National Flood Insurance Program Looks to be Extended
The National Flood Insurance Program is going to be extended, thanks to the passage of the “Flood Insurance Extension Act of 2010.” The bad news is that the National Flood Insurance Program regularly expires, as it’s a federal program and the legislative process typically takes its toll. Learn more about the National Flood Insurance extension below.
Free Insurance Comparison
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
UPDATED: Jan 21, 2021
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider. Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about life insurance. Our goal is to be an objective, third-party resource for everything life insurance related. We update our site regularly, and all content is reviewed by life insurance experts.
The National Flood Insurance Program (NFIP) will likely be extended through September 30, 2011 thanks to the passage of the “Flood Insurance Extension Act of 2010.”
The process is not yet complete, as the legislation has only passed the Senate, and still needs a House vote, but it looks quite likely.
If for some reason it doesn’t pass in the House, the program will expire on September, 30, 2010.
The bad news is that the program regularly expires, as it’s a federal program and the legislative process typically takes its toll.
What is the National Flood Insurance Program?
Private insurance companies aren’t willing to insure homes and businesses against flood damage because it would be nearly impossible to make money doing so.
Let’s face it; if an insurer were to insure against a flood, and one actually took place, they’d be on the hook for a lot of money…likely more than they had to pay for resulting insurance claims.
As a result, the only entity who has the money to pay for destructive natural disasters like a flood is Uncle Sam.
And while the government pays the claims, they leave the sales and administrative duties to insurance companies.
In other words, you may have purchased a flood insurance policy from The Hartford…or any other insurance company for that matter, but if there is a flood and any claims are made, NFIP will pay out the money to those who experience losses.
Remember, flood damage is not covered by homeowner’s insurance.
Read more: Do I need flood insurance? If so, where can you buy flood insurance?
Update: It received the House vote as well, so now it just needs the President’s signature to be extended.