WASHINGTON – U.S. Sen. Bill Cassidy, MD (R-LA) today released a new report detailing the current state of the National Flood Insurance Program (NFIP) and the problems that have led to skyrocketing insurance premiums for millions of homeowners. A report was published. This report describes the historical developments that led the NFIP to this moment, the key findings after a thorough investigation of the crisis, and the next steps Washington should take.
“This report confirms what Louisiana homeowners already know: the National Flood Insurance Program is broken,” Dr. Cassidy said. “We must understand the problem to properly diagnose and address it. This report not only explains why flood insurance premiums are out of control, but also why there is reason to be hopeful. clearly explained.”
For more than 50 years, Americans have relied on the NFIP for affordable flood insurance to protect themselves in the event of natural disasters or major flooding. NFIP is often the only flood insurance option for many communities. But rising insurance premiums caused by FEMA’s new risk assessment program, Risk Assessment 2.0, have left many Louisianans with no way to protect their families and homes. According to Cassidy’s report, Risk Assessment 2.0 makes flood insurance payments impossible, exposes the entire program to financial risk, and is contrary to Congress’ intent.
Click here to read the full report and click here to read the summary document.
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In January, the U.S. Senate Banking Committee held a hearing on the NFIP at Cassidy’s request. The hearing emphasized the urgent need for Congress to act and featured witnesses from Louisiana. Before introducing this bill, Mr. Cassidy also participated in a roundtable sponsored by GNO, Inc. and the Sustainable Flood Insurance Coalition to hear from local leaders and advocates on this issue.
Cassidy visited St. Bernard Parish last year to talk with residents about flood insurance premiums, resulting in the second episode of his series, “Bill on the Hill.”
Over the past few months, Cassidy has delivered a series of speeches on the Senate floor calling for action against NFIP. Most recently, it asked Congress to reauthorize and reform the program just before its end-of-year authorization expires on Sept. 30.
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