Lincoln, Neb.-- If you live in a flood plain and your home has a bank loan, the law requires you to have flood insurance. Now, you could see severe increases to your annual premiums.
Jim Shamburg and his wife, Linda, have lived in Lincoln for the last nine years.
But, due to recently amended flood insurance laws through FEMA, the Shamburgs are seeing their premiums skyrocket.
Their 2012 premium was about $360.
That number increased to just more than $2,300 in 2013.
"I am not a happy guy about this," Shamburg said.
The Shamburgs live just south of 40th and Cornhusker Hwy in a flood plain.
They didn't need flood insurance until they took a loan out to add a new addition to their home. And a bank won't give a loan to people in the Shamburg's position unless they have flood insurance.
"I don't know what formula [FEMA uses]," Shamburg said.
"I just know our flood insurance went from $31 a month to $192, and I'm very upset."
Congress is attempting to put these rate hikes on hold in favor of a more affordable option that won't drive families out of their homes, because this issue could affect homeowners across the country if they live in a flood plain.
But, the Shamburgs already had to pay their premium this year.
"It was due in October," Shamburg said, "so it had to be paid in October."
Shamburg said this $2,300 hit is more than they ever expected, or could afford, to pay.
Shamburg approached Rep. Jeff Fortenberry's office about the issue.
A spokesperson for Fortenberry said they reached out to FEMA's office, but it could be weeks until they hear back.