Fair Disaster Assistance Act of 2025

This bill tells FEMA to stop sending denial notices to people who apply for disaster help while their home insurance claim is still being decided. If your home or other building you own was damaged in a federally declared major disaster, FEMA can’t tell you “denied” for certain aid until your insurance company gives a final yes or no on your claim. FEMA must set rules to make this happen.

Key points:

• Who is affected: Homeowners and other property owners applying for FEMA help after a major disaster declaration, who also have an active insurance claim for the damage.
• What changes: FEMA cannot send a denial notice for this assistance until the insurance claim gets a final decision.
• When it applies: After a Presidentially declared major disaster, during the period when the insurance claim is still pending, and once FEMA issues the required rules to enforce this policy.