WASHINGTON, D.C. – Congressman Clay Higgins (R-LA) joined Leader Scalise (R-LA), Chairman Comer (R-KY), and bipartisan members of the House Oversight & Accountability Committee in sending a letter to FEMA Administrator Deanne Criswell requesting documents, information, and a staff-level briefing on the effects of the National Flood Insurance Program (NFIP) Risk Rating 2.0 which caused flood insurance premiums to dramatically increase.
“The Committee on Oversight and Accountability along with various congressional delegations are conducting oversight of the Federal Emergency Management Agency’s (FEMA) National Flood Insurance Program (NFIP). Media reports show that for nearly four million Americans the Risk Rating 2.0 version of the program has caused premiums to increase, causing flood insurance to be unattainable for many. The process leading to the rate increases has been less than transparent. Congress has an obligation to ensure that the U.S. flood insurance market is stable and affordable for all Americans and particularly those on a fixed income. To understand the premium calculations and the overall marketplace, we request certain documents and information. Additionally, we request a staff-level briefing as soon as possible on the effects of the increases on all aspects of the various marketplaces such as the housing market,” wrote the lawmakers.
The letter continues to mention the financial implications of the new rating system. “In many instances, individual households’ rates have more than doubled since the launch of the new Risk Rating 2.0. During these tough economic times—with inflation at an all-time high and mortgage rates consistently increasing—it is especially troubling that mispriced flood insurance based on inaccurate data is causing massive increases in premium rates and a rapid decline in the number of NFIP policies nationwide. Members of Congress on both sides of the aisle are united in ensuring affordability of the NFIP and the sustainability of this program.”
Read the letter here.