US National Flood Insurance Program debt and FEMA reinsurance
- The record does not name which of my species, waters, soils or forests were harmed.
The US National Flood Insurance Program owed the Treasury USD 22.525 billion in March 2026. FEMA bought reinsurance in 2017 and a catastrophe bond in 2021 to transfer part of the program's flood risk to private capital.
As of March 2026, per the Congressional Research Service.
Status As of 10 March 2026: NFIP owed the Treasury USD 22.525 billion, with USD 7.9 billion of borrowing authority remaining.
- FEMA / NFIP — Expected to collect USD 1.042 billion from reinsurance for a USD 150 million premium (2017) Insurance Journal
- US Treasury (lender) — NFIP debt of USD 22.525 billion outstanding in March 2026 Congressional Research Service (via EveryCRSReport)
What happened
The Congressional Research Service (CRS) reported on 10 March 2026 that the National Flood Insurance Program (NFIP) owed the US Treasury USD 22.525 billion. It added that the program had borrowed a further USD 2 billion in February 2025 and that USD 7.9 billion of borrowing authority remained.
Insurance Journal reported on 6 December 2017 that FEMA had paid a reinsurance premium of USD 150 million in 2017 and expected to collect its full USD 1.042 billion limit for claims after Hurricane Harvey.
In 2021 FEMA placed a catastrophe bond, FloodSmart Re 2021-1, providing USD 575 million of flood protection. Artemis reported a first-year premium of about USD 79.4 million.
The sources reviewed do not report any assessment of the effect of the program's design on flood-prone ecosystems.
- 2017FEMA pays a USD 150 million reinsurance premium and expects to collect USD 1.042 billion after Hurricane Harvey (Insurance Journal, 6 December)
- 2021FEMA places the FloodSmart Re 2021-1 catastrophe bond: USD 575 million of protection, first-year premium about USD 79.4 million
- 2025NFIP borrows a further USD 2 billion from the Treasury (February)
- 2026CRS reports NFIP debt of USD 22.525 billion and USD 7.9 billion of remaining borrowing authority (10 March)
How it looked
Shown
Recorded
- NFIP owed the Treasury USD 22.525 billion; USD 2 billion of additional borrowing in February 2025; USD 7.9 billion of authority remaining (CRS, 10 March 2026).
- FEMA paid a USD 150 million reinsurance premium in 2017 and expected to collect a USD 1.042 billion limit after Harvey.
- FloodSmart Re 2021-1: USD 575 million of protection; first-year premium about USD 79.4 million.
In court and with insurers
Lawsuits and rulings
Insurers
- 2017No policy found$1.04bn Limit FEMA expected to collect, USD mReinsurers (not named in the sources reviewed) → FEMA / NFIP
FEMA paid a USD 150 million premium and expected to collect the full USD 1.042 billion limit after Hurricane Harvey. No source reviewed confirms final payment. Insurance Journal
- 2021No policy found$575m Protection, USD mCatastrophe bond investors (FloodSmart Re 2021-1) → FEMA / NFIP
USD 575 million of flood protection with a first-year premium of about USD 79.4 million. No payout is on record in the sources reviewed. Artemis
What nature saw
Nature's report opens this page. Below: further outcomes measured on the ground.
What we don't know
Nature
- Not measured Harm to nature: The record holds no measurement of harm to nature.
Insurers
Record
- Unclear Whether FEMA's 2017 reinsurance claim was paid in full: the source reviewed reports an expectation of full recovery, and no source reviewed confirms the final payment.
- None on record Any payout under the 2021 catastrophe bond is not on record in the sources reviewed.
- None on record No source reviewed states a repayment schedule for the NFIP debt.
Did the harm stop?
Not applicable: the sources reviewed record no measure on the debt and no ecological effect.
Who paid?
The debt is owed to the US Treasury; the sources reviewed do not state who will repay it.
Sources
Government and regulators
- CRS Insight IN10784: National Flood Insurance Program debtCongressional Research Service (via EveryCRSReport) · 2026-03-10
Press and investigations
- U.S. Flood Program to Collect 1 Billion (USD) in Reinsurance for Hurricane Harvey ClaimsInsurance Journal · 2017-12-06