WeVote
Log In

Bill

Bill

A 8030

Relates to limits on amount of flood insurance required by a mortgagee

2025 Regular Session Introduced by Pamela Hunter

A 8030 - Limits on Flood Insurance Required by Mortgagees OverviewBill Number: A 8030 Title: Relates to limits on amount of flood insurance required by a mortgagee Status: REFERR

REFERRED TO JUDICIARY
0
WeVote Research Nonpartisan
Bill Summary · A 8030

A 8030 - Limits on Flood Insurance Required by Mortgagees

Overview

Bill Number: A 8030
Title: Relates to limits on amount of flood insurance required by a mortgagee
Status: REFERRED TO JUDICIARY
Introduced: April 22, 2025

Purpose and Intent

The purpose of this bill is to limit the amount of flood insurance that a mortgagee can require a mortgagor to maintain on their property. The intent is to provide relief to homeowners from potentially excessive flood insurance requirements that may exceed the actual value of their home or property.

Key Provisions

  • Limits the amount of flood insurance a mortgagee can require to the lesser of:
    • The outstanding principal balance of the mortgage loan
    • The maximum coverage available under the National Flood Insurance Program
  • Prohibits mortgagees from requiring flood insurance in excess of the property's replacement cost value
  • Requires mortgagees to accept private flood insurance policies that meet certain criteria as an alternative to National Flood Insurance Program coverage

Affected Parties and Impacts

  • Homeowners with mortgages would benefit from reduced flood insurance requirements and costs
  • Mortgagees (banks, lenders) would need to adjust their flood insurance policies and practices to comply with the new limits
  • The National Flood Insurance Program could see reduced participation if more homeowners opt for private flood insurance policies

Procedural and Timeline Considerations

The bill has been referred to the Judiciary Committee for consideration. If passed by the committee, it would then proceed to a full vote in the state legislature. If enacted, the new flood insurance limits would take effect 90 days after the bill becomes law.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.