GNO, Inc. Applauds Introduction of Legislation to Delay NFIP Rate Hikes


 
NEW ORLEANS, La. — Today, Greater New Orleans, Inc. applauded the introduction of bipartisan legislation in the Senate to delay dramatic flood insurance premium increases. The legislation will delay premium increases for four years, giving FEMA enough time to complete the Congressionally mandated affordability study and allow Congress to consider the study’s recommendations. Companion legislation is expected to be introduced in the House shortly.“This bipartisan legislation provides a solution to the immediate affordability challenges presented by the Biggert-Waters Act, which currently threatens taxpaying citizens across America who have done nothing but played by the rules” said Michael Hecht, President and CEO of Greater New Orleans, Inc. “Delaying dramatic premium increases until the Congressionally mandated FEMA affordability study is complete and Congress has time to consider its recommendations adheres to the spirit of the Biggert-Waters Act, and protects home and business owners from potential economic ruin. We urge swift passage of this bill, and we appreciate Senator Landrieu’s and Senator Vitter’s leadership in crafting this legislation.”

The legislation will:

  • Delay implementation of flood insurance rate increases for four years
  • Reimburse homeowners for successful FEMA map appeals
  • Eliminate the penalty for communities who self-finance flood protection
  • Protects the basement exception that allows the lowest proofed opening in a home to be used for determining flood insurance rates
  • Establishes a Flood Insurance Rate Map Advocate to assist policyholders in navigating the NFIP

Since May 2013, GNO, Inc. has organized a growing national coalition of business and elected leaders to address harmful changes to the NFIP. As founders of the Coalition for Sustainable Flood Insurance (CSFI), the organization works to address drastic ­ and unintended ­ increases to NFIP rates for home and business owners. A confluence of the Biggert-Waters Act of 2012 (meant to stabilize NFIP), incomplete FEMA maps and questionable actuarial calculations has led to premium increases of up to 3,000% and more ­ for policy-owners who have never flooded. CSFI now represents over one hundred and fifty organizations from twenty-seven states across the country.

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About Greater New Orleans, Inc.

GNO, Inc. is the regional economic development organization, serving to coordinate, consolidate, and catalyze economic development activity. The GNO, Inc. Mission is to create jobs and wealth in the Greater New Orleans community. The GNO, Inc. Vision is for the Greater New Orleans region to fulfill its potential as one of the best places in the country to grow a company, and raise a family.

More information can be found at www.gnoinc.org.