While inflation and supply chain issues are having a profound effect on the cost of everything, you’re going to receive a double whammy on things related to weather and how it affects how much you’ll pay this year.
As insurers are dealing with more frequent weather disasters, the cost of flood insurance for consumers has gone through the roof; some customers are calling it “absurdly high.”
The New Orleans area, known for frequent flooding, it’s been impacted the hardest when it comes to costs. One man in Delacroix in St. Bernard Parish told CBS affiliate WWLTV that, for years, he’s paid roughly $2000 per year for flood insurance. This year’s bill was $8547, an increase of about 300 percent. It breaks down to approximately $700 a month.
However, the National Flood Insurance Program, backed by FEMA, puts a cap on rate increases for residential policies at 18% and commercial policies at 25%.
The rate jumps are out of reach for some consumers, forcing a few customers to take their chances and hope for the best as the Atlantic hurricane season continues until November 30. However, off-season hurricanes do occur in the Atlantic, as there have been 87 off-season cyclones in December since record-keeping began in 1851.
Some parts of the US have been predicted to have an above-average winter, particularly for the Northwest. Issues with supply chains make it harder to find snow tires in some parts of the country, Fox 12 reports. If you can find snow tires in your area, the next factor could be labor shortages when getting them installed. In many places, the first day drivers can use studded tires is November 1.
THE BLAZE REPORTED THAT the US Energy Information Administration (EIA) released its new Winter Fuels Outlook. According to the report, Americans can expect heating bills to skyrocket this winter, up to 54 percent more for some people.
“Retail prices for energy are at or near multiyear highs,” according to the EIA report.
The EIA report shows that the cost of all types of heating – electricity, natural gas, propane, and heating oil – will rise significantly in the coming months.
In a breakdown, the report listed the following for 2021-22 compared to 2020-21:
Natural gas: Expect to pay a third more, 50 percent more winter is 10 percent colder than average. Nearly half of US households heat with natural gas.
Electricity: 6 percent more, 15 percent more if a colder winter. 41 percent of US households heat with electricity.
Propane: A 54 percent hike, 94 percent more in a colder winter. Five percent of US households heat with propane.
Heating oil: 40 percent more, 59 percent more in a colder winter. Four percent of US households heat with heating oil.