FEMA: Flood insurance program 'not fiscally sustainable'
The Biden administration is urging Congress to approve a controversial overhaul of the government’s flood insurance program that would cost taxpayers $20.5 billion. The changes would also deny coverage for some property owners while helping middle-income households buy policies.
The sweeping 127-page proposalwould be the largest revision to the National Flood Insurance Program since its creation in 1968, as the administration attempts to address rising damage from intensifying downpours and growing risks caused by people moving into flood-prone areas.
Related Knowledge Center: Climate impact and adaptation
As the impact of climate change becomes more pronounced, more governments and companies are adopting adaptation strategies.
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”