Floods are America’s most common natural disaster, causing millions of dollars of damage each year. To protect consumers, FEMA’s National Flood Insurance Program (NFIP) provides coverage for over 5 million policyholders. But analysis of recently released FEMA data shows that the taxpayer-funded program first and foremost bails out wealthy homeowners. Given that the program is […]
While not all disasters are preventable, the country has been hit with damaging hurricanes and increased rainfall, resulting in billions of dollars in damage. Congress must focus on implementing policies that will reduce vulnerabilities and costs – and limit the damage. For the protection of every property owner and the good of every taxpayer in […]
A group of think tanks wrote a letter to concerns about any effort to cancel the Trump administration’s Risk Rating 2.0 initiative, whose implementation already has been delayed until October 2021, or to otherwise reverse hard-won policies that bring the deeply indebted NFIP closer to fiscal solvency. You can download the letter here.
Lawmakers have until the end of May to debate meaningful reforms to the NFIP — the National Flood Insurance Program that has been in over $20 billion in debt (and growing) for many years. To fix that program, one positive legislative proposal would direct the NFIP to base premiums on a property’s replacement cost value, as […]
More than 5 million homeowners and businesses rely on the federally-run National Flood Insurance Program (NFIP) for protection from flooding, but with each passing year, the program’s design flaws and mismanagement are nudging it closer to insolvency. Despite repeated bailouts by Congress, the NFIP continues to lose an estimated $1.4 billion each year. The program’s […]
When Congress created the National Flood Insurance Program (NFIP) in 1968, its goal was to provide affordable insurance to help communities rebuild after flooding. In the years since, the program’s finances have gone from bad to worse, and it now stands out as a model of flawed design and financial mismanagement. The program loses about […]
The National Flood Insurance Program (NFIP) is in desperate need of reform to maintain its solvency, but a recent proposal in the Senate would only make the problem worse. It’s not hard to identify the source of the NFIP’s financial difficulties. The program simply doesn’t charge premium rates that fully reflect risks. That, coupled with […]
Hurricane Florence displaced thousands of homeowners and destroyed entire cities along the Atlantic Coast. But because of outdated policies, most consumers who were forced to flee their homes will be unable to use flood insurance to recover and rebuild their property. In the absence of a major flood reform bill, this exact scenario will play […]
Harvey and Irma are gone, leaving devastation in their wake. Jose is headed away from our east coast, and then there is Maria. These are just the latest crop of significant Atlantic storms. We go through watchful waiting for hurricanes every year. Sometimes it amounts to paranoia and sometimes they really are out to get […]
Twelve groups — including the National Wildlife Federation, R-Street Institute, National Housing Conference and American Rivers — sent a letter to the Financial Services Committee urging support for various efforts to reform the National Flood Insurance Program, which is currently over $20 billion in debt. The letter is available online.