Crist Blasts Unaffordable Flood Insurance Rate Hikes Under Risk Rating 2.0

October 1, 2021

Crist Blasts Unaffordable Flood Insurance Rate Hikes Under Risk Rating 2.0

Washington, DC - U.S. Representative Charlie Crist (D-St. Petersburg) released a statement following the Federal Emergency Management Agency's (FEMA) implementation of the controversial Risk Rating 2.0 pricing methodology for the National Flood Insurance Program (NFIP), which goes into effect today and is expected to drastically raise flood insurance premiums on Florida homeowners.

"Floridians rely on dependable and affordable flood insurance. Yet, the unaffordable, astronomical premium hikes to the National Flood Insurance Program that FEMA began rolling out today will hurt homeowners and hurt the NFIP," said Rep. Crist. We've seen this time and time again. If families cannot afford to protect their homes from floods, it's FEMA and the taxpayers that pick up the tab in a disaster. We need more homeowners to know their risk, get covered by flood insurance, and be able to mitigate risk. But we all know that unaffordable rate hikes are counterproductive - more families will be forced to drop their coverage and fewer families will voluntarily sign up for coverage. FEMA knows this too. While I will continue to fight for long-term solutions to reform the NFIP in a way that serves homeowners first, we need to stop these rate hikes dead in their tracks."

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FEMA unilaterally implemented the Risk Rating 2.0 pricing methodology in a phased-approach starting today, October 1st, for new policies, with a second phase for existing policies beginning on April 1, 2022. Steep rate hikes to NFIP premiums will occur under both phases.

Rep. Crist has been an ongoing opponent to the Risk Rating 2.0 pricing methodology, having recently sent a letter to Speaker Pelosi and Leader McCarthy urging a delay in the implementation of Risk Rating 2.0 until Congress can provide full oversight of the changes and implement appropriate affordability measures.