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National Flood Insurance Program: Fiscal Exposure Persists Despite Property Acquisitions

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Report Type Reports and Testimonies
Report Date June 25, 2020
Release Date June 25, 2020
Report No. GAO-20-508
Summary:

FEMA grants have been used to acquire and demolish flood-prone properties to help reduce flood damage. Reduced damage should lead to fewer or less costly claims for the National Flood Insurance Program, which FEMA also administers. But the number of such properties keeps growing, and the program still doesn’t collect enough in premiums to cover claims over the long term.

The flood insurance program is $20.5 billion in debt to Treasury, and continues to put taxpayers at financial risk. We reiterate our previous suggestion that Congress comprehensively reform the program to ensure its solvency and improve national flood resilience.

Properties with repeated flooding, 2009-2018

Bar chart showing increases

Bar chart showing increases

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