42 U.S.C. § 4027b: Assessment of claims-paying…

Summary

Each year by September 30, the Administrator must assess whether the National Flood Insurance Program can pay claims. The first assessment was required by September 30, 2012. If the Administrator buys private-market reinsurance that year, the assessment must include information about that reinsurance and any similar arrangements, and say whether borrowing authority was used. When doing the assessment, the Administrator must look at where coverage is concentrated, major flood-prone areas, and relevant mitigation efforts. The results must be included in the required annual report and made public within 30 days after the assessment is finished.

Title 42, §4027b

The Public Health and Welfare, Source: USLM XML via OLRC

(1)Assessment

(A)Assessment required

(i)In general

Not later than September 30 of each year, the Administrator shall conduct an assessment of the ability of the National Flood Insurance Program to pay claims.

(ii)Private market reinsurance

The assessment under this paragraph for any year in which the Administrator exercises the authority under section 4055(a)(2) of this title, as added by this section, to secure reinsurance of coverage provided by the National Flood Insurance Program from the private market shall include information relating the use of private sector reinsurance and reinsurance equivalents by the Administrator, whether or not the Administrator used the borrowing authority under section 4016 of this title.

(iii)First assessment

The Administrator shall conduct the first assessment required under this paragraph not later than September 30, 2012.

(B)Considerations

In conducting an assessment under subparagraph (A), the Administrator shall take into consideration regional concentrations of coverage written by the National Flood Insurance Program, peak flood zones, and relevant mitigation measures.

(2)Annual report of the Administrator of activities under the National Flood Insurance Program

The Administrator shall—

(A)include the results of each assessment in the report required under section 4027a of this title; and

(B)not later than 30 days after the date on which the Administrator completes an assessment required under paragraph (1), make the results of the assessment available to the public.

Notes & Related Subsidiaries

Editorial Notes

References in Text

This section, referred to in par. (1)(A)(ii), means section 100232 of Pub. L. 112–141, which enacted this section and amended section 4051, 4052, 4055, 4082, and 4121 of this title. Codification Section was enacted as part of the Biggert-Waters Flood Insurance Reform Act of 2012, and also as part of the Moving Ahead for Progress in the 21st Century Act, also known as the MAP–21, and not as part of the National Flood Insurance Act of 1968 which comprises this chapter.

Statutory Notes and Related Subsidiaries

Definitions For definitions of terms used in this section, see section 4004 of this title.

§4027b Assessment of Claims-paying Ability