Homeowner Flood Insurance Affordability Act Signed Into Law

Monday, March 24th, 2014

Tropical Storm Erin 8-19-07

President Obama signed the Homeowner Flood Insurance Affordability Act of 2014 into law on Friday, March 21th 2014.  This article by the Insurance Journal highlights the changes.  This is welcome news by many, particularly homeowners who’s flood insurance rates have skyrocketed and realtors who have seen a decline in coastal housing sales. The bill, among other things:

  • Reduces rate increases;
  • Prevents home sales from triggering the full rate risk;
  • Reinstates grandfathering for pre-FIRM properties; and
  • Attempts to minimize annual premiums to 1% of the coverage amount.

NE&C provides several resources and services for property owners, developers, and realtors impacted by the flood insurance program. Contact us for more information.

UPDATE: FEMA recently released an informative overview of the Act as well as this handy summary table.

Blog post written by Jason Gold, P.E.

Comments are closed.