The Credit Union National Association (CUNA) is supporting House passage of legislation authorizing the extension of the National Flood Insurance Program (NFIP) an additional four months.
Officials said granting the extension until Nov. 30 potentially prevents significant disruption to housing markets in flood-prone areas of the country.
“We’re pleased the House has voted to extend the National Flood Insurance Program (NFIP) for four months and hope the Senate will follow suit,” Jim Nussle, CUNA president and CEO, said. “While we encourage Congress to continue to work on a long-term solution to enhance affordability and sustainability of the NFIP and provide certainty to the market, this extension, upon Senate passage and enactment, will ensure credit unions in affected areas are able to continue serving their members’ mortgage needs.”
Officials acknowledge many credit unions offer mortgages across the country, including in areas covered by flood insurance requirements while also facilitating underwriting of affordable flood insurance policies. The NFIP designates flood hazard zones and helps local communities with floodplain management and mitigation.
CUNA officials maintain it is vital that flood insurance premiums remain affordable so families in parts of the country where flood insurance is required are not shut out of the opportunity to own a home. A sustainable NFIP alongside a robust private flood insurance market will serve the best interests of the nation’s housing market for years to come, CUNA said.