President - elect Trump could reform the flood insurance industry to rectify the $ 23bn debt the National Flood Insurance Program ( NFIP ) owes taxpaying citizens , as part of his “ drain the swamp ” revamp of federal systems . Flood insurance was nationalised in 1978 , with private companies used to offer federally - backed insurance , meaning all underwriting loss was transferred to the taxpayer . In Now The new Trump administration , in its bid to cut losses , will likely pass the Flood Insurance Market Parity and Protection Act , as well as get rid of related ill - used regulations . The NFIP ’s charter will expired in September 2017 , making it a target for reform .
President - elect Trump could reform the flood insurance industry to rectify the $ 23bn debt the National Flood Insurance Program ( NFIP ) owes taxpaying citizens , as part of his “ drain the swamp ” revamp of federal systems . Flood insurance was nationalised in 1978 , with private companies used to offer federally - backed insurance , meaning all underwriting loss was transferred to the taxpayer . The new Trump administration , in its bid to cut losses , will likely pass the Flood Insurance Market Parity and Protection Act , as well as get rid of related ill - used regulations . The NFIP ’s charter will expired in September 2017 , making it a target for reform .