BOSTON, MA – Today, Congressman Stephen F. Lynch (D-Boston) released the following statement upon unanimous U.S. House of Representatives passage of H.R. 2901, the bipartisan Flood Insurance Market Parity and Modernization Act:
“Homeowners in my district and across Massachusetts have struggled with recent flood insurance premium increases and I have been working with my colleagues on the House Financial Services Committee to examine ways to provide these families with some much needed relief. H.R. 2901, the Flood Insurance Market Parity and Modernization Act, gives homeowners the option to choose between private flood insurance and the National Flood Insurance Program (NFIP). By removing the mandatory purchase requirement of NFIP under the Biggert-Waters Flood Insurance Reform Act of 2012 and allowing private policies that are approved by a state regulator to count towards continuous coverage, H.R. 2901 will increase coverage options for homeowners and improve access to more affordable and comprehensive insurance policies. I am very pleased that the House took action on this important measure and I am hopeful that the Senate will soon follow suit so that local families can take advantage of more affordable options for flood insurance.”
Under the Biggert-Waters Flood Insurance Reform Act of 2012, options for private flood insurance were narrowly defined, which limited the ability of state regulators to license private flood insurance products. H.R. 2901, the Flood Insurance Market Parity and Modernization Act, returns private insurance regulation authority to the states. The flood insurance provider must comply with a state’s laws and regulations. Importantly, the bipartisan legislation will not allow insurance companies to drop customers due to an impending storm.
On April 28, 2016, the House passed H.R. 2901, the Flood Insurance Market Parity and Modernization Act, by a vote of 419-0. The Flood Insurance Market Parity and Modernization Act, unanimously passed the House Financial Services Committee, on which Congressman Lynch serves, on March 2, 2016 by a vote of 53-0.