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The bill increases private-market options and competition for flood insurance—potentially reducing taxpayer exposure and expanding choice—but raises risks of higher premiums for some property owners and weaker, more fragmented consumer protections and claims coordination.
Homeowners and small businesses can buy private flood insurance in addition to NFIP-related products and Write Your Own participants can sell private policies, expanding coverage choices and encouraging competition and product innovation.
Shifts some flood risk to private markets, which may reduce long-term reliance on the National Flood Insurance Program and lower taxpayer exposure to federally backed flood losses.
Some property owners (homeowners and renters) could face higher premiums if private insurers price flood risk more aggressively than the NFIP.
Homeowners may encounter gaps, overlaps, or confusing claims coordination between NFIP policies and private flood policies, complicating recovery after a flood.
FEMA's leverage to enforce uniform consumer protections or consistent policy terms across insurers handling federally related flood business may be reduced, weakening consumer safeguards.
Based on analysis of 2 sections of legislative text.
Prevents FEMA from imposing WYO participation conditions that bar insurers, agents, brokers, or adjusters from offering or selling private flood insurance.
Introduced June 12, 2025 by Richard Lynn Scott · Last progress June 12, 2025
Prohibits FEMA from imposing any participation condition in the National Flood Insurance Program’s Write Your Own (WYO) arrangement that would stop participating insurers, agents, brokers, or adjusters from offering or selling private flood insurance. It defines the WYO Program as FEMA’s standard arrangement with private insurers to sell flood insurance and adjust/pay claims, and bars FEMA from including such restrictive conditions in current or future WYO agreements after enactment.