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After Sandy Victims Complain, FEMA Tweaks Flood Program

Superstorm Sandy Floods Lindenhurst, N.Y.
Jason DeCrow

On Monday the Federal Emergency Management Agency said it's overhauling its flood insurance claims appeals process so homeowners can deal directly with FEMA officials rather than having to fight insurance companies. 

Homeowners devastated by Superstorm Sandy had flood insurance through the National Flood Insurance Program, which is subsidized by taxpayers, but run by private insurance companies.

Following Sandy, thousands of policyholders felt they were being shortchanged by the for-profit insurers, but the only avenue they had to complain was an appeals process run by the same company who denied them.

WSHU reported last year that 92 percent of homeowners who filed an appeal were denied.

Many of them ended up waging long legal battles to get the money needed to repair their flooded homes. Taxpayers paid for all legal fees.

This report contains information from the Associated Press.

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