NU Online News Service, June 1, 11:24 a.m.
With President Obama signing a 60-day National Flood Insurance Program extension bill late yesterday afternoon, a lapse in the program has been avoided, but industry officials are wasting no time looking to the next phase and calling on the Senate to act on a five-year extension.
Ben McKay, senior vice president of federal government relations for the Property Casualty Insurers Association of America, says that although PCI is pleased that the 60-day extension avoided a lapse, "this only delays the fundamental debate over the future of the flood-insurance program. We remain hopeful that the Senate will schedule floor time for its long-term NFIP reauthorization and reform bill in June."
Tom Santos, vice president for federal affairs at the American Insurance Association, says, "The House has previously passed its version, H.R. 1309, of NFIP reform and reauthorization legislation. It is now time for the Senate to move forward on S. 1940 [the Senate's five-year-extension bill] before the clock runs out on this latest short-term extension."
Jimi Grande, senior vice president, federal and political affairs for the National Association of Mutual Insurance Companies, says, "We've already seen two named storms in the Atlantic before the 2012 hurricane season has even begun, which should serve as ample reminder of the need for a strong and viable NFIP. We urge the Senate to keep up the momentum by voting on its bill as soon as it convenes next week."
Charles E. Symington Jr., senior vice president for government affairs for the Independent Insurance Agents and Brokers of America, says, "Congressional passage of a short-term extension was made possible by a deal reached in the Senate to finally consider S. 1940, legislation that provides a long-term extension and reform of the NFIP. We urge Senate leadership to follow through on this agreement and schedule time for consideration of this important legislation as soon as the Senate returns from its Memorial Day recess."
Mike Becker, assistant vice president of federal affairs for the National Association of Professional Insurance Agents, points out, "For the first time in a very long time, a consensus seems to have formed around the need to enact a long-term reauthorization of the NFIP which incorporates needed reforms."
He says the Senate's commitment to prompt action on its version of the legislation "is even more significant."
In light of this commitment, he says PIA is "cautiously optimistic that the NFIP can finally be put on a sound footing for many years, providing needed certainty and ending the off-again, on-again stopgap reauthorizations, which is no way to run a flood-insurance program."
Rep. Judy Biggert, R-Ill., sounded optimistic that the House and Senate can reconcile their long-term-extension bills once the Senate acts on S.1940. "Although not identical, the Senate's reform provision mirrors section five of H.R. 1309, the five-year flood reform bill that we in the House passed with overwhelmingly bipartisan support last July," she says.
She adds, "If any technical changes are needed, they can be addressed in any long-term-reform measure that we consider in the coming weeks."
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