PIA National Calls for Passage of Flood Package
A delay by FEMA of a major overhaul in flood insurance rates [“Risk Rating 2.0”] makes it imperative that Congress pass the Waters-McHenry National Flood Insurance Program (NFIP) package as soon as possible. PIA National called for passage of the legislation that was already approved on June 12 by the House Financial Services Committee unanimously, a rare accomplishment on this typically contentious issue. The legislation provides for a five-year extension of the NFIP.
“PIA National has encouraged the full House to pass this legislation,” said Jon Gentile, vice president of government relations for PIA National. “Progress has been delayed due to the concerns of some members of Congress over Risk Rating 2.0’s effect on policyholders. Now that FEMA has delayed Risk Rating 2.0 until October 2021, it is imperative that the full House pass the Waters-McHenry legislation as soon as possible.”
The Waters-McHenry NFIP package recognizes and preserves the critical role of the independent agent, provides continuous coverage protection to policyholders who leave the NFIP to purchase a private flood policy and return to the program, makes important investments in mitigation, and increases funds for mapping. In addition, the bill maintains grandfathering and the gradual implementation of actuarially sound rates.
“It is past time for Congress to move forward with a long-term reauthorization,” Gentile said. “It is irresponsible for Congress not to act when bipartisan legislation to provide a long-term reauthorization is ready to be enacted.”