Canadian government gives cash advances to flood victims

The government of Canada is offering cash advances from insurance payouts. The loan cash is being funded by the Provincial Disaster Assistance Program. Estimates of the amount of damage from the Maple Creek floods are just now being put together, but the residents are already cleaning up.

Source for this article: Canadian government gives cash advances to flood victims by Personal Money Store

Maple Creek floods

Long sections of the Trans-Canada highway were closed down when Saskatchewan flooded. Some areas, like Last Mountain Lake, have not yet reached their peak water levels. Just crop damage will most likely be around $ 300 million. That much money, or more, could be the cost of the property damage.

Maple Creek residents get overnight loans from the PDAP

Before the PDAP pays out money, they typically require an estimate from insurance adjusters, but within the case of Maple Creek, they’re ignoring that requirement. The program provides two separate types of cash to residents. The PDAP is offering a $ 3,000 cash advance on expected insurance payments. Intended to fill the gap between the payout of insurance and also the event of a disaster, these payments are usually accessible in just a couple of days. The PDAP also says they’re budgeting $ 160,000 to cover "uninsurable losses.” All claims will be paid by Sunday, as outlined by provincial officials.

Debate about drop insurance

In some areas of Canada, the crop insurance has created a difficult debate. Only about 70 percent of farmers within the area purchased crop insurance this year, but the government is planning on paying out benefits to most farmers. Those that did purchase insurance are worried that this is going to drain what they paid in and decreases incentive for every person to purchase insurance the next year. Government insurance adjusters are spending time within the area, determining the cost of the flood damage.Once that final determination is made, the government will start helping insurance companies pay out their benefits.