Frank Pallone (D-NJ)
National Flood Insurance Program Reauthorization and Reform Act of 2025
A Democratic bill with 1 Republican cosponsor · See all 3 cosponsors
Last activity — Referred to the Subcommittee on Economic Development, Public Buildings, and Emergency Management.
In committee
Introduced and handed to a committee in the chamber it started in.
The committee holds it, and most bills are never heard from again. A hearing or a committee vote would be news; silence is the usual outcome, and it kills the bill without anyone voting against it.
Its path through Congress
- Introduced
- In Committee
What this bill would do
The "National Flood Insurance Program Reauthorization and Reform Act of 2025" aims to reauthorize the National Flood Insurance Program through several structural reforms. The bill establishes a five-year cap on annual premium increases and creates a means-tested assistance program for eligible policyholders. It addresses flood mitigation through various grants, loan programs, and mapping modernization efforts. The legislation introduces updated risk mapping, digital display environments, and a new appeals process. Additionally, it includes provisions to improve program solvency, increase transparency, and establish an Independent Office for Policyholder Appeals.
Yes· 3 of 18
- Scored +7
Does this improve help for people hit by a disaster?
The bill expands policyholder protections, simplifies appeals, and mandates faster claim processing while enhancing mitigation capabilities.
- Scored +6
Would households on low incomes be better off under this?
The bill creates means-tested insurance discounts and mitigation grants specifically targeted at low-sincome earners.
- Scored +6
Does this make what the government does easier for the public to see?
The bill mandates disclosure of premium rate distributions, mitigation formulas, and property sale information.
The opposite
- Scored -2
Does this protect people from being watched or searched?
The bill includes a study on the potential sale or licensing of specific, detailed historical claims data.
Who it would affect, and how
Potential Positive Impacts for People
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Premium Increase Caps: The bill limits annual premium increases to no more than 9 percent for a five-year period, which can help protect policyholders from sudden, large spikes in costs (Sec. 102).
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Targeted Financial Assistance: It establishes a means-tested program providing graduated discounts for insurance costs to eligible policyholders with household incomes not more than 140 percent of the area median income (Sec. 103).
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Monthly Payment Options: Policyholders may have the option to pay their premiums through monthly installment plans rather than annually (Sec. 104).
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Improved Mitigation Funding: The bill provides for flood mitigation assistance grants, a mitigation loan program, and revolving loan funds to help reduce flood risks (Sec. 203, 206, 207).
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Expanded Coverage for Cooperatives: Owners of shares in cooperative buildings would be eligible for flood insurance on the same terms as condominium owners (Sec. 106).
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Enhanced Mapping Accuracy: The bill promotes mapping modernization and the creation of a digital display environment to provide more specific, structure-specific flood risk information (Sec. 208, 208(f)).
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Streamlined Appeals: It provides a process for individuals and local governments to appeal the denial of flood insurance rate map updates (Sec. 208(b)).
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Easier Appeals Process: The creation of an Independent Office for Policyholder Appeals provides a fair, non-adversarial way for people to challenge denied claims (Section 404).
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Protection Against Unfair Damage Denials: A new "rebuttable presumption" means that if a flood causes damage to a foundation or structure, the insurance company must prove it wasn't caused by the flood before denying the claim (Section 401).
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Improved Access to Information: Policyholders will have a right to receive complete and unredacted copies of their claim files, including notes and photographs, within one week of a request (Section 406).
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Expanded Coverage Options: The bill allows for an optional insurance rider to cover basements in certain pre-FIRM condominium buildings (Section 402).
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Better Mold Protection: New rules prevent insurance companies from denying coverage for mold or moisture damage if the policyholder faced specific challenges, such as being denied access to the property due to safety concerns (Section s 403).
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Fairer Insurance Rates During Renewals: If a policy lapses, homeowners can still renew at their previous rate if they do so within 90 days (Section 417).
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Increased Transparency in Property Sales: Sellers and lessors must provide written disclosures regarding flood risks, prior damage, and insurance availability to potential buyers or renters (Section 416).
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Faster Claim Processing: The bill sets a 60-day deadline for insurance companies to make an initial determination on a claim (Section 408).
Potential Negative Impacts for People
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Monthly Payment Fees: Policyholders who opt for the monthly installment plan may be charged an annual fee of not more than $15 (Sec. 104).
