The U.S. Senate passed legislation to extend the NFIP through Friday, Feb. 8. Expiration of the program is currently tied to a larger appropriations measure that will fund portions of the federal government also through Feb. 8. However, at press time, the U.S. House of Representatives has yet to vote on the measure, and President Trump has signaled that he is unwilling to sign the Senate-passed bill.
It is unclear if the broader government funding bill that includes the NFIP extension will be signed into law before midnight on Friday, when government funding for about a quarter of the federal government is set to run out and the NFIP is set to expire. During this debate, the Big “I” has led advocacy efforts to urge no lapse for the NFIP, which included organizing a letter from 27 organizations representing insurance, housing, banking, and consumers urging Congress to take immediate action to reauthorize the program.
If the legislation fails to garner final approval at the last minute, it is unclear what will happen. Should the program lapse, the Big “I” encourages agents and brokers to be in touch with any insurance companies they write NFIP policies with regarding company-specific procedures. Big “I” members may log in to view a one-page document that outlines resources available in the event of a lapse.
Since expiring in September 2017, the NFIP has seen nine stop-gap extensions and three brief lapses while Congress considered broader program reforms. With Congress about to recess for the year, any legislative measures on flood insurance introduced or considered but not passed in the last two years will be void. New legislation must be introduced next year.
The Big “I” expects that several flood insurance measures that were introduced in 2017 and 2018 will be reintroduced in 2019 for further consideration by the new Congress. Meanwhile, the Big “I” will continue to advocate for Congress to support a long-term reauthorization of a modernized program that would increase take-up rates for flood insurance in both the NFIP and the private market.
Jennifer Webb is Big “I” federal government affairs counsel.
