search (FindLaw) with his name to view his profile. The OLD acomplisments
are listed in his profile.

You are correct about the facts becoming myths, but you are forgetting about the
myths becoming facts.
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CrescentCityRay
08:31 PM on 04/11/2011
Wonderful post Sandy.

There are a too many slanderous myths that demonize New Orleanians.

About 90% of South East Louisiana evacuated before Katrina's arrival, but many report we ignored evacuation orders. Could their cities successfully evacuate as well? As bad as our evacuation went, it was the most successful ever.

The barge did it, levees were blown up, overwhelming devastating storm, angry deities, levee failures due to local corruption, misdirected local money, etc. There are a lot of myths not fair to New Orleanians. And, in N.O., due process doesn't apply like some might assume.
10:35 PM on 04/11/2011
Ray ray, you are correct. The orderly evacuation of a million plus souls from the region probably saved 50,000-100,000 lives.
05:44 PM on 04/11/2011
The flood insured policy count for New Orleans in August 2005 was 86,657.
05:20 PM on 04/11/2011
Sandy

I guess what your saying is the Corps is the ones we should hold accountable for the levee failures.
Other than the Corps, who else can we hold accountable for the levee failures?

A Judge ruled that the Corps was Primarily responsible for the levee failures. Since the Corps was not wholly resposible for the failures, who should we direct the rest of the responsibility too for the levee failures?

With your involvement with our levees, you must have an idea who else we should target for our levee failures?
06:08 PM on 04/11/2011
Warned, you are badgering the witnesses. Your question is a Non Sequitur, rhetorical pablum. You do this regularly with this same pedantic, stupid question. I'm not being abusive, just tired of it and stating the facts. Anyone can look over your comments and count how many times you've pushed this same line of BS, regularly like the tides in Plaquemines.

Thank you,
Editilla~New Orleans Ladder
07:48 PM on 04/11/2011
Be nice Stan.
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Sandy Rosenthal
For the vetted facts on the New Orleans Flood
07:40 PM on 04/11/2011
This is what we're saying: Thirty-two days after the BP oil spill, President Obama signed an executive order for a bipartisan national commission to investigate the disaster to make certain it never happens again. There was a similar immediate commission for the Challenger explosion and the Twin Tower collapses.

But after five and a half years, there is still no comparable investigation, ordered by Congress or the White House, of the levee protection failures that drowned metro New Orleans and killed over 1,500 people.

Fifty-five percent of the American population lives in counties protected by levees. Clearly, there should be a truly independent analysis of the flood protection failures - and the decision making involved – that led to the devastation in metro New Orleans during Hurricane Katrina on August 29, 2005.

That is what we're saying.
03:38 PM on 04/11/2011
After Katrina it was way too easy to overlook the failure of the Corps-designed levees and to blame the flooding of New Orleans on New Orleans and the deterioration of Louisiana’s wetlands on Louisiana. Even people in Louisiana outside of New Orleans blamed the flooding of the city on the city. Having flood insurance or not was just one part of this picture. It was a smart man who required his customers to have flood insurance. Since the flood of 1993 in the Midwest, the federal government has required people living in flood-prone lands to buy flood insurance at least 30 days before the flood happens. That is not possible when faced with a hurricane. It is possible along the Mississippi: Witness the reports of extensive flooding that have been issued for the last two months once the snow pack melts and spring rains come.
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CrescentCityRay
08:45 PM on 04/11/2011
Do they cancel their policies after flood season and buy them back after a warning?
12:00 PM on 04/11/2011
Not really surprised but was it a myth or deliberate misinformation. Still comparing to the national average while it might be all one can do is a pretty bad metric on flood insurance itself. Be nice to look along the banks of the mississippi, Sacramento etc.... i.e. other communities that have every reason to one day expect to be under water and see what their rates of ownership are.

