Flood Insurance Rates on the Rise | Blog | Vargas & Vargas Insurance

Flood Rates Rising - Homes Flooding.jpgTides aren’t the only things that are rising nowadays – if you haven’t already, you may soon see an increase in your flood insurance premium. This is thanks to a new act passed through congress last July – the Biggert-Waters Flood Insurance Reform Act .

This piece of legislation was passed in an effort to recoup the losses of the National Flood Insurance Program due predominantly to Hurricane Katrina, which devastated the Gulf Coast back in 2005.

As you can imagine, the reform act document is rather lengthy, and its verbiage is unarguably hard to follow. In an effort to save you some sanity, here is a summary of the two key points of the act that may affect you and your flood insurance:

Loss of Subsidies

In the Flood Insurance Reform Act, certain types of buildings lost subsidies that have been in place since the 1970s. This change has the possibility to significantly raise rates on certain varieties of property, which include:

  • Residences that are not classified as a primary residence. This includes second homes, vacation homes, investment properties, and more.
  • Any and all business properties.
  • Properties that have suffered severe repetitive losses due to flooding.
  • Buildings that require a new flood insurance policy (including both new and pre-existing buildings).

In addition to these properties losing their subsidies, this Act has increased the maximum annual rate increase of flood insurance policies from 10% to 20%.

New Standards for Existing Properties

Another major change that the Flood Insurance Reform Act has initiated has the potential to greatly affect older properties. 

When a building is erected, it is built following the existing flood maps and flood specifications, and its flood insurance was always calculated based on the flood maps drawn the year the building was constructed. As flood standards changed over the years, older buildings weren’t penalized. This is all about to change. 

According to the new legislation, all buildings will be evaluated based on current flood maps, not the flood maps that existed the year the building was constructed. This means that buildings in areas that are now considered to be at risk for floods will probably see a dramatic increase in their flood insurance rates. 

Thankfully, this change should only truly affects older homes, and homes built in the last decade or two shouldn’t notice much of a change when flood maps are reevaluated.

If you have questions about your flood insurance policy, remember that Vargas and Vargas Insurance is always here to answer your questions. We have offered flood insurance to our Massachusetts clients for many years, and we can help you determine how all this new legislation will affect you and your home.

We encourage all home and business owners to call 877-550-0025 today to speak to an insurance specialist from Vargas and Vargas Insurance about your flood protection. We will evaluate the effects of the Biggert-Waters Flood Insurance Reform Act on your property, and may also be able to save you some money on your flood insurance premiums!

Photo credit:  che  /  Foter.com  /  CC BY-SA

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What Happens to My Auto Insurance After a Hit & Run?

By carlos vargas • November 21, 2025
If someone hits your car and drives off, it’s called a hit and run . Imagine leaving the grocery store to find your bumper smashed with no note or witnesses. It’s not just the damage that’s frustrating; it’s the uncertainty about what to do next. Why Are Hit & Runs Confusing? Many drivers aren't sure what to do because we aren’t often taught how insurance works for these situations. But the more you know, the more protected you’ll be. At Vargas & Vargas Insurance , we guide drivers through hit and run claims, breaking down the process in simple terms. Key Questions Answered: What is a hit & run under Massachusetts law? What auto insurance helps in this situation? Will your premium go up? What immediate steps should you take? What Is a "Hit & Run"? A "hit and run" involves another driver damaging your car or injuring you and leaving without giving their info. It could happen in a parking lot, on the street, or even at home. Massachusetts law requires you to report it and file a claim. Coverage That Helps in a Hit & Run Your auto policy can help—if you have the right coverage. Uninsured Motorist Coverage (UM/UIM): Essential for covering injuries to you or passengers. Collision Coverage: Covers car damage but requires you to pay the deductible. Note: Massachusetts is a no-fault state , needing collision and/or UM coverage for protection. Will Your Insurance Rates Rise? It depends. If considered a not-at-fault accident, rates might not increase. However, lack of a police report or a history of claims might affect rates. Reporting it properly is crucial. What Actions Should You Take? Call the police immediately to file a report. Take photos of all damage and surroundings. Seek witnesses or security camera footage. Contact your insurance agent for advice on filing a claim. Keep all records , like police reports and photos. The Bottom Line You can't control reckless drivers, but you can control your preparedness. Here's what you need to know: Have collision and uninsured motorist coverage for protection. A police report is essential. Your agent is your best ally for making claim decisions.  If you’ve returned to your car to find damage without a note, you know the stress. Now you know the steps to take and the protections you need. At Vargas & Vargas Insurance , we’re here to make this simple and stress-free. Unsure if your policy protects you from a hit & run? Call us at 617-298-0655 . Let’s ensure you’re covered before it happens.

