NFIP Flood Claims For Hurricane Ian Approaching $4B, Average Payment Over $104K

As of May 2, 2023, FEMA reported that National Flood Insurance Program (NFIP) claims related to Hurricane Ian have totaled $3.9B. Out of the roughly 48,000 claims in Florida and the Carolinas, around 95% have been closed, according to the agency.

Of the total amount, FEMA stated that $445 million went to replacing damaged contents. The average payment made was more than $104,000.

FEMA initiated payments within a week after Hurricane Ian made landfall, with policyholders receiving between $5,000 and $20,000 before an adjuster’s inspection. In November of last year, FEMA estimated that NFIP losses would reach as high as $5 billion.

In a document outlining disaster relief funding requirements for fiscal year 2024, FEMA estimated it would need $3.7 billion to cover its obligations for damages from hurricanes Fiona and Ian. The agency projects that Ian will cost more than $7 billion through the 2027 fiscal year, with Fiona losses potentially reaching $5.5 billion.

Florida accounted for the majority of NFIP claims, with approximately 35% of policies in the federal government’s insurance program, while the Carolinas combined represented slightly over 7% of NFIP policies.