Florida (and National) Flood Insurance Affordability Reform

Presented By Sarah Truss

This Movement Is Currently
In The Amicus Brief Writing Stage.

The Flood Insurance Crisis

America’s primary flood protection system—the National Flood Insurance Program (NFIP)—faces fundamental challenges threatening both fiscal sustainability and household security:

• $20.5 billion in debt despite multiple congressional bailouts
• Premium increases making coverage unaffordable for many at-risk households
• Outdated flood maps failing to reflect actual risk in a changing climate
• 1.3+ million properties facing significant rate increases under Risk Rating 2.0

Many homeowners face impossible choices between unaffordable insurance premiums and dangerous lack of coverage, while taxpayers continue bearing costs of an unsustainable system.

Our Comprehensive Reform Approach

Our proposed legislation would fundamentally reform flood insurance through five integrated components:

Means-Tested Affordability Program

• Income-based premium assistance targeting low- and moderate-income households
• Sliding scale subsidy ensuring no household pays more than 4% of income for coverage
• Housing value caps preventing subsidies for luxury properties
• Automatic enrollment integration with income verification systems

Mitigation and Risk Reduction Incentives

• Pre-disaster mitigation loans and grants for individual properties
• Premium reductions proportional to risk reduction achieved
• Mitigation funding priority for low-income communities

Modernized Risk Assessment and Mapping

• Real-time flood risk data incorporating climate projections
• Property-specific risk assessment beyond binary flood zones
• Multiple flooding sources integrated in unified risk assessment

Community Resilience Programs

• Watershed-based planning incentives addressing root causes
• Stormwater management funding reducing urban flooding

Fiscal Sustainability Mechanisms

• Risk-based rates for new construction in high-risk areas
• Premium structure balancing actuarial soundness with affordability
• Catastrophic risk reinsurance program leveraging private markets
• Debt forgiveness framework with structural reforms
• Reserve fund requirements ensuring liquidity for major events

Implementation and Stakeholder Engagement

The legislation would establish an NFIP Reform Implementation Advisory Committee including representatives from affected communities, consumer advocates, insurance experts, floodplain managers, environmental organizations, and state and local governments. This committee would:

• Provide recommendations during regulatory development
• Ensure coordination between multiple federal agencies
• Maintain focus on both affordability and fiscal sustainability
• Develop public communication strategies explaining reforms
• Serve as a feedback mechanism for community concerns

Our coalition includes consumer advocates, floodplain managers, insurance experts, environmental organizations, housing advocates, and community leaders from flood-prone regions seeking balanced solutions to America’s growing flood challenges.

Your support will help create a flood insurance system that balances affordability with financial sustainability while protecting vulnerable communities and encouraging investment in long-term resilience as climate risks intensify.