Yep, part of the "Act of God" crap they use. My grandma's basement caved in one year flooding it (part of the Mississippi flood of '94). It's devestating for people. What do you think will happen for people who's insurance won't cover it. Are they just SOL?
My mother lived in the A basin in Butte LaRose, inland from NO. If the Corp of Engineers had to flood the basin to save NO, she was offered extremely expensive flood insurane for a window of ninety days. I don't know about hurricanes, though.