Posted on 10 Jul 2009
A bill that would extend the National Flood Insurance Program through March 31, 2010, was introduced in the House on Thursday.
Slated to expire on Sept. 30 under a previous temporary extension, the House and Senate passed separate extension bills in the last Congress but failed to reach agreement on whether the program should be expanded to include windstorm coverage. A bill that would require the plan to offer windstorm coverage was introduced in the House by Rep. Gene Taylor, (D-Miss.), in March.
Expanding the program to include windstorm coverage is opposed by most of the insurance industry. Thursday’s extension bill, introduced by Reps. Barney Frank (D-Mass), and Maxine Waters (D-Calif), provides for a straightforward extension without adding windstorm coverage.
The industry commended the bill's introduction:
“This extension is just a temporary fix, but it is a significant and welcome development for millions of homeowners and small businesses who count on the NFIP for protection in the event of flooding,” says Charles E. Symington Jr., Big “I” senior vice president for government affairs. “If the NFIP is allowed to expire, millions of consumers would be left vulnerable the next time a flood devastates a community.”
"PCI is very pleased with the introduction of new legislation by Congresswoman Maxine Waters and House Financial Services Chairman Barney Frank that will continue the National Flood Insurance Program (NFIP) through March 2010. Expiration of the NFIP, which would happen in September without an extension, could have dire consequences for policyholders and for the nation’s economy in general."