This week, a bill allowing for the creation of a private flood insurance market was introduced in the Senate by Senators Jon Tester (D-MT) and Dean Heller (R-NV). The legislation, S 2381, the Flood Insurance Market Parity and Modernization Act, is the companion bill to HR 4558 introduced by Representative Dennis Ross (R-FL) in the House last month.
The senators' bill clarifies that private insurance from licensed providers is available to property owners. Under current law, property owners may be uncertain of the quality and availability of coverage provided by licensed insurers and therefore home loan providers may charge higher rates to customers.
ABIA supported similar legislation during the flood reform debate earlier this year. For questions or comments, please contact Kevin McKechnie.
Read the full bill.
View Senator Tester's press release.