MBA Call to Action on National Flood Insurance Program Reauthorization

MBA NewsLink Staff

July 19, 2018

Facing a July 31 expiration date for the National Flood Insurance Program, the Mortgage Bankers Association's grassroots advocacy arm, the Mortgage Action Alliance, issued a Call to Action, urging its members to call their elected officials to vote on a long-term reauthorization.

While the NFIP is subject to periodic reauthorization, in recent years efforts to reform the program have resulted in a series of deadlocks and lapses. Congress has yet to pass a long-term extension of the NFIP, resulting in a series of six stop-gap extensions and two brief lapses in 2017 and 2018. Without action from Congress, the program is set to expire yet again, on July 31, during the heart of the 2018 hurricane season.

"It is essential that the program is reauthorized before the deadline or sales of homes across the nation will face delays or cancellations," said MBA Senior Vice President of Legislative and Political Affairs Bill Killmer. "It is critical to apply pressure to ensure all members of Congress know that the reauthorization of the NFIP is an urgent priority for the customers and communities served by real estate finance industry professionals throughout the country."

MBA continues to advocate for legislation that provides a long-term reauthorization of the NFIP--preferably for five years; an exemption for commercial and multifamily properties from the program's mandatory purchase requirements; and development of a more robust private flood insurance market.

Last week, MBA and nearly two dozen industry trade groups sent a letter to Congress, urging action before the July 31 deadline.

"Americans deserve certainty and stability in the flood insurance marketplace to be able to protect their homes and loved ones," the trade groups said in the letter to House and Senate leadership. "A lapse of the NFIP, especially during the height of hurricane season, will leave millions of Americans at risk and result in severe disruption in the over 20,000 communities across the United States that depend on the NFIP."

More information on the Call to Action can be found at

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