“There’s no question that the burden on households’ budgets has increased in recent years,” Benjamin Keys, a professor of real estate at the University of Pennsylvania’s Wharton School, told ABC News. “It has gotten substantially more expensive to live in harm’s way.”
The prospect of higher insurance costs could prompt difficult choices for homeowners and their communities, said Keys.
“This higher cost of living in disaster-prone areas is hitting households’ pocket books in ways that we haven’t seen,” Keys said. “Eventually it’ll induce substantial changes in these communities, whether that’s deciding where to live or how to build.”
