Loophole Leaves Taxpayers on the Hook for Earthquake Damage

The vast majority of homes in earthquake-prone areas lack any insurance protection against earthquakes, exposing American taxpayers to hundreds of billions of dollars of risk if disaster strikes. And while some lawmakers, including Rep. Sean Duffy and Sen. Tim Scott, are urging policymakers to address the problem, Congress has yet to enact reforms. The crux […]

Fannie Mae, Freddie Mac, and Earthquake Insurance for Mortgages

Could taxpayers be on the hook for yet another bailout? Representative Sean Duffy and Senator Tim Scott asked the Federal Home Finance Agency to provide information on the exposure of earthquake damage losses facing Fannie Mae and Freddie Mac GSEs (government sponsored enterprises).  The GSEs do not currently oblige mortgage borrowers to insure the mortgages against […]