Federal plan would cover windstorms

A House panel OK'd expanding an insurance program to cover wind damage -- which could bring comfort to Florida residents -- but the plan has Republican critics.
BY MARIA RECIO
mrecio@mcclatchydc.com
(Miami Herald version)
Original published on July 27, 2007.

WASHINGTON --A bill beginning to move through the U.S. House could dramatically change the way windstorm insurance is sold in Florida and other hurricane-prone coastal states.

The House Financial Services Committee voted 38-29 on Thursday to expand the national flood insurance program to cover wind damage. Other proposals floating around Washington would create national catastrophe funds to cover many perils, but this one is focused squarely on hurricane risk.

To be sure, the bill faces stiff opposition ahead -- particularly from Republicans. It could get a floor vote when the House returns from recess in September and, if it passes, would have to prevail in the Senate and get past the White House.
Committee member U.S. Rep. Ron Klein, D-Boca Raton, said he supports the legislation and thinks it would help ease the state's windstorm woes but would not completely solve the insurance crisis.

''This could provide some relief for some people, but I still think we need to take additional steps to reduce insurance costs,'' Klein said.

Read the Miami Herald article.

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