SPONSOR: Representative Patti Mink (D-HI)
SHORT TITLE AS INTRODUCED:
Earthquake, Volcanic Eruption, and Hurricane Hazards Insurance Act of 1995
OFFICIAL TITLE AS INTRODUCED:
A bill to provide for a Federal program of insurance against the risk of catastrophic earthquakes, volcanic eruptions, and hurricanes, and for other purposes.
COMMITTEES OF REFERRAL:
House Banking and Financial Services (05/25/95)
House Science (05/25/95)
Science Subcommittee on Basic Research (06/01/95)
Banking and Financial Services Subcommittee on Housing and Community (06/02/95) Opportunity
COMPLETE BILL TEXT:
The complete bill text is available on Thomas: The Library of Congress Web Site. In Thomas, click on Full Text of Legislation, then 104th Congress Bills, then Search by Bill Number, type in hr 1731 , hit RUN QUERY, and choose the most recent version.
DIGEST: (AS INTRODUCED)
TABLE OF CONTENTS:
Title I: Participation by States in Adoption of Hazard Reduction Measures
Title II: Primary Insurance Program
Title III: National Earthquake, Volcanic Eruption, and Hurricane Excess Loss Reinsurance Program
Earthquake, Volcanic Eruption, and Hurricane Hazards Insurance Act of 1995 - Title I: Participation by States in Adoption of Hazard Reduction Measures - Requires the Director of the Federal Emergency Management Agency (Director of FEMA) to iden tify earthquake-prone, volcanic eruption-prone, and hurricane-prone States and areas.
Establishes the Earthquake, Volcanic Eruption, and Hurricane Loss Mitigation Advisory Committee.
Requires development of loss-reduction criteria for State and local land use and management ordinances, building codes, and other measures.
Requires that a percentage of the annual hurricane, earthquake, and volcanic eruption insurance and excess reinsurance premiums collected under the Primary Insurance program be deposited in a Self-Sustaining Mitigation Fund to support specified haz ard reduction activities.
Provides State assistance for development and implementation of mitigation plans.
Prohibits making, increasing, extending, or renewing any federally-related mortgage loan secured by: (1) residential property in an earthquake-prone, volcanic eruption-prone, or hurricane-prone State unless the property is covered by earthquake an d volcanic eruption insurance coverage under this Act or equivalent private insurance; or (2) improved real estate or a mobile home located in an earthquake-prone or volcanic eruption-prone State if the State is not in compliance with the loss-reduction c riteria of this Act and the property does not meet minimum mitigation criteria.
Title II: Primary Insurance Program - Requires the Director of FEMA to establish a Primary Insurance Program to provide national coverage for residential property (and related personal property) losses in earthquake-prone, volcanic eruption -prone, or hurricane-prone States.
Establishes: (1) the Earthquake, Volcanic Eruption, and Hurricane Insurance and Reinsurance Advisory Committee; and (2) the Residential Property Insurance Fund in the Treasury.
Title III: National Earthquake, Volcanic Eruption, and Hurricane Excess Loss Reinsurance Program - Requires the Director of FEMA to make reinsurance and excess reinsurance available to private insurers participating in the Program and thei r reinsurers. Provides for the excess reinsurance liability of the insurance industry and the Federal Government.
Establishes in the Treasury the Reinsurance Fund to carry out the excess loss reinsurance program.
Requires the Director of FEMA, to the extent that the Reinsurance Fund is insufficient to pay claims and expenses, to issue to the Secretary of the Treasury obligations to cover the insufficiency.