And in thesed ay's of GIS mapping and floods being tied to specific property that is well charachterized and locatable it's surprising there isn't a google app for that. Well not really no profit in it.
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Sandy Rosenthal
For the vetted facts on the New Orleans Flood
12:24 PM on 04/11/2011
We believe, before the data on how well insured New Orleans residents were for flooding was available, that experts and pundits assumed the worst. The big media simply repeated what they said, putting it in quotes. In the early stages of a disaster, fact checking is minimal and often non-existent. I can cite examples. And as shown to be the case often, big media does not revise the initial stories, even when the new data refutes the 'template.'
01:34 PM on 04/11/2011
http://www.npr.org/templates/story/story.php?storyId=12689498

Time of flooding is interesting in this story: Had time to clean up outside?
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MJinCanada
Safe from zombies until my 2nd cup of coffee
11:14 PM on 04/27/2011
I've worked in both journalism and public relations, and I can verify that the media love to pounce on a disaster and exploit it, but will very rarely go back to explain what they got wrong.
11:48 AM on 04/11/2011
Thanks again to both Sandy and Ariana for getting the truth out to us!
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10:22 AM on 04/11/2011
This continues to show the deliberate lies told on the city of New Orleans. The lie of having no insurance was one that the insurance companies themselves helped push because of the pay outs. I saw how before Bush even stepped foot in the helicopter for his fly over how the insurance companies were jumping on this issue immediately to try and help themselves just before the media was about to storm them to see what they were going to do. They needed this lie on the national news so they could go about seeing how they were going to be able to not honor many of these insurance policies. Besides this story now completely fits with the documentaries put out on HBO and other shows. The residents have told the truth about this lie time and time again.
10:05 AM on 04/11/2011
President Robert Harvey of the Orleans Levee District, which is charged with flood protection for the city of New Orleans.Harvey’s leadership at the Orleans Levee Board was responsible for the most ambitious hurricane/flood protection construction in the Board’s history, with 41 projects being built between 1992 and 1998, totaling over $140 million. Harvey’s presidency was also responsible for restoring the New Orleans Lakefront for family recreation; and leasing the Louisiana’s first Riverboat gaming operation at South Shore Harbor Marina.

Mr. Harvey's home was not insured for flood during the levee breach caused by hurricane Katrina's
storm surge.

How many of the Orleans Levee Districts properties were not insured for flood during Katrina? My bet is they were all insured.
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Sandy Rosenthal
For the vetted facts on the New Orleans Flood
12:27 PM on 04/11/2011
The Orleans Levee District (OLB) is not charged with flood protection for the city of New Orleans. The OLB is charged with maintenance of the flood protection that the US Army Corps of Engineers designs and builds. The OLB is also charged with collected taxes for the local 30% cost share.
04:53 PM on 04/11/2011
http://www.npr.org/templates/story/story.php?storyId=12689498

Sandy, Listen to the story provided by NPR. Seems like President Harvey even thought the Levee District provided flood protection to the city of New Orleans.
05:48 PM on 04/11/2011
Warned, you are committing the logical fallacy: Straw Man.
Where was Mr Harvey's house? The 3 catastrophic engineering failures perpetrated by the Corps --which accounted for 80% of the floodwater in the city (and 100% of Lakeview and Gentilly)-- have nothing to do with whether Mr Harvey was insured or not.

As for your initial fact-bending: you simply are misstating the law regarding who was "charged" with Hurricane/Flood protection. You need to read the law. I'm not interested in helping you there. Look it up. Hell, go check out Mrs. Rosenthal's website. Do something other than dance around the fire spitting greasy BBs of McRhetorical Syllodomy.

Thank you,
Editilla~New Orleans Ladder
07:21 PM on 04/11/2011
And counts on you for the rescue.
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unitron
Reverse Chron Order never stays checked
05:52 AM on 04/11/2011
Was Niskanen's testimony before Congress sworn testimony?

If so, let's start a movement to have him indicted for perjury!
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Minolta321
Photographer
02:38 AM on 04/11/2011
I agree that the press often gets things wrong, far more serious things than statistics about who carries what kind of insurance.

That flood was over five years back. It's really old news it would be interesting to see more recent and more important issues that the press got wrong. Perhaps you see this as a way of keeping New Orleans flood fresh and in the news? This was a bit of a stretch.
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skatoolaki
Passionate, fiery walking contradiction.
07:32 AM on 04/11/2011
It is anything but "old news" to those of us still suffering from the result of the flood. It is something that absolutely needs to be kept in the press considering the "flood" was the result of a government failure (not the hurricane) and the "help" came too late to save thousands of innocent lives (we got to Haiti quicker than our own government came to aid us).
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Sandy Rosenthal
For the vetted facts on the New Orleans Flood
08:14 AM on 04/11/2011
This article is about how in the past five years, many myths became fact due mainly to media reluctance to change templates that were created early on. And since our mission is education about why metro New Orleans flooded, we keep shooting the myths down. You can see our other myth busters here: http://levees.org/myth-busters-by-levees-org/