January 31, 2014

Senate passes longer delay of NFIP premium hikes

Jan. 31, 2014 – NAFCU yesterday hailed the Senate's passage of S. 1926, legislation introduced by Sen. Bob Menendez, D-N.J., to delay flood insurance premium increases for study when flood maps are redrawn under the 2012 Biggert-Waters Flood Insurance Reform Act.

The association has warned lawmakers that sharp increases in premiums could impede home sales, block home buyers' access to credit and harm the housing recovery. NAFCU President and CEO Dan Berger welcomed the Senate's vote Thursday to pass S. 1926.

"NAFCU supports a delay in implementing rate increases until such time that further study can be done to address how a reasonable flood insurance program can be sustained," Berger said. "We hope that this legislation can be advanced in a timely manner."

S. 1926, approved by the Senate on a vote of 67-32, would provide up to a four-year delay in some premium hikes under the 2012 reform law. The measure is cosponsored by Sens. Johnny Isakson, R-Ga., Mary Landrieu, D-La., and David Vitter, R-La.