The National Flood Insurance Program (NFIP) in the United States of America, created in 1968, provides federally backed coverage for homeowners and small businesses in more than 22,000 flood-prone communities across the country. The NFIP is due to be reauthorized in 2017, which presents Congress with an opportunity to make needed changes, that would reduce debt and effectively address risk.
Flooding being the fastest-growing and most-costly natural disaster in the United States, this document proposes that federal legislators should act to better protect ratepayers and taxpayers by:
- encouraging communities to improve management of the most flood-prone areas;
- linking buyouts of flood-prone properties with protection and restoration of natural resources;
- protecting homebuyers by requiring sellers to accurately and fully disclose flood history and risk;
- providing ratepayers with information about their actual flood risk.