Flood Extension Wins Support
The Senate Banking Committee has unanimously approved a bill (S.2238) to extend the National Flood Insurance Program along with reforms to reduce the cost of repetitive flood insurance claims. The NFIP extension bill, sponsored by Sen. Jim Bunning, R-Ky., builds on a House-passed measure (H.R. 253) to reduce the cost of insurance claims on properties that are repeatedly hit by floods.
Homeowners who refuse federal buyouts or other forms of assistance to shore up, elevate or move their properties will see their flood insurance premiums increase under the bill. The cost of repeat claims on high risk properties has been a problem for years.
Sen. Bunning stressed that the Senate bill builds on the common-sense approach developed by the House to deal with repetitive claims that cost the federal government $200 million annually.
"I think our House colleagues did a very good job," Sen. Bunning said. "And we have improved on the bill." House and Senate leaders are hoping to complete action on the NFIP bill before the current authority to issue new flood insurance policies expires in June.
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