President Obama Friday signed into law a measure that extends the National Flood Insurance Program (NFIP) through September 30.
The NFIP expired at midnight on May 31 Ã¢â‚¬“ in time for the start of the Atlantic hurricane season Ã¢â‚¬“ after Congress failed to act on legislation reauthorizing the program.
The latest extension is retroactive, so flood damage claims filed after May 31 will be covered by the program.
The National Association of Mutual Insurance Companies (NAMIC) makes the important point that hurricane season runs two months beyond the new September 30 expiration date. A press release quotes Jim Grande, NAMIC senior vice president of federal and political affairs, saying:
Congress must not let the program lapse again, but thatÃ¢â‚¬â„¢s just the minimum. The best thing they can do is take this time to pass legislation that would implement common sense reforms and help the NFIP make the first steps towards financial soundness.Ã¢â‚¬
The Property Casualty Insurers Association of America (PCI)Ã‚ echoes this point andÃ‚ urges elected leaders to consider a long-term flood insurance solution.
Check out I.I.I. facts and stats on flood insurance.