Min, Olszewski Introduce Community Disaster Protection Act to Expand Insurance Access in High-Risk Areas

FEMA pilot program would fund community-based catastrophe insurance to help families afford coverage and invest in disaster prevention

WASHINGTON, D.C. – Rep. Dave Min (CA-47) and Rep. Johnny Olszewski (MD-02), Co-Chairs of the House Sustainable Energy and Environment Coalition (SEEC) Building Resilient Housing Task Force, today introduced the Community Disaster Protection Act. The bill would encourage and incentivize new disaster insurance products that help high-risk communities obtain affordable coverage and put effective disaster prevention in place.

“Families across the country are watching their insurance premiums skyrocket—or losing coverage altogether—because their communities are increasingly exposed to wildfires, floods, hurricanes, and other disasters,” said Rep. Min. “We cannot wait until after disaster strikes to figure out how families and communities are going to recover. The Community Disaster Protection Act gives local communities new tools to close dangerous insurance gaps, invest in resilience, and develop coverage that actually reflects the risks they face. As these disasters become more costly, Congress has a responsibility to help ensure Americans are not left financially devastated simply because of where they live.”

“As extreme weather becomes more frequent and severe, too many Americans are unable to obtain the insurance coverage they need to recover from a disaster,” said Rep. Olszewski. “The Community Disaster Protection Act takes a commonsense approach by helping high-risk communities close coverage gaps and make disaster protection more affordable. I’m proud to work with the House Sustainable Energy and Environment Coalition (SEEC) and Congressman Min to help communities prepare for the challenges ahead, protect families from devastating financial losses, and build a more resilient future.”

Why the bill is needed

Climate change is driving more frequent and severe extreme weather, and coverage gaps are widening, making it harder and costlier for communities to rebuild. In 2024, U.S. economic losses from natural disasters reached $217.8 billion, with roughly $105 billion uninsured. Higher damage costs have pushed up insurer payouts and premiums, and some carriers have pulled out of high-risk markets.

Some communities are exploring ways to secure or facilitate insurance for a group of properties, using local knowledge and collective purchasing power to improve affordability, simplify enrollment, and encourage risk mitigation suited to local needs. These arrangements, known as community-based catastrophe insurance (CBCI), could help close coverage gaps, but only a handful of U.S. jurisdictions are piloting or implementing them so far. For example, CBCI could supplement the National Flood Insurance Program (NFIP) through a parametric flood insurance program, or cover wildfire risk where insurers are withdrawing or declining to write new policies.

What the bill would do

The Community Disaster Protection Act would direct the Federal Emergency Management Agency (FEMA) to set up a 5-year pilot program awarding competitive grants to local governments, quasi-government bodies, and community-based organizations to design, develop, implement, or facilitate CBCI. Specifically, it would:

• Close disaster coverage gaps: Authorize grants for CBCI products that cover risks uninsured or underserved by traditional insurance, set actuarially justified premiums that allow broad participation, and prioritize applicants with the greatest coverage gaps or disaster risks.
• Preserve local flexibility: Support a range of CBCI frameworks without restricting the risks or properties covered. Funds could go toward consumer outreach and education, catastrophe-risk modeling or research, and leveraging non-federal funds for long-term sustainability.
• Promote resilience investments: Require CBCI programs to encourage specific individual or community-wide investments that reduce disaster risk and potential losses and help secure lower premiums.
• Address regulatory ambiguity: Direct the U.S. Government Accountability Office to periodically evaluate program performance and determine how CBCI and other alternative insurance products are treated for federal disaster aid eligibility.
• Preserve state insurance authority: Explicitly protect states’ authority to regulate insurance markets and require grant recipients to follow applicable state insurance laws. Grants would serve only as a catalyst for CBCI arrangements within state regulatory frameworks.

What supporters are saying

“The Community Disaster Protection Act is a great first step to address the rising costs and unmet needs facing Americans, and EDF research makes clear that new and innovative solutions will be critical as climate change increases disaster risk,” said Joanna Slaney, Vice President for Political and Government Affairs, Environmental Defense Fund (EDF). “This bill will be essential to help more communities identify the solutions that meet their needs. By supporting locally designed pilots that pair insurance coverage with investments in risk reduction, The CDPA would support the development of insurance products that help high-risk communities secure affordable insurance coverage, incentivize effective disaster prevention, and provide greater stability to property insurance markets. We thank Representatives Min and Olszewski for their leadership and urge Congress to move this bill forward.”

“APCIA applauds Congressman Min and Congressman Olszewski for introducing the Community Disaster Protection Act, which would support community-based catastrophe insurance solutions, including parametric and other innovative risk-transfer models, to help close protection gaps and expand options for communities facing natural disasters,” said Sam Whitfield, Senior Vice President of Federal Government Relations and Political Engagement at the American Property Casualty Insurance Association (APCIA). “Importantly, the bill recognizes that these approaches are intended to complement, not replace, the traditional, private property casualty insurance market. By encouraging risk mitigation, promoting community resilience, expanding access to financial protection, and testing new risk-transfer models, this pilot program can help communities prepare for disasters and speed recovery when disasters strike.”

“Architects are an essential part of the solution to helping communities prepare for growing disaster risks. The Community Disaster Protection Act will give communities new tools to better understand, manage, and insure against those risks—helping create the conditions for property owners and local governments to invest in the resilient buildings and infrastructure architects are uniquely equipped to design,” said Illya Azaroff, FAIA, 2026 National President, American Institute of Architects (AIA). “AIA is proud to support this legislation and looks forward to continuing our work with Representative Dave Min, Johnny Olszewski, and the SEEC Building Resilient Housing Task Force to advance practical solutions that strengthen communities before disasters strike.”

“As natural disasters continue to worsen in both intensity and impact across the country, we need innovative solutions to help communities and economies recover from devastation,” said Jessie Ritter, Associate Vice President for Water and Coasts at the National Wildlife Federation. “The Community Disaster Protection Act encourages proactive risk mitigation, while also giving communities a flexible solution to support recovery after disasters, particularly in areas that are the most vulnerable to extreme weather. We look forward to working with Representatives Min and Olszewski on this legislation.”

“CSAC looks forward to working with Congressmember Min on the Community Disaster Protection Act to advance practical, workable solutions for California communities. Local governments need more tools and flexibility to help protect families and residents facing growing disaster risks and insurance challenges,” said California State Association of Counties (CSAC) President and Santa Clara County Supervisor Susan Ellenberg.

Endorsements and cosponsors

Endorsed by: American Property Casualty Insurance Association, American Institute of Architects, California State Association of Counties, Environmental Defense Fund, Evergreen Action, League of Conservation Voters, National Wildlife Federation, and Natural Resources Defense Council.

Original cosponsors: Reps. Ami Bera (CA-06), Suzanne Bonamici (OR-01), Ed Case (HI-01), Kathy Castor (FL-14), Gil Cisneros (CA-31), Steve Cohen (TN-09), Maxine Dexter (OR-03), Tim Kennedy (NY-26), Mike Levin (CA-49), Kevin Mullin (CA-15), Deborah Ross (NC-02), Andrea Salinas (OR-06), and Shri Thanedar (MI-13).

The full text of the legislation is available [here], and a summary is available [here].

Source: Rep. Dave Min (D-CA), October 1, 2026. Read the original release