Obama signs NFIP premium hike relief
The president signed H.R. 3370 Friday.
March 24, 2014 – President Obama on Friday signed H.R. 3370, which will implement NAFCU-sought delays in flood insurance premium hikes under the National Flood Insurance Program.
The House and Senate passed the bill – which was sponsored by Rep. Michael Grimm, R-N.Y. – earlier this month. The legislation was also championed in the Senate by Sens. Bob Menendez, D-N.J., and Mary Landrieu, D-La.
The measure revises the 2012 Biggert-Waters Flood Insurance Reform Act by:
- reinstating the grandfathering of premiums to prevent catastrophic rate increases due to Federal Emergency Management Agency remapping,
- remove the home sale rate increase trigger,
- provide a refund of excess premium charges already paid under Biggert-Waters,
- lower the cap on rate increases to 15 percent, and
- establish a per property rate increase limit.
NAFCU wrote lawmakers several times in support of the efforts of H.R. 3370, saying it would lend stability to the program and its participants, as well as the larger housing market.