National Flood Insurance Program Authorized to Continue Through Mid-March

The National Flood Insurance Program has been renewed for another three months.

On Dec. 21, 2024, the day after it was set to expire, the president signed legislation passed by Congress that funds the federal government and extends the NFIP’s authorization to March 14, 2025.

According to a press release issued last week by the Federal Emergency Management Agency (FEMA), the agency and Congress have never failed to honor the flood insurance contracts held with NFIP policyholders.

Should the NFIP’s authorization lapse, FEMA would still have the authority to ensure payment of valid claims with available funds.

If FEMA should stop selling and renewing policies for millions of properties in communities nationwide, the National Association of Realtors estimates that a lapse might impact approximately 1,300 property sales each day, roughly 40,000 closings per month.

A Look at the $100B Disaster Relief in the Government Spending Bill

Congress approved more than $100 billion in emergency disaster aid including for areas damaged by hurricanes Helene and Milton thid fall.