Gillibrand Introduces Flood Insurance Reform Bill
NEW YORK (CBSNewYork/AP) -- Sen. Kirsten Gillibrand announced legislation Sunday that would require the Federal Emergency Management Agency to be more accountable to property owners who file claims.
Gillibrand said many New Yorkers whose homes were damaged or destroyed during Superstorm Sandy three years ago faced a burdensome and fraud-ridden claims process.
"We certainly can control and prevent fraud," Gillibrand told reporters, including WCBS 880's Kelly. "We can control red tape. We can control bureaucratic bottlenecks."
The New York Democrat's bill is called the Flood Insurance Transparency and Accountability Act of 2015. The measure would require transparency when it comes to all claims and contractors and would also change a rule that prevents FEMA from covering destroyed homes.
"Right now, if there's a flood, FEMA's Flood Insurance Program only overs water damage but does not cover so-called earth movement damage, which include erosion," the senator said.
There were reports following Sandy that individuals hired by insurance companies to document structural damage to homes fraudulently altered the engineering reports.
Gillibrand said the homeowners had no way of knowing that the reports had been altered.
FEMA oversees the National Flood Insurance Program.
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