Yours is a good point, and thus the annual push to sign up subscribers. they need to expand the risk pool to include a LOT of people who have no realistic chance of ever experiencing a catastrophic flood.
Unfortunately (for FEMA), most people look around their homes, and realize that they live on a hill, not in a flood plain, and decide they could spend that money better elsewhere. The answer of course is to FORCE them to buy coverage, heedless of whether they want or need it.
Wait. That sounds familiar. Force them to buy coverage whether or not they want or need it... Where did I just hear that? Don’t help me, I’ll think of it...
Tremendous errors are being found on the new FEMA maps. People are having to pay for “elevation surveys” to show their properties are not in flood zones, after getting a notice from their lender that they now have to pay for flood insurance. It can cost from $1200 to $10000 per year.