US Code

Public Law 119-73 (01/23/2026)

42 U.S.C. § 4051

Industry flood insurance pool; requirements for participation

(a)
The Administrator is authorized to encourage and otherwise assist any insurance companies and other insurers which meet the requirements prescribed under subsection (b) to form, associate, or otherwise join together in a pool—
(1)
in order to provide the flood insurance coverage authorized under subchapter I; and
(2)
for the purpose of assuming, including as reinsurance of coverage provided by the flood insurance program, on such terms and conditions as may be agreed upon, such financial responsibility as will enable such companies and other insurers, with the Federal financial and other assistance available under this chapter, to assume a reasonable proportion of responsibility for the adjustment and payment of claims for losses under the flood insurance program.
(b)
In order to promote the effective administration of the flood insurance program under this part, and to assure that the objectives of this chapter are furthered, the Administrator is authorized to prescribe appropriate requirements for insurance companies and other insurers participating in such pool including, but not limited to, minimum requirements for capital or surplus or assets.

Pub. L. 90–448, title XIII, § 133182 Stat. 582Pub. L. 98–181, title I97 Stat. 1229Pub. L. 112–141, div. F, title II126 Stat. 954(, , ; [title IV, § 451(d)(1)], , ; , §§ 100232(d)(1), 100238(b)(1), , , 958.)

Editorial Notes

References in Text

Pub. L. 90–44882 Stat. 572section 4001 of this titleThis chapter, referred to in subsecs. (a)(2) and (b), was in the original a reference to “this title” meaning title XIII of , , , known as the National Flood Insurance Act of 1968, which is classified principally to this chapter. For complete classification of this Act to the Code, see Short Title note set out under and Tables.

Amendments

Pub. L. 112–141, § 100238(b)(1)2012—Subsec. (a). , substituted “Administrator” for “Director” in introductory provisions.

Pub. L. 112–141, § 100232(d)(1)Subsec. (a)(2). , inserted “, including as reinsurance of coverage provided by the flood insurance program” before “, on such terms”.

Pub. L. 112–141, § 100238(b)(1)Subsec. (b). , substituted “Administrator” for “Director”.

Pub. L. 98–1811983— substituted “Director” for “Secretary” wherever appearing.

Statutory Notes and Related Subsidiaries

Effective Date

section 1377 of Pub. L. 90–448section 4001 of this titleSection effective 120 days following , or such later date prescribed by the Secretary but in no event more than 180 days following , see , set out as a note under .

Transfer of Functions

section 315(a)(1) of Title 6For transfer of all functions, personnel, assets, components, authorities, grant programs, and liabilities of the Federal Emergency Management Agency, including the functions of the Under Secretary for Federal Emergency Management relating thereto, to the Federal Emergency Management Agency, see , Domestic Security.

section 542 of Title 6For transfer of functions, personnel, assets, and liabilities of the Federal Emergency Management Agency, including the functions of the Director of the Federal Emergency Management Agency relating thereto, to the Secretary of Homeland Security, and for treatment of related references, see former section 313(1) and sections 551(d), 552(d), and 557 of Title 6, Domestic Security, and the Department of Homeland Security Reorganization Plan of , as modified, set out as a note under .