Florida Flood Insurance Reform – One Step Closer to Reality

In a vote of 306-91, Congress managed to get past a major obstacle toward providing flood insurance rate relief to thousands of Florida property owners. The vote is a big step toward relief from a looming increase in flood insurance rates that would be imposed on Florida homeowners who sell their property – a huge economic concern for the state and its economy.

The bill Congress passed also makes sure that Florida homes that meet the current flood zone map regulations would retain their current classification and be exempt from higher premiums and any future flood map alterations. Of the homes in the National Flood Insurance Program, 40 percent of them are located in Florida – making the state disproportionately affected by the changes.

Another sign of good faith toward Florida homeowners is that not one representative in Florida’s delegation of 27 voted against the bill.

It’s up to the Senate now to pass a similar bill in order to become law. Previously, the Senate had passed a flood relief bill, but it only went so far as to delay rate hikes for up to four years. The Senate can choose to take up Congress’ version – or come up with come sort of compromise bill that would have to make its way through both chambers – again.

The 2012 Biggert-Waters Flood Insurance Reform Act, which passed with support in the House and Senate, caused flood insurance rates to increase on the vast majority of owners who were looking to sell their property. The bill had an impact on business owners, second-home owners and primary home owners alike.