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Strict Requirements for Mitigation Assistance: Those using certain mitigation assistance for acquisition or relocation projects may be prohibited from receiving any future Federal disaster assistance for that property (Sec. 202(a)(4)(B)(i)).
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Mandatory Insurance for Assisted Structures: Property owners receiving assistance for certain mitigation projects must maintain flood insurance for the life of the structure (Sec. 202(a)(4)(B)(iii)(I)).
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Increased Costs for Certain Transfers: If a property owner fails to notify a transferee about the requirement to maintain flood insurance for an assisted structure, they may be required to pay the Federal Government an amount equal to any disaster relief provided (Sec. 202(a)(4)(B)(iii)(II)(bb)).
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Financial Penalties for Refusing Help: If a person refuses a "bona fide" offer of assistance for flood mitigation, their insurance premiums could increase by 25 percent every year until they accept the help (Section 305).
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New Disclosure Burdens: Sellers and lessors are now required to provide specific, written flood hazard disclosures to purchasers or tenants (Section 416).
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Requirement for Documentation: To use the new protections regarding foundation damage, policyholders are encouraged to keep and submit documentation like photos or video of the condition of their foundation (Section 401).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Demographic And Interest Groups
- Would households on low incomes be better off under this? — The bill creates means-tested insurance discounts and mitigation grants specifically targeted at low-sincome earners. Would business owners be better off under this? — The bill provides relief from surcharges for small businesses and explores business interruption coverage. Would middle-income households be better off under this? — The cap on annual premium increases and new coverage options like basement protection protect middle-income families. Would people in cities be better off under this? — The bill includes urban mitigation opportunities and addresses concerns regarding street-raising impacts on urban property. Would Native Americans be better off under this? — The bill authorizes revolving loan funds that can be used by Tribal governments for flood mitigation. Would people in rural areas be better off under this? — The bill provides various mitigation grants and loan programs that can benefit rural communities. Would Hispanic Americans be better off under this? — The emphasis on low-income assistance may disproportionately benefit diverse demographic groups in high-risk areas.
- Environment Energy And Infrastructure
- Does this improve help for people hit by a disaster? — The bill expands policyholder protections, simplifies appeals, and mandates faster claim processing while enhancing mitigation capabilities. Does this better protect air, water and wildlife? — The bill funds flood mitigation through natural floodplain management and environmental restoration. Does this better protect public land such as parks and forests? — The bill emphasizes community-wide flood mitigation activities to protect land and floodplains. Does this repair or build roads and bridges? — Flood mitigation funding supports the resilience of local infrastructure.
- Economy And Finance
- Does this make it easier to run a small business? — The bill provides relief from surcharges for small business concerns and explores business interruption coverage. Does this reduce what the federal government spends? — The bill prohibits the charging of interest on certain borrowed amounts for a five-year period. Is this likely to grow the economy? — The bill's focus on flood mitigation and infrastructure resilience helps protect property values and economic stability.
- Social Issues And Justice
- Does this make housing cost less? — The bill provides means-tested insurance discounts and streamlining of premium processes to maintain housing affordability. Is this likely to lift people out of poverty? — Targeted insurance assistance and graduated discounts for low-income households help reduce the financial burden of flood risks. Does this narrow racial gaps in how people are treated? — The bill's means-tested assistance and focus on low-income areas help address socio-economic disparities in flood risk management.
- Governance And Ideology
- Does this make what the government does easier for the public to see? — The bill mandates disclosure of premium rate distributions, mitigation formulas, and property sale information. Does this protect people from being watched or searched? — The bill includes a study on the potential sale or licensing of specific, detailed historical claims data.
- 8/10/2026
- 1 Cosponsor added.
- 2/24/2026
- 1 Cosponsor added.
- 9/19/2025
- Referred to the Subcommittee on Economic Development, Public Buildings, and Emergency Management.
- 9/18/2025
- Referred to the Committee on Financial Services, and in addition to the Committees on Transportation and Infrastructure, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 1 Cosponsor added.
- Introduced in House
Troy CarterDemocrat · Louisiana
Clay HigginsRepublican · Louisiana
Bonnie Watson ColemanDemocrat · New Jersey