Aug 18, 2016|
How do you survive a flood that won’t stop flooding? 40,000 homes damaged, Tens of thousands of people perhaps never to rebuild their homes UPDATE: Businesses should apply for disaster assistance in flooded areas This hours guest: Jim Donelon - Insurance Commissioner Stephen Waguespack - President, Louisiana Business & Industry (LABI)
Should drug addiction in the city be treated as a health issue or drug issue? More deaths due to overdose in New Orleans than homicide. This hours guest: Dr. Jeffery Rouse - Orleans Parish Coronor
Bernie Sanders said he’s going to push his plan for a single-payer healthcare plan like Europe. He says Obamacare is costing us too much and the GOP can’t get their bill together to correct the problems. This hours guest: Michael Cannon - Director of Health Policy @ Cato Institute
OH CANADA! Could Canada be the next country to legalize recreational marijuana? Canada is proposing legislation that would legalize recreational marijuana by 2018. This hours guest: Chief Larry Kirk - Retired Chief ( Old Monroe Police Department, Missouri & member of LEAP (Law Enforcement Action Partnership)
Is an independent “select committee” necessary in the investigation of Russian hacking & possible collusion with Trump associates? This hours guest: Max Bergmann - Senior Fellow at Center for American Progress Steve Bucci - Director of the Allison Center for Foreign Policy Studies at the Heritage Foundation
Automatically Generated Transcript (may not be 100% accurate)
And we continue to bring the latest on the great. 2016. And it's not over yet. We Jim Donald with the ups insurance mature Jim as always appreciated that time. Glad to be with you Garland. You are your listeners are in need of disinformation for sure. Twelve lips are given to him again held and questions put. What are Jews or go with the the first few things you want take imports. You know. We we are concentrated issue would imagine all of the insurance side. Well we do not regulate the National Flood Insurance Program it is a single program. Designed to look like that likes now like in the even be called insurance but it's not regulated. By the state says although the forms of insurance war for the most port. So with that limitation. It's vital to our state more than any other state and we are seeing that want to get. Last evening we go to the virtual port on how many claims have been ball by insured victims' advocacy that. Keep in mine we just went through. They flooding event in march that resulted in 36 or 64 perish as being declared disaster parachutes. And that beat that resulted in 5000 claims. Being filed. And 225. Million being prayed for insured losses to those pop thousand claimants averaging just over 50000. First and I don't report last night 171000. Claims have been filed the first night. For this seat but then it will continue to grow. As we go through this week in the weeks ago. A good news that he. 225. Million paid for an average of 50000. Hero pitted how does that relate to the 33 Mac some anchoring from being more than ten and held them minimum number of explain that. To yes or very important. Two different programs will go on talking about. Flood insurance national flood insurance. For those policyholders. Unfortunately statewide it's only 21%. Well the residences. And by happenstance we got the information from people last week. All in each metro pol each cities not metropolitan area each city. In the city of Baton Rouge and Lafayette the two most impacted by this cheap. Baton Rouge only 12%. Of the residences insured for flood Lafayette 14%. Good news in the war and 39%. In the city in the world and orange shorts before. But Indy in the two impacted areas it's much less than that unfortunately. The 33000. You're hearing about in 101000 and all the benefits to include this be able that's. FEMA assistance to folks. Not recruit regardless of ensure or all right should put I should say. You know over the underinsured losses. Of folks without being sure so. So we've got 75%. And the people in the league without held and shoot I'm not about him and. Seventy now and actually almost eighty I've been saying twenty opposite. And was disappointed to see it's actually now 21 when Katrina. Hit. In 2005. There were 360000. Policies in force. It spiked by 2008. To 490000. Expected on the force fifty and slipping as we speak. Boom friends that I moved sliver on the river in New Orleans. I think he's somewhere around 400 a year for insurance is is flood insurance more expensive than that. They bought it. It is the average is sixty books a bullet 720. Dollars per year. I tell everybody every year you make your list is available I to the state that the beginning of hurricane season when there is. Attention being put on the the threat of hurricanes and to our property to our lives and property. And I tell everybody. The best interest and spy property owner can make in our state. Is the still substantially subsidized. National Flood Insurance Program. Every it it's the best anybody can make. By anybody can make entry port two grand now from