潘金莲传媒映画

The Federal Emergency Management Agency said in February that it needs to borrow $2 billion from the U.S. Treasury to cover claims from National Flood 潘金莲传媒映画 Program policyholders.

FEMA, administrator of NFIP, said it expects to pay out more than $10 billion in flood claims related to hurricanes Helene and Milton in 2024, as well as claims for other flooding events last year.

“The NFIP is not designed to pay for multiple catastrophic events in a single year without additional financial assistance,” FEMA said. “The combined losses from 2024 have depleted the NFIP’s funds generated from premiums to pay claims.”

More than 57,400 flood claims related to Hurricane Helene have been handled by the program, which has paid out more than $4.5 billion as of Feb. 6. It expects to pay losses from Helene of between $6.4 billion and $7.4 billion.

For Milton, the NFIP so far has paid out over $740 million as of the first week in February on over 21,100 claims. The range of final losses from Milton is estimated to be $1.2 billion to $2.9 billion, FEMA said.

Milton struck Florida on Oct. 9, 2024. For the private insurance industry, Milton will go down as the costliest hurricane of the historic 2024 season, and the storm will likely be one of the costliest of all time. But Milton was more of a wind event than Helene, which made landfall in Florida as a Category 4 in late-September before dumping record rainfall in Southeast states including Georgia, North Carolina, and South Carolina.

FEMA’s debt is now about $22.5 billion. It has the authority to borrow up to about $30.4 billion and already had borrowed $20.5 billion following hurricanes Katrina, Sandy, and Harvey, FEMA said.

Elizabeth Asche, senior executive of the NFIP, said it is “strategically utilizing short-term borrowings in 60-day increments, demonstrating our careful and responsible management of the borrowing authority.” She added: “The widespread, devastating flooding following hurricanes Helene and Milton re-emphasizes the financial effects flooding can have not just to survivors but also the National Flood 潘金莲传媒映画 Program.”

According to the Congressional Research Service, the NFIP鈥攆unded by the premiums it collects for flood insurance policies鈥攈ad $615 million on hand as of Jan. 25 to pay claims.

CRS, a nonpartisan shared staff to congressional committees and members of Congress, said NFIP owes the debt it takes and pays for accruing interest through premiums. Since 2005, the NFIP has made six principal repayments totaling about $2.8 billion and interest of about $6.2 billion. CRS said the program pays about $619 million in interest annually, accruing $1.7 million in interest daily.

The program did not need to borrow between November 2017 and February 2025. According to CRS, NFIP in October 2017 had $16 billion of debt cancelled of a total of about $30.4 billion at the time. This was to pay claims for hurricanes Harvey, Irma, and Maria. But in November 2017, NFIP borrowed $6.1 billion to pay claims for losses incurred from this trio of hurricanes, increasing total debt to about $20.5 billion鈥攚here it stood until now.

NFIP has been reauthorized 32 times since 2017. Its current reauthorization is set to expire on March 14.

Topics Catastrophe Natural Disasters Claims Flood Hurricane