Two weeks into the expiration of the National Flood Insurance Program, one of the insurance industry’s trade associations is once again calling for a reauthorization.
The National Association of Mutual Insurance Companies (NAMIC) on Oct. 16 issued a statement directed at Congress, in the midst of a government shutdown since the start of the month.
“Partisan politics is no reason to take away vital protections for people’s most valuable assets. Americans are at risk of losing their homes and possessions to flooding because of Congress’ failure to fulfill one of its most basic job responsibilities: fund the government,” said Jimi Grande, senior vice president of federal and political affairs at NAMIC.
“Republicans and Democrats do not need to solve all their differences to reauthorize the NFIP,” he said, adding that multiple individual bills have been introduced to extend the federal program. “They just need to do their job.”
NFIP expired at the end of Sept. 30. With the lapse, the Federal Emergency Management Agency (FEMA), administrator of NFIP, will pay valid NFIP claims with available funds. However, no new policies are being sold, and expiring policies are not renewed.
NAMIC, the American Property Casualty Insurance Association (APCIA), National Conference of Insurance Legislators (NCOIL),The Council of Insurance Agents and Brokers, Independent Insurance Agents & Brokers of America, Reinsurance Association of America, and Wholesale & Specialty Insurance Association urged congressional leaders to reauthorize NFIP shortly before its expiration. Many have in the past also called for a long-term reauthorization to avoid lapses.
NFIP has been reauthorized more than 30 times since 2017. The latest was in March 2025, shortly after FEMA borrowed $2 billion from the U.S. Treasury to cover NFIP claims—many from hurricanes Helene and Milton in 2024. FEMA said losses from 2024 depleted funds collected from insurance premiums.
Topics Legislation Flood Talent
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