Reauthorization of National Flood Insurance Program (NFIP), Delay of Risk Rating 2.0 Urgently Requested
Today, the Coalition for Sustainable Flood Insurance (CSFI) requested congressional leaders to act swiftly in reauthorizing the National Flood Insurance Program (NFIP) and support a delay in Risk Rating 2.0. With the current authorization of NFIP expiring on September 30, 2021, and with Risk Rating 2.0’s launch set for October 1, 2021, CSFI called for appropriate congressional action on these dual fronts to protect current and future policyholders.
More than three dozen CSFI member organizations submitted joint priorities and concerns in a letter addressed to the House Committee on Financial Services and the Senate Committee on Banking, Housing, and Urban Affairs. Priorities include ensuring the NFIP continues without a lapse, implementing rate caps of nine percent, and delaying implementation of Risk Rating 2.0 until more information is available to policyholders and stakeholders. Representing wide-spanning communities and constituencies, undersigned coalition members include United Policyholders, Coastal Alabama Partnership (AL), the Bay Area Houston Economic Partnership (TX), and the Business Alliance for a Sound Economy (NC).
“NFIP reauthorization is necessary to ensure economic vitality and peace of mind for families and businesses nationwide,” said Michael Hecht, President and CEO of Greater New Orleans, Inc. “As Hurricane Ida has now underscored, flood risk is a national problem, that requires a smart and sustainable policy response. With this in mind, the Coalition for Sustainable Flood Insurance looks forward to continuing to work with Congress on both NFIP reauthorization, and Risk Rating 2.0”
“Households across the nation need access to insurance coverage for flood damage, risk reduction help and accurate information on NFIP options and pricing,” said Amy Bach, Executive Director of the consumer non-profit United Policyholders. “We urge Congress to take appropriate measures to keep NFIP coverage as affordable as possible so Americans can protect their most valuable assets against the risk of flooding.”
Since 2013, CSFI has congregated stakeholders interested in ensuring that flood insurance is sustainable and affordable. CSFI has developed comprehensive policy recommendations and promoted key principles to sustainable flood insurance. Throughout the Risk Rating 2.0 rollout, CSFI has advocated for additional release of information and public education from FEMA. In its letter to Congress, CSFI reiterated long-term reauthorization priorities that make NFIP more equitable, affordable, and accessible, while addressing the urgency of short-term reauthorization and delaying Risk Rating 2.0.