Today Anita Lee profiles in the Sun Herald legislation introduced in the Senate by Roger Wicker to reauthorize the NFIP for 5 years. Talking NFIP is fashionable in political circles these days and the insurance industry is heavily dictating the discussion in DC.
After reading the entire bill and Senator Wicker’s FAQ sheet I’ll say I was underwhelmed. Don’t get me wrong I greatly appreciate the fact that Wicker is the only national politician in Mississippi that gives a shit about the coastal insurance crisis. I just don’t think using concepts based on MID Commish Mike Chaney throwaway lines advances the cause of true NFIP reforms much and I agree with former Texas Commish Robert Hunter who thinks Wicker’s proposal is unworkable in practice. Then again here at Slabbed we’re underwhelmed by Mr Hunter’s proposals too as the thinking at the consumer federation just isn’t innovative in its own right but that is another post.
Otherwise the Senator’s bill reauthorizes the NFIP almost as is, with the same low overall coverage limits. One big change is the 20% annual rate increases and like the House there are new mapping provisions. Reading this latest story and an earlier piece in the Sun Herald on a similar bill on the fast track through the House of Representatives you really get a flavor for exactly how much the insurance lobby is dominating the discussion in DC. Wicker himself alluded to it as Anita reports:
Wicker believes his bill is more palatable than previous efforts to offer optional wind coverage through NFIP so that one policy would cover wind and storm-surge losses. Continue reading “Senator Wicker introduces a Senate version of NFIP reauthorization and enters the special interest briar patch.”