NFIP Looms Towards Lapse
As of the writing of this message, Congress has not yet extended the National Flood Insurance Program, which expires at midnight on Friday, December 7th. Presently Congress has proposed a 2 Week extension of the Federal Government spending, which includes a two week extension of the NFIP.
There is currently no timeline on a vote on this proposal; we are “cautiously optimistic” the bill will pass by Friday. Last week the NFIP was extended for 7 days, which now link it to the Federal Government’s continuing resolution to keep the government open. Other political issues now decide the fate of a NFIP lapse Friday.
The MCC has created consumer guidance for you as an insured to know what to do before, during and after a flood program expiration. Overall, our guidance outlines that:
-If you have a flood policy renewing after December 7th, and within the next few weeks, either pay it now or ask for the renewal statement (billed renewals can be paid during a NFIP lapse.)
-If you are planning to close on a home after December 7th, PAY FOR THE POLICY NOW. If paid before the program expires, the policy will still becomes effective on the closing during a program expiration.
-If your policy is in force before the program expires, and you experience a claim, your claim will be handled as usual.