FEMA revives flood insurance sales after backlash

The Trump administration is restarting the sale of flood insurance policies during the government shutdown, backtracking on a controversial FEMA decision to halt new coverage, a senior administration official said. The move was a swift change of course after FEMA on Wednesday said that insurers should no longer sell new policies backed by the flood insurance program during the shutdown.

A bipartisan group of lawmakers and business groups quickly pressed the administration to reverse FEMA's decision, which they said threatened thousands of home sales and contradicted the flood insurance reauthorization bill enacted last week.

The backlash resulted in FEMA notifying insurers this evening that it was rescinding its earlier guidance and that they could resume selling flood policies. The White House Office of Management and Budget was involved in the decision to change course.

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