Delorse Harrington, a U.S. Navy veteran, saw her home’s foundation collapse during historic floods on Aug. 9 and 10, leaving her with $60,000 in repair costs.
Delorse Harrington, 67, has dealt with flooding just two times in the 34 years she has lived in her Menomonee River Hills home.
The first was over a decade ago, when a few inches of water coated her basement floors after a severe storm.
She bought a new sump pump system to prevent it from happening again.
The second time was in August, when water and mud from a record-breaking rainstorm surged through a wall and a basement window, demolishing a segment of her home’s cinderblock foundation, and allowing nearly 4 feet of water to pool on those same basement floors.
Harrington’s sump pump had malfunctioned, failing to push rising waters back outside.
In the aftermath, Harrington has been left to deal with over $60,000 in home repairs, including a gaping 5-foot hole at the base of her home.
None of the damage is covered by her homeowners’ insurance or the sump pump coverage she purchased from USAA.
What Harrington hadn’t realized was that the sump pump coverage applied only to non-flood-related situations, like a pipe burst or power outage. Since the water came through a wall and window and her drains were clogged by mud, the damage was not covered.
The misunderstanding, experts say, is common.
For people who live outside of high-risk flood zones, skipping flood insurance and selecting lower-cost add-ons, like sump pump coverage, is routine. But those plans can be quite narrow and ineffective for addressing flood damage.
“The basic story that most people don’t know is that flood damages are not going to be covered by homeowners’ insurance,” said Daniel Wright, a UW-Madison professor specializing in flood hazards and mitigation strategies. “I suspect that insurance companies don’t necessarily want to advertise that their coverage is not quite as comprehensive as people might like to think.”
Flood insurance is more expensive, but comprehensive
Harrington said when she signed up for insurance through USAA, she never spoke to an agent about flood insurance. After the flood, she struggled to get a representative on the phone to explain why she couldn’t receive any coverage.
In response, Rebekah Nelson, a USAA spokesperson, said the company is “committed to helping members build financial security.”
“Flood insurance is purchased separate from the standard homeowners insurance policy but delivers vital protection against the high costs of flood damage,” Nelson said. “It’s a valuable safeguard when unexpected events impact your property.”
But experts say flood insurance policies are under-advertised to residents like Harrington who live in low-risk flood areas.
Shane Hubbard, a UW-Madison research scientist specializing in damage and loss estimation from disasters, said that misunderstandings of what type of insurance offers the most protection result in homeowners being left with hefty bills and little government assistance.
“What is happening is these storms that are occurring in areas that we don’t traditionally think about flooding, and people aren’t buying the flood insurance because they don’t think they’re at risk,” Hubbard said.
Full flood insurance policies are also costly: On average, they can cost between $800 and $1,000 per year, according to FEMA.
With heavy rain events becoming more common in Wisconsin, experts say full flood coverage is worth considering even for homeowners who don’t live in high-risk areas.
“These storms are way beyond the capacity of our stormwater systems,” Hubbard said.
In August, 90% of the properties damaged in the Milwaukee area were located outside FEMA-designated floodplains.
According to research by Groundwork USA, a national network of environmental nonprofits, the amount of rainfall during intense precipitation events in the Midwest has increased by 42% since 1956.
“The biggest storms in Wisconsin history seem to be happening fairly often,” Wright said. “There’s so much rain that even the best infrastructure in the world isn’t necessarily going to be able to fix the problem.”
National Flood Insurance Program hasn’t kept up with costs
Historically, the National Flood Insurance Program, also known as NFIP, has served as the primary flood insurer for homeowners.
However, many residents in high-flood-risk areas, like coastal or riverside communities, have shifted to private flood insurance programs that can cover more damage, said Ben Collier, an associate professor of risk and insurance at the University of Wisconsin-Madison.
The NFIP covers up to $250,000 for homes and buildings and up to $100,000 in personal property. Collier said costs can easily exceed that in the most severe flood situations.
“The National Flood Insurance Program has been priced too low and has run deficits for many years,” Collier said. “The coverage limits are not especially high.”
Amid the national government shutdown, funding for NFIP lapsed, meaning FEMA can no longer establish or renew flood insurance policies.
The funding pause leaves many new homeowners in high-flood risk areas scrambling for protection and could halt the processing of current damage claims.
Private flood insurers tend to charge higher rates and offer more substantial coverage.
City’s order to repair or raze property adds financial strain
For Harrington, the city’s response has only added stress.
After a city inspector visited her property, Harrington received a letter from the Department of Neighborhood Services on Aug. 18 informing her that she had six months to either repair the damage to her property or raze the home.
Following Milwaukee’s August storms, over 50 properties were declared uninhabitable. Hundreds of other homes, like Harrington’s, faced major damages.
The city also said Harrington needed to acquire a permit to raze or repair within 30 days. The permit fee, set at 1% of the total renovation cost, would be about $600. A quadruple fee would be charged if she initiated any renovations without a permit, the letter said.
“I can’t afford it and I can’t get a permit, because I can’t find a contractor,” Harrington said. “I just want somebody to do a good job and be honest with me.”
Due to the high demand for contractors, finding someone to perform the repairs has been just as difficult as coming up with the money, Harrington said. She spends two to three days a week calling contractors in Wisconsin and neighboring states.
“I even drove past a Habitat for Humanity build site and asked if they could recommend a contractor,” she said. “The guy on site was an electrician, but he said everyone is really busy.”
Jeremy McGovern, a spokesperson for the Department of Neighborhood Services, said residents can appeal an order. Common reasons to grant extensions include if the resident is applying for FEMA funds, facing difficulties finding a contractor or working through an insurance claim.
He recommended Harrington speak directly with the city inspector to request an extension.
“Extensions are very common with these orders, and flood victims will find the inspector to be helpful in providing extensions without reinspection fees,” McGovern said.
McGovern said DNS waived flood damage permit fees for all owner-occupied residences and refunded previously paid flood-related permits.
Harrington said the city inspector never informed her that she could request an extension or waive her permit.
In general, experts said residents can expect to spend one year to repair a home after a disaster.
If residents are unable to secure financial assistance from their insurance company, they can apply for low-interest loans, federal grant programs, or local disaster relief funds.
Harrington was able to secure a $20,000 grant from FEMA, but she has no idea how she’ll cover the other $40,000.
“I’m a veteran,” she said. “I live on my pension and Social Security, and I was OK with that. But at this point, I think I’m going to have to get another job.”
Tamia Fowlkes is a Public Investigator reporter for the Milwaukee Journal Sentinel. She can be reached at tfowlkes@gannett.com.
What can you do to prepare your home to weather extreme rain?
Homeowners can prepare their homes to mitigate the potential damage of flooding, according to experts. Jeremy Hoffman, director of impact evaluation and community science at Groundwork USA, recommended the following tactics:
- Contact your insurance company and verify what damages could be covered under your current policy.
- Purchase flood insurance, even if you do not live in a high-risk area.
- Install rain barrels and storm water drums connected to downspouts to collect and gather water during heavy rains.
- Establish neighborhood groups that monitor sewer drains and flood culverts before large storms to ensure that the systems are not blocked by debris or trash.
The Department of Neighborhood Services condemnation team can help affected residents navigate the process and give advice on finding contractors. For resources, contact the Milwaukee Equal Rights Commission.
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