Bill > S2349

This bill establishes a comprehensive catastrophic property loss reinsurance program managed by the Secretary of the Treasury, designed to help insurance companies provide more extensive property insurance coverage for natural disasters. The program will be phased in over several years, initially covering wind and hurricane risks, then expanding to severe convective storms, wildfires, floods, and potentially earthquakes. Participating insurers must offer all-perils property insurance policies and engage in loss prevention partnerships with policyholders. The program includes the creation of a Federal Catastrophe Reinsurance Fund, which will collect premiums from insurers and can issue government-backed bonds if funds are insufficient to cover claims. Insurers will pay quarterly premiums based on their expected annual losses and administrative costs, with limitations on premium increases. An advisory committee composed of diverse stakeholders will help guide the program's implementation. The bill also establishes a pilot program for multi-year insurance policies with stable pricing and incentives for property maintenance and loss mitigation. Additionally, the Treasury Secretary is required to submit reports investigating the feasibility of creating a relocation fund for uninsurable properties and exploring earthquake coverage. The ultimate goals are to promote more stable property insurance markets, reduce economic losses from catastrophic events, and provide more comprehensive insurance coverage across the United States.

Housing and Urban Affairs

https://www.congress.gov/bill/119th-congress/senate-bill/2349/all-info