Mississippi Insurance Commish Miguel Chaney issued the following statement.
The United States Senate has renewed the National Flood Insurance
Program (NFIP) through the end of November 2018. The federal program was
scheduled to lapse on July 31, 2018. The Senate took action after the
U.S. House approved the renewal last week.
Mississippi
Insurance Commissioner Mike Chaney said, “The renewal is good news and
comes as a relief to thousands of Mississippians who would have
been at risk of losing their flood insurance coverage. However, this
extension is only a stop-gap measure.”
Chaney believes there should be long-term reform of the NFIP and more competition is needed.
Commissioner
Chaney said, “It’s a situation where the government needs to step out
of the way and let free enterprise solve the flood problem, with
Federal backup. Certainly, there could be areas where people would
cherry-pick and private flood insurance may not cover someone that’s in a
real vulnerable area. That’s why the NFIP existed in the first place,
to cover those clearly in harm’s way.”
The
Mississippi Insurance Department (MID) does not regulate the NFIP,
approve its rates or changes or have any authority over the program.
However,
the department encourages all citizens to determine their flood
insurance needs to protect their homes and property.
Mississippi has approximately 65,000 policies statewide. About 10,000 of the state run Wind pool policyholders are required to have flood insurance in the coastal area of the state.
Mississippi has approximately 65,000 policies statewide. About 10,000 of the state run Wind pool policyholders are required to have flood insurance in the coastal area of the state.
1 comment:
The NFIP was established under very faulty condiitions, (1) that subsidized policy
holders would be forced to elevate or relocate their homes after subsequent floods and (2) that
communities that participated in the NFIP would enforce their development codes. Neither happened.
And then you have the Flood Insurance Rate Maps that were far from accurate. Put it all together and you
have another Federal Boondoggle many billions of dollars in the red.
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