Pilot project in New York City to offer quick cash grants after major floods » Yale Climate Connections

After a flood, getting an insurance payout or a disaster relief check can take weeks or months. But many people need help right away to cover the cost of repairs, pay for short-term housing, or make up for lost wages.

So Helen Wiley of SBP, a disaster recovery nonprofit, says there’s a need for new financial tools that help provide fast relief after disasters strike.

Wiley: “The goal here is to have emergency cash grants that can help financially stabilize high-risk households in this immediate recovery period.”

In New York City, her group is partnering on a pilot project testing one approach – a type of communitywide insurance that could be funded by philanthropic or public dollars.

A third-party group, such as a nonprofit, holds the policy. When a flood of a certain severity occurs, it triggers an automatic payout of a set amount.

The money is then distributed to community members who fill out an easy application. So the model avoids the conventional, lengthy claims process.

Wiley: “This mechanism really allows us … to get money out very quickly to households.”

And people can spend it on home repairs or whatever they need most. So it’s an innovative way to help financially vulnerable households bounce back after a disaster.

Reporting credit: Sarah Kennedy / ChavoBart Digital Media

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