Right. As long as a private insurance company will underwrite it and they keep the premium paid they can build anywhere they want. I don’t care.
Insurance drops um or they don’t pay up. Don’t come crying to me. I live lake side, but my basement floor is 25 feet higher than the lake water level. And there is a TON of flat land around me.
If the water gets to my basement someone had better have built an ark.
Insurance for these properties is actually another scam.
The states generally don’t allow the companies to figure costs by the actuarial risk of individual companies. They require them to lump in a large number of much lesser risk properties so those with the highest risk don’t get dinged so badly.
Here in Florida, the risk is wildly disproportionate for the actual waterfront property where the richest people live. If they had to pay the actual cost of insurance for their property, few of these locations would be developed.
So the state enforces a “coastal zone” of some number of miles, can’t remember how many, inland. All of these houses are lumped together and the rate calculated accordingly.
So the middle class or poor property owners two miles inland and 60 feet above sea level pay a massive subsidy so the rich guy can have affordable insurance on his 10,000 SF waterfront mansion.