That's because the National Flood Insurance Program — the government-sponsored public insurance program that is the largest flood insurer in the U.S. — needs to be reauthorized by Sept. 30 to continue to issue new policies or increase coverage on existing policies.
"There are very few private insurers that offer any type of flood insurance," said Daniel Schwarcz, a professor of law at the University of Minnesota Law School who focuses on insurance law and regulation.
In that report, from 2011, it estimated a one-month NFIP lapse could affect about 40,000 closings.
"There is no need to take the risk that the flood insurance program will lapse when you could close ahead of Sept.
Then in 2021, FEMA implemented Risk Rating 2.0, a new pricing system that would accurately reflect the cost of an area's risk.
Persons:
Jaret Seiberg, Cowen, Jeremy Porter, Daniel Schwarcz, Cowen's, Yanjun Liao, Liao, Schwarcz, Foundation's Porter, Porter
Organizations:
Getty, Federal Reserve, National Flood Insurance, Federal Emergency Management Agency, First Street Foundation, University of Minnesota Law School, National Association of Realtors, FEMA, Resources
Locations:
U.S, New York, Washington ,