Pennsylvania House Bill HB1718

Pennsylvania 2025-2026 Regular Session

• Introduced: 7/10/25
• Refer: 7/10/25

Caption

Providing for flood insurance notification; imposing duties on the Insurance Department; and imposing a penalty.

Impact

If enacted, HB 1718 would significantly influence state regulations concerning insurance practices related to flood risk. Specifically, it would require the Insurance Department to actively notify policyholders about their options for flood insurance and the importance of coverage. This change aims to empower consumers with information while potentially increasing the demand for flood insurance products. Critics of the bill, however, have raised concerns about the operational impact on insurers and the feasibility of meeting the new notification requirements, which could lead to unintended consequences in the insurance marketplace.

Summary

House Bill 1718 aims to enhance the framework for flood insurance notifications by imposing specific duties on the Insurance Department and establishing penalties for non-compliance. The bill is designed to ensure that consumers are adequately informed about flood insurance options and the associated risks, thereby promoting better disaster preparedness within the state. By mandating clearer communication from insurers, the bill seeks to close gaps in awareness regarding flood risks and the availability of insurance products that can mitigate financial impacts post-disaster.

Sentiment

The sentiment surrounding HB 1718 appears to be cautiously optimistic among supporters, who recognize the necessity for improved consumer awareness and preparedness in the face of increasing flooding events attributed to climate change. Advocates argue that the provisions in the bill will lead to greater resilience for homeowners and communities. Conversely, some insurers and industry representatives have expressed reservations, fearing that additional regulatory burdens may complicate operations and lead to higher costs for consumers rather than enhancing access to flood insurance.

Contention

Notable points of contention in discussions about HB 1718 include the debates over the adequacy of existing flood insurance education and the responsibilities placed on the Insurance Department. Some stakeholders are concerned that the bill's approach may not adequately address the real barriers consumers face in obtaining flood insurance, suggesting that a broader strategy may be needed. Furthermore, there are discussions regarding the implications of imposing penalties on the Insurance Department or insurers for non-compliance with notification requirements, which could lead to legal and administrative challenges.