An extension of the US National Flood Insurance Program (NFIP), the country’s main source of flood insurance, is not assured after it expires at the end of next month, Marsh subsidiary Torrent Technologies says.

If the NFIP is allowed to lapse no new flood coverage can be written by the program and this could constrain real estate transactions and economic recovery, Torrent President and CEO Kevin Tobin says.

This year’s US election and the COVID-19 pandemic are distracting legislators’ attention, putting the NFIP extension at risk. He says the public and private sectors must take collaborative action now “to mitigate catastrophic flood risk”.

The report says 40% of the US population, or 127 million people, live in coastal communities, putting them at risk of storm surge and record-setting high tides from rising sea levels.