REALITY: Government proposals that transfer risk from insurers to taxpayers won’t reduce the risk or cost, but will diminish the private market and encourage further development in hazardous areas leading to increased risk and cost in the future.

• The National Flood Insurance Program, NFIP, is a program already struggling with an inadequate cash flow and $17.5 billion in debt.  Adding wind coverage to the NFIP will only increase the financial strains on the program and lower the overall amount of coverage available. Participation in the plan has also been an ongoing challenge.