when wrote Ali beached it it is. The book with the most benefited state in America by that program in the last 35 years with collected. Sixteen billion dollars from policyholders. The next three states. The benefit Texans I'm sorry New York majors sea so storms Cindy and taxes. Each gorgeous though Bob billion over the past 35 years with bigot in the next reach combined. In benefit from that program. So it's unfortunate what it is that we are. And hopefully with with this. Learning experience. On toppled what happened in March. The rest of the state will take up the program has the world and has done with all of its losses over the past forty years. Would you reduce a New Orleans is what 39%. I. Oh yeah. So a long way you can probably board should. Of it's an insurance agent killed somebody buying new home. In the Paula and church. Should you today. Regardless. One. Absolutely and it's not the agents that are telling them that it's the lenders. That that rule. Federally backed mortgage market which is 90% of the mortgage market backed by Fannie Mae and Freddie Mac. Require flood insurance for folks in vulnerable area. When they tell you you don't need it all on this liberal ever for the bridge in Metairie. That's a big disincentive. To new homebuyers smile to my own daughters. Outright before Katrina bought that first hole and in in Metairie. And we're told by the air their lender they don't need flood insurance well. You know our young. Beginning couples what their personal. Budgets are tight. You tell them that that could be disincentive. To them going at it and buying it anyway. It's not the intended consequence it's it it was put in place that warning that mandate that requirement. Was put in place by the federal government. With the best of intentions but the effect it's having negative effect on the take up by those. In not prone to flooding areas and the and the example right side all the time to make that point is the grand Ole opry. In downtown Nashville. That for the doubt with their big flood of five years ago and it by pieces. 40% of the claims that day nation law. Paid for losses on properties that were considered to be not at risk for flooding. But by their mapping in their and there are another system. Our Olympic break overcome the rug back to Jim Donald and insurance commissioner. Your chair at comments questions Gibbs called teaching general 187. Are welcome were wrong these review would June onward in the insurance that. Let's bring in one of pollution JD and applaud your own without him. Trading. 11 school and whites and I'm by saying she. I heard bitter from person is uninsured in helped by a team won its. And then goes through another interest in and done another disaster. Would no insurance they will not be helped by being you have any thoughts on an. That didn't own the my jurisdiction by the that is. The case under the Stafford act for nonprofits in governmental agencies and I believe that to be the case put individuals as well. But I'm not the person to answer that question directly I would recommend they contact someone. In the governor's office to get the answer to that question. Are no moon suits. Eleven would weird subdivision. On the west thing buy insurance when that first it took it out was about 15100. Dollars. It's gone up to him almost three almost four why is that that team I'll play. It does. They'll art new maps being rolled out and that would meters subdivision. And that that. That's that would mean your on the West Bank in question person I was so that's within the the new Levy system which. Has been certified and pretty much kept ninety opposite of the properties in the poor parishes with it and it. That Levy system. Are unchanged by the new proposed maps that must be something going on with that maybe it's repetitive lost property. Are something. Lift that property that is causing the rates could be. That increasing that much under the roll back of the affordable portability active big orders. Re authorized program four years ago. In big orders called fort when he opposite cap not only your premium. Increasing each year but on the actuarial cost both. Europe coverage which is much more. Then the premium that that deal would be applicable the world that exceeded 18%. Increase per year. All of your premium not the actuarial cost of your coverage and frankly that's significant. But nowhere near tripling or Courtney Lee. The premium in the in the actual period of time. Are led to boom or lose you live tried Tommy Tommy Euro would Jim Dublin. Thank you. Put church whose arm and about six or seven dollar month gesture. Statewide there. Hello what went pretty well were so poor two on the what are you here. And there are special outcome that you know nor about. As a church were a little. No there there is this is a government program it's a people program. And the premiums are set by the maps that that he. Re do every here periodically I don't know how many years how often they do it but they just recently did it for the metropolitan or voluntary. That they set those rates that being. In