Personal Liability Insurance: What Happens When Someone Gets Hurt on Your Property

By carlos vargas • November 21, 2025
In this post, we'll guide you through what happens when someone is injured on your property, how personal liability insurance can provide protection, and the steps you should take immediately if an accident occurs. By the end, you'll understand common scenarios that trigger personal liability coverage, what's included (and not included) in a standard policy, how claims are managed, and practical tips to protect yourself both before and after an accident. Understanding Personal Liability Insurance Personal liability insurance is designed to protect you financially if you are found legally responsible for someone’s injury or damage to their property. Typically, this coverage is part of your homeowners or renters insurance policy. If an incident occurs on your property and you’re held responsible, your personal liability insurance can help cover: Medical expenses for the injured person. Legal defense costs if you’re sued. Settlement or judgment amounts awarded to the injured party. Without this coverage, you could face out-of-pocket expenses which could amount to thousands or even hundreds of thousands of dollars, depending on the situation. Common Injury Scenarios on Your Property Personal liability coverage may be applicable in situations like: A guest slipping on an icy walkway. A child falling off a swing in your backyard. A delivery driver tripping over a loose step. A neighbor’s fence being damaged by a tree falling from your yard.  Accidents can happen even if precautions are taken, and unfortunately, being "careful" doesn't automatically shield you from legal or medical bills. What’s Not Covered It's crucial to understand that personal liability insurance doesn't cover everything. Most policies exclude: Injuries to you or household members. Intentional acts causing harm. Certain high-risk situations, such as injuries from business activities conducted at home (unless you have separate business liability coverage). Understanding these exclusions can prevent surprises and the frustrations often accompanying a denied claim. What Happens After an Injury on Your Property If someone is injured on your property: Get medical help immediately — the priority should be the person’s safety and well-being. Document the incident — take photos, collect witness statements, and record all details. Notify your insurance company — report the incident promptly, even if unsure whether the injured party will make a claim. Avoid admitting fault — stick to the facts when speaking with the injured person and your insurer. Once a claim is filed, your insurance company will: Investigate the incident. Determine whether your policy covers the claim. Handle negotiations, settlements, or defense in court if necessary. How to Protect Yourself Before an Accident Happens While insurance covers the unexpected, prevention is better than reaction. Reduce your risk by: Keeping walkways clear of ice, snow, and clutter. Repairing loose steps, handrails, and flooring. Properly maintaining landscaping and trees. Providing adequate lighting for entrances and pathways. Regular maintenance not only keeps your property safe but shows responsible behavior if a claim is filed. The Role of Your Insurance Broker An experienced insurance broker can help you: Review your policy to ensure adequate liability coverage limits. Clarify exclusions so you understand what's not covered. Guide you through the claims process if an injury occurs. Suggest umbrella insurance for additional liability protection beyond your standard policy limits. Having a broker means you aren't navigating these situations alone — you'll have someone familiar with your policy advocating for you. The Bottom Line Accidents can occur anywhere to anyone at any time. If someone gets hurt on your property, personal liability insurance can safeguard your finances, cover legal costs, and help manage the situation professionally. The key is understanding how your coverage works before you need it. This involves knowing your policy limits, understanding exclusions, and ensuring you have sufficient protection in place. Additional Resources: Insurance Information Institute – Understanding Liability Coverage NAIC – Consumer’s Guide to Home Insurance