1 2 3 4 5 6 7 8 17 and reinsurance claims paid under excess loss reinsur ance coverage; and (3) to make such other payments as may be necessary to carry out the purposes of this Act. (b) All such sums shall be available without fiscal year limitation. TECHNICAL AMENDMENT SEC. 23. (a) Section 1302 (f) of the Housing and 9 Urban Development Act of 1968 is repealed. 10 11 121 13 (b) Section 1370 of such Act is amended by— and (1) striking out the subsection designation “(a)”; (2) striking out subsection (b) of such section. 14 15 EFFECTIVE DATE SEC. 24. This Act shall take effect one hundred and 16 twenty days after the date of its enactment, except that the 17 Secretary, on the basis of a finding that conditions exist 18 necessitating a later effective date, may prescribe a later 19 effective date which shall not be more than one hundred and 20 eighty days after such date of enactment. 92D CONGRESS 1ST SESSION S. 903 IN THE SENATE OF THE UNITED STATES FEBRUARY 22 (legislative day, FEBRUARY 17), 1971 Mr. BAYH (for himself, Mr. CRANSTON, and Mr. TUNNEY) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing and Urban Affairs A BILL To provide for a national program of disaster insurance. 1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 That this Act may be cited as the "Federal Disaster Insur4 ance Act of 1971". 5 6 PURPOSE SEC. 2. It is the purpose of this Act to provide for a 7 Federal insurance program covering property loss or damage 8 resulting from a disaster if such insurance is not made 9 available to the public at reasonable rates by the insurance 10 industry. 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 22220 DEFINITIONS SEC. 3. As used in this Act (1) "disaster” means any flood, high waters, winddriven waters, tidal wave, drought, hurricane, tornado, earthquake, storm, or other catastrophe as defined by the Secretary in regulations issued pursuant to this Act; (2) "United States" means the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, American Samoa, and the Canal Zone; (3) "State" means each of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, American Samoa, and the Canal Zone; (4) "Governor" means the chief executive of any State; and (5) "Secretary" means the Secretary of Housing and Urban Development. BASIC AUTHORITY SEC. 4. (a) The Secretary is authorized to establish and 21 carry out a disaster insurance program which will enable 22 interested persons to purchase insurance against loss result23 ing from physical damage to or loss of real property and 24 personal property related thereto arising from any disaster 3 1 (b) In carrying out the disaster insurance program 2 the Secretary shall, to the maximum extent practicable, en 3 4 5 6 7 8 9 10 11 12 13 14 courage and arrange for (1) appropriate financial participation and risksharing in the program by insurance companies or other insurers; and (2) other appropriate participation on other than a risk-sharing basis by insurance companies or other insurers, insurance agents and brokers, and insurance adjustment organizations. SCOPE OF PROGRAM SEC. 5. (a) In carrying out the disaster insurance program the Secretary shall initially make disaster insur ance available to cover residential properties which are 15 designed for the occupancy of from one to four families. (b) If on the basis of 16 (1) studies and investigations undertaken and carried out and information received or exchanged under section 7, and (2) such other information as may be necessary, the Secretary determines that it would be feasible to extend the disaster insurance program to cover other properties, he may take such action under this Act as may be neces sary in order to make disaster insurance available to cover, on sull basis as may be feasible, any types and classes of (A) other residential properties; (B) business properties: (C) agricultural properties; (D) properties occupied by private nonprofit organizations; and (E) properties owned by State and local gov ernments and agencies thereof. 10 Any such extensions of the program to any types and classes 11 of such properties shall be established by order. 12 NATURE AND LIMITATION OF INSURANCE COVERAGE SEC. 6. (a) The Secretary shall, after consultation with appropriate representatives of the insurance authorities of the respective States, provide by order for general terms and conditions of insurability which shall be applicable to properties eligible for disaster insurance coverage under section 5, including (1) the types, classes, and locations of any such properties which shall be eligible for disaster insurance; (2) the nature of and limits of loss or damage in any areas (or subdivisions thereof) which may be covered by such insurance; (3) the classification, limitation, and rejection of any risks which may be necessary; |