January 27, 2014

Thaler reiterates need to freeze NFIP premiums

Jan. 28, 2014 – NAFCU last night reiterated its call to Senate leaders for action on legislation ensuring that National Flood Insurance Program premium hikes due to remapping activities do not happen before an affordability study is completed and reviewed.

The Senate last night approved a motion that paves the way for action on S. 1926, the "Homeowner Flood Insurance Affordability Act," and is scheduled to resume consideration of the bill today. S. 1926 would freeze premium increases on most properties affected by premium hikes provided under the 2012 Biggert-Waters Flood Insurance Reform Act until an affordability study is completed and findings are acted upon.

NAFCU Vice President of Legislative Affairs Brad Thaler, in last night's letter, warned that sharp increases in NFIP premiums could impede home sales, block home buyers' access to credit and harm the housing recovery. He said some credit unions have already reported problems arising over concerns of premium increases.