A group of nine Republican U.S. Senators recently sent a letter to David Richardson, Federal Emergency Management Agency (FEMA) acting administrator, requesting the agency repeal Risk Rating 2.0.
President Joe Biden issued an executive order in 2021 requiring agencies integrate up-to-date flood risk considerations into federal actions. FEMA’s rating system, Risk Rating 2.0, was enacted on Oct. 1, 2021.
“Since the Biden Administration’s rollout of Risk Rating 2.0, premiums under the National Flood Insurance Program (NFIP) increased in every state,” the letter said. “By FEMA’s own estimates, 77 percent of all NFIP policies now pay more than under the old system. According to a 2023 Government Accountability Office report, premiums on primary residences under Risk Rating 2.0 are subject to a maximum 18 percent increase each year until such premiums reflect ‘the full risk loss of the insured property,’ as determined by FEMA.”
The lawmakers asked FEMA to halt further premium increases under Risk Rating 2.0, and included a list of financial damage done in their states.
The lawmakers also urged the agency to publish all actuarial inputs and outputs of future flood insurance premium increases exceeding the 5 percent statutory minimum; and restore targeted affordability measures for coastal, low income, and historically underinsured communities.