CAP receives frequent updates from the Coalition for Sustainable Flood Insurance. Here are the latest updates to the National Flood Insurance Program Reauthorization and the implementation of Risk Rating 2.0.
Bipartisan legislation was introduced in the Senate in early November to reauthorize the NFIP. The National Flood Insurance Program Reauthorization and Reform Act
was introduced by several senators, including U.S. Senators Bill Cassiday (R-LA), John Kennedy (R-LA), and Bob Menendez (D-NJ). This legislation was also cosponsored by Sens. Cory Booker (D-NJ), Cindy Hyde-Smith (R-MS), Marco Rubio (R-FL), Roger Wicker (R-MS), Chris Van Hollen (D-MD), and Kristen Gillibrand (D-NY).
The bill contains several provisions that include:
- Five-year authorization of the NFIP
- Guardrails on Risk Rating 2.0 (e.g. premium increases capped at 9% per year)
- Freezing interest payments on the NFIP debt and reinvesting savings towards mitigation efforts
- Increased Cost of Compliance (ICC) Coverage to better reflect costs of rebuilding and implementing mitigation projects
*Image courtesy of USA Today