Emergency Advance Payments Modernization Act

To amend the National Flood Insurance Act of 1968 to establish a pilot program to increase the allowable amounts of advance payments under the National Flood Insurance Program, and for other purposes. 1. Short title This Act may be cited as the Emergency Advance Payments Modernization Act 2. Sense of Congress It is the sense of Congress that— (1) advance payments made by the Federal Emergency Management Agency (referred to in this section as FEMA (2) FEMA has provided millions of dollars in advance payments to policyholders under the National Flood Insurance Program who have started the claims process under that Program; (3) the payments described in paragraph (2) are critical in helping policyholders as they begin to clean up and repair homes that have been devastated by natural disasters; (4) while advance payments have proven to be beneficial to those impacted by disasters, there are still significant limitations to the process; and (5) there are technological advances that can enhance the advance payments program, and FEMA should harness those advances to improve the customer experience and streamline FEMA’s payments program with the overall goal of easing burdens on those whose lives have been shattered by natural disasters. 3. Pilot program for remote National Flood Insurance Program claims Part C of chapter II of the National Flood Insurance Act of 1968 ( 42 U.S.C. 4081 et seq. 1349. Advance payments pilot program (a) Definitions In this section: (1) Covered data The term covered data (2) Covered property The term covered property (3) Eligible policyholder The term eligible policyholder (b) Pilot program (1) Establishment Not later than 180 days after the date of enactment of this section, the Administrator shall establish a pilot program that uses covered data to— (A) increase the speed with which claims payments under the national flood insurance program are delivered to eligible policyholders; (B) increase the amount, and enhance the delivery, of advance claims payments under the national flood insurance program made to eligible policyholders; and (C) further explore how covered data can be used to enhance customer service and efficiency with respect to the claims process under the national flood insurance program. (2) Termination The pilot program established under paragraph (1) shall terminate on the date that is 1 year after the date on which the Administrator establishes the pilot program. (c) Report Not later than 180 days after the date on which the pilot program established under subsection (b) terminates, the Administrator shall submit to Congress a report that describes any measurable changes that such pilot program has had on— (1) administrative costs with respect to the national flood insurance program; or (2) the timeliness with which the Administrator pays claims under the national flood insurance program. (d) Overpayment forgiveness Notwithstanding any provision of section 1310, the Administrator may use amounts in the National Flood Insurance Fund to forgive any amounts overpaid to an eligible policyholder as a result of a pre-inspection advance payment provided under this section. .

Summary: Emergency Advance Payments Modernization ActThis bill requires the Federal Emergency Management Agency (FEMA) to establish a pilot program to enhance the delivery of advance payments made through the National Flood Insurance Program (NFIP). FEMA provides advance payment of NFIP insurance claims to certain policyholders who provide documentation before an adjustor inspection. Under the bill, FEMA must use real-time, rapid-monitoring data, including remote sensing data, to increase the speed and amount of such payments. The bill also allows FEMA to use amounts in the National Flood Insurance Fund to forgive any amounts overpaid to a policyholder under the pilot program.