Washington mrs. hall insurance and it is designed to operate like insurance. But it is really not insurance it is a federal government program. There are a few private companies writing some pride that led. But 98%. In the flood coverage in America is a written by the National Flood Insurance Program. Oakland will go through our court. You can call you rate he can direct you to the folks that. Can answer your question as to why you're premium has grown now so much. Oh all right new welcome. Jim hood. This question do all for me article in the insurance company. And is said most people not in the insurance division's business. Wondering why they can't simply give one policies discovery everything caused by hurricane. And have big carriers treat them in good pleased it's it's hard to explain what you can do so much in society. And bill to make working product available. To and so many people that want and need it any thoughts on the. Sure. After Betsy hit New Orleans in the late sixties. Almost all private insurance coupled insurance companies. Excluded blood. From from their from their policy its commercial and residential just says after the terrorist attacks and well in New York companies said we're gonna cover this when. But no more we're could exclude terrorism. Just like we exclude acts of war. And the federal government stepped in and did treat terrorism risk insurance act to provide a backstop to enable the companies to continue. Garrett were writing that insurance will win when the companies exceeded when they excluded for that forum. Property insurance policies that create the federal government created the alternative of the National Flood Insurance Program for folks who wanted to ensure that. The answer to the call this question is. They just don't want change where flow. And in the government is doing what the private sector doesn't want to do now there expressing interest. In getting back into that business if the unified Pete rates are in to continue the way east to where they reach actual where real solvency. But no Cortland. The program has 23 billion in the debt. In debt right now to the treasury. Because the rates have in effect been subsidized. By the treasury over the past thirty top forty years and the private sector. Will return. But not until the rates reach actuarial. Below levels. Only have a minute glad to dessert in the area in this eight were people who should you reassured. That they're not in danger of play and. Notes of I every year I'd make a tour of the state beginning of hurricane season. Every metropolitan area the media is very accommodating in make it's and the first part of all of my message is. Absolutely the best insurance buy property owners can make is that significantly subsidized National Flood Insurance Program. From Shreveport two grand now from a wrote to holly beach. We are all vulnerable to flooding and have seen it over and over again it is the best insurance bought property owner can make anywhere at least. Jim do servers would giving them that time thank you so much better at that you. Our cover from the actual talk to be president of the business. Industry and Tuesday saying Willis. Are welcome back crow were talking to votes Lieberman what gets backed president and Louisiana business industry only BI. Stephen appreciated the call. Well thanks them like going glad to be don't. How many big any estimate of how many businesses. That are affected by evidence. Yeah look at if you look at that when he parishes that are included in the federal disaster declaration quest. There's about 50000. Businesses registered in those parishes. And they'll pull it about 590000. Louisiana people so we know the scope of this is going to be tremendous. We don't know. Quite frankly which want to impacted which want to or not we will work into our membership right now trying to make as many calls as possible what. But to be frank. It's hard to reach a lot of folks which tells us that signed that a lot of impacted. Soon could be that we're gonna have. Even even for the people that did fine in the money do recover their homes we might have. Hundreds of thousands unemployed for quite awhile. Well we talked to the employers were were getting in touch we have a lot of times a week here is that. You know thankfully the business was spared but 90% of their employees. Other home. They'll and so. I think it well you know a crystal ball this thing a little bit I think over the next couple months. Transitional housing is going to be the biggest impediment to making sure that economically we we we can stay afloat in these communities as we go apply. People kept going and got their houses have been rebuilt. But the same time while that's happening you want those employees to build a live nearby as they can continue to work their kids can go to traditional schooling options here. You know you don't rule until very well after Katrina and Rita Lott's announcement when those people leave the community. You don't know they get them back and and walker gone you know the businesses struggled on the workforce they need and so I think that transitional housing peace is going to be critical. That's this. May not be your expertise and Brooke this is that soon born I'm concerned about. If you get hit by Katrina it's horrible. Richard Gordon and and you get the money you get him from three million from the government get a from the they get a from the bank forward be the end that. And at least 300000. Of those have come back. But these people have been hit in March. And then again five months later in August. But where do you go which bank which mortgage company. Were you already made long to repair the first house. And now you've got a second time where you've got to do the same thing. Do you just declare bankruptcy. In the encode some of the place how does that work. Well you know we're trying to give as much information and options to to our members in the business we can reach as possible and you know obviously out as a the first thing you wanna do it and you go on this very well treacherous steam that. You know in the can download the gap you can go to disaster assistance that. I would register for that today and and tried to participate in the programs they offer but. You know the other pieces look I think the first conversations start with two local bank and you know they also you know have a vested interest to ensure that you stay afloat pitcher this state. Intact until there and work with you. There's also on the SBA if you go to disaster loan dot SBA dot. They have a number. The low interest and interest free loan options to help help some of the recovery. The infrastructure needs some of the economic injury needs. Arms so there are options available to those businesses that want to try to calm. Yes stay afloat as they get through this none of them very easy but it all starts with the rushing with FEMA. Talking to your local bank to local mortgage holder. And then also looking at SBA dot goat and some of the other resources that can maybe get some options. We've included a list on our website at www. Lobby dot org LEB I'd or. We're just trying to use that as the information sinner put as many. Types of programs and information web site links as we came down there. Wolf those who will be starting a small business disaster relief fund. We did defect in 2005 that Katrina will do something again here will. Will provide grants to some of these small businesses that are trying to them you know bridge that gap to getting back up and running so. There are resource out there won't be easy but there are ways to kind of get through this stuff well. When you say we you mean LA beyond. And and can you give us in the how much funding board talked about and that owns hundreds thousands million. Well this is an act after Katrina in 2000 we put together this on a lobby put together so assembled on the race that have dollars. And they had a review team that looked into this and Eva grant small does that applied. The greens are smaller they range from 5000 to 20000 purple at the scope. These were breached a couple of greens and that beverage used to kind of problems the grant to kind of help them bridge the gap. We're gonna try to put together something similar Vista to help but you know on on top of that or other resources were trying to put on the web site again SBA. The FEMA links some of the other things up there. Tony first visit to look at different options talk to their bankers try to find whatever means it is possible to stay afloat and keep their employees you bought. Our I'd consider with a couple more minutes have take a break. Governor rod banks even wagons bank probes and the Louisiana business and industry. You're listening and these carriages and particularly the ones impacted by the blood. Maybe you've got a business that does sustained series is for a minimum damage and you wouldn't want to doom. We've got the man gives called UC general one need somebody double B. Welcome back could on the radio. With the Stephen well I guess back prison and Louisiana business and industry. Stephen. In the thing. You wanna get down to the business people that listen. I've not as cute. No I think yeah I think you've pictured your finger on I mean we just encourage everyone to register with FEMA. Speak to your banker. And in the days and weeks to com. Having employees. You know recovered near buyer Paramount we're hearing from our small business owners in the air right now they're doing their opening employees recovers so. Any saying you know the community can do to help people stay in lieu of nearby. They get through this that's gonna help our schools of the population they need their teachers to close and armed police stay close to that business can continue to provide for the community. The insurance that businesses have concerning plugging. Is that that matters so flood insurance program. Yes it is and you know obviously. A lot of the area that put it this time they're not in your traditional flood zones and so if states. Didn't have a mortgage or want required to from the mortgage holder many of them do not have it if you look at from the early. Numbers were saying large majority of we think there is going to be floated did not have flood insurance for those visits so. That will be challenging for those that did flood insurance. You know there is can apple and while it is helpful program that does unaccountably but to market itself and then there are some limitation total somewhat the inventory that can be covered there so there will be limitation the Mac coverage and so. I do think there will be some gaps there and hopefully some of these other that's of offerings are SBA and other can help bridge the. You may not have a common on that but I mourned there. I was looking get beyond GAG over Government Accountability. Office last spotted there high bridge report. Hear what they're saying. Indeed the flood insurance program national plug and turns pro. Will nudge rates division revenue to replace the billions of dollars form borrowed by the department of treasury. To recover clenched jaws from 2005. To 2012. Groups. Or potential claims related to puede troop catastrophic. Losses the lack of sufficient revenues highlights. Once have been structural weaknesses. And how old the program is funded. And it's 24. Billion dollars in debt. Between could trillion in sandy in Louisiana and in fires in California. Broke nod and apart and put blunt. Would forty something percent of our population. On the colts of this country. Do you seed. Flood insurance getting to the point where a lot of people or businesses she goes can report it. Look at it that he each concerns and just. Had one player complexity to it. If you look at the two major flooding event that we deal with the over the last couple months they haven't been on the coast. North Louisiana has significant flooding and a couple of months ago. And now we're talking about their issues like he's en route to ascension Livingston saint James he's not areas that have coastal. Such. And so obviously I'll Washington issues must be on the coast and so. Unity you know talk about a program that has funding social issues but now you're talking betters the country that aren't even near the coast. That are becoming more susceptible to flooding events and so it's it's it out these huge issue that'll pretend that Beatrice should in my pocket but did that. You guys found the congressional. Delegations. Looked. But we've come true and were blurry port city. We don't have much of a congressional power base puts it and he acts that we eased cones or we. Combining with the powerful elements in congress to get this thing changed. What you look over the years don't we've gotten big things done it's usually been partnering with the other states that have similar issues and we've seen that comment coming in from from offshore revenue sharing to statistics are gonna need for this program to I think I think you're on the mark. I could say in three weeks. That we get lobby we're gonna bring up about 25 members or border directors are up to DC. To meet with our congressional delegation and with federal officials to talk about. The impact of this flooding in and tried to brainstorm possible solution to go forward and hopefully. That'll be the first part of the dialogue we've been kidnapped along Tom how we fix this program. You know last year Agee you know link and others really led the successful effort. Two to revive that program and improve it that we still have more ago and it's it's it's not going to be held overnight. If everybody who was required. To have flood insurance. With the ridge school that don't. Don't open audiences and Garland obviously. You know when it comes to insurance programs. There's always a balance of value account for the risky and you know said the raids. Accordingly. I don't know the answer I doubt that the A of a shotgun approach like that is probably. The best approach is this going to be other wasted to have a more targeted. But effective program. Pretty sure you tackle very much any time you need our time use coal thank you for tortured to. Stephen wagons back president Louisiana business. Industry. Only be. It just. Would win Jim dollar loan when I ask him. Is there any place in this they. Were any whole mall. Any business all. Could be assured. That they will never applaud instead bench him now know. And consequently. You're told by whoever. You don't need flood insurance with. Where do and say average 720. Bug two year verses. 30540050000. To rebuild. Every time your blood. It seemed like something we're gonna have to do if we don't. Do we get to a point if we can't. A board the insurance. And beat camp for the insurance you can add your mortgage. Our idea come from bags containing nude you covered sewage from about plugged. Talk with the Tim with the Roussel presidency and James parish. Is that is back mourners eagle coming album. This long at this storm. Or a little scary. Overdid detailed from the president to have votes and James parish. And hopefully we're gonna talk to a large steel governor's office Homeland Security got questions you cut comment sure in the affected careers listening. Gives called cheese eggs or 187.