Rail is the best way to get people out the immediate area.  How do you think people are going to get out of NYC if there is another terrorist attack or some natural disaster.  Not saying everyone can get out, but that would be the best to try and do it.  You can fit over 100 hundred people in one car of a commuter train, especially in an emergency.  They take up about as much space as 1 1/2 busses and the space of about 5 or 6 cars.  Also, you don't have to worry about massive traffic jams, or people running out of gas and blocking the roads.  If someone has worked on the logistics and has a plan in place the number of people that would be able to get out by train is staggering.  Especially, if just means people leaving Manhattan and not having to abandon the outerboroughs.

I really hope NO is able to get something similar to this through.  I don't think the insurance companies will be much of a problem.  Most of the city could probably just be condemned.  If they can do it to replace working class neighborhoods with high priced condos, they can do it to rebuild a gutted city.  But they would have to start now, before people really start the rebuilding process on their own, so rights of way can be purchased and streets can be widen where needed to allow for ped and bike paths, and express bus lanes/light rail.

I think they are planning on "vertical evacuation" in NYC.  Everybody head for the nearest skyscaper.  Might not help in case of terrorist attack, but it should be okay for floods, tsunamis, earthquakes, etc.