Section 1749bbb · 1749bbb to 1749bbb2. Omitted

Amendments

1990—Subsec. (b). Pub. L. 101–508 substituted “September 30, 1995” for “September 30, 1991” in introductory provisions and “September 30, 1996” for “September 30, 1992” in par. (1).

1989—Subsec. (b). Pub. L. 101–137 substituted “September 30, 1991” for “September 30, 1989” in introductory provisions and substituted “September 30, 1992” for “September 30, 1990” in par. (1).

1988—Subsec. (b). Pub. L. 100–242, §545(a), redesignated former par. (1) as subsec. (b) and former subpars. (A) to (C) as pars. (1) to (3), respectively, and struck out former pars. (2) and (3) which read as follows:

“(2) On September 30, 1981, the Secretary shall submit to the Congress, for its approval, a plan for the liquidation and termination of the reinsurance and direct insurance programs.

“(3) The Administrator shall notify participating insurers under part B that the reinsurance authority of the Administrator under such part shall terminate on November 30, 1983.”

Pub. L. 100–242, §542(a), (b), substituted “September 30, 1989” for “March 15, 1988” in introductory provisions and “September 30, 1990” for “September 30, 1986” in par. (1).

1987—Subsec. (b)(1). Pub. L. 100–200 substituted “March 15, 1988” for “December 16, 1987”.

Pub. L. 100–179 substituted “December 16, 1987” for “December 2, 1987”.

Pub. L. 100–170 substituted “December 2, 1987” for “November 15, 1987”.

Pub. L. 100–154 substituted “November 15, 1987” for “October 31, 1987”.

Pub. L. 100–122 substituted “October 31, 1987” for “September 30, 1987”.

1986—Subsec. (b)(1). Pub. L. 99–430 substituted “September 30, 1987” for “September 30, 1986”.

Pub. L. 99–345 substituted “September 30, 1986” for “June 6, 1986”.

Pub. L. 99–289 substituted “June 6, 1986” for “April 30, 1986”.

Pub. L. 99–272 made amendment identical to Pub. L. 99–219. See 1985 Amendment note below.

Pub. L. 99–267 substituted “April 30, 1986” for “March 17, 1986”.

1985—Subsec. (b)(1). Pub. L. 99–219 substituted “March 17, 1986” for “December 15, 1985”.

Pub. L. 99–156 substituted “December 15, 1985” for “November 14, 1985”.

Pub. L. 99–120 substituted “part A” for “parts A, C, and D” and inserted “and parts C and D shall terminate on November 14, 1985,”.

1984—Subsec. (b)(1). Pub. L. 98–473, §113(1), substituted “September 30, 1985” for “September 30, 1984” in provisions preceding subpar. (A).

Subsec. (b)(1)(A). Pub. L. 98–473, §113(2), inserted “, and September 30, 1986, respectively”.

1983—Subsec. (a). Pub. L. 98–181, §452(b)(1), substituted “Director” for “Secretary”.

Subsec. (b)(1). Pub. L. 98–181, §452(a)(1), (b)(1), substituted “part B shall terminate on November 30, 1983, and parts A, C, and D shall terminate on September 30, 1984” for “this subchapter shall terminate on November 30, 1983” and substituted “Director” for “Secretary”.

Pub. L. 98–109 substituted “November 30, 1983” for “September 30, 1983”.

Pub. L. 98–35 substituted “September 30, 1983” for “May 20, 1983”.

