Sponsors (3)
Official title: To reauthorize the National Flood Insurance Program, and for other purposes.
Introduced September 18, 2025 by Frank Pallone · Last progress September 18, 2025
The bill modernizes mapping, expands mitigation funding, and preserves short‑term affordability and consumer protections for many policyholders — but does so at meaningful upfront federal cost, with new privacy risks, added local compliance burdens, and the likelihood that more accurate, actuarial pricing will raise costs for some property owners over time.
Homeowners, renters, and other NFIP policyholders keep access to flood insurance through Sept. 30, 2030 and get short‑term affordability protections: annual premium/surcharge increases capped at 9% for five years, monthly payment options, and renewal rate protection for short lapses.
Homeowners, low-income households, and communities gain substantially expanded mitigation financing and incentives — grants, revolving loan funds, priority technical assistance, and at least a 10% premium discount for approved mitigation — that lower future flood damage and insurance costs.
Homebuyers, property owners, insurers, and government planners get more accurate flood maps and property‑level data (LiDAR, elevation, building footprints) plus new funding to modernize mapping, improving risk transparency and targeting of mitigation.
Taxpayers and future policyholders face higher federal costs and long‑term NFIP solvency risk because short‑term premium caps, means‑tested discounts, mandated mitigation funding (including $1B/year), use of Fund balances during lapses, and forgone Treasury interest reduce near‑term receipts or shift costs forward.
Many property owners will see insurance costs rise as mapping and rating become more granular and actuarial (property‑level risk scores, LiDAR‑based maps), and some face large penalties (e.g., steep premium increases) if they decline 'bona fide' mitigation offers.
Local governments, developers, and property owners incur new compliance, administrative, and technical costs (collecting elevation/building data, paying for surveys/engineer reports, matching funds for revolving loans), which can be burdensome—especially for smaller or poorer jurisdictions.
Based on analysis of 17 sections of legislative text.
Reauthorizes NFIP to 2030, limits short-term premium increases, modernizes mapping/data (property-level LiDAR database), expands mitigation funding and changes claims and WYO reimbursement rules.
Reauthorizes and reforms the National Flood Insurance Program (NFIP) through September 30, 2030, changes how flood risk is mapped and rated, and expands mitigation funding and program rules. The bill limits short-term premium increases, creates new data and mapping requirements (including a property-level spatial database and LiDAR investments), establishes revolving loan and mitigation funding authorities, changes claims and appeals procedures (including a presumption about earthquake-like earth movement), modifies reimbursement and commission rules for private insurers participating in NFIP, and provides temporary Treasury forbearance on interest for NFIP debt with funds redirected to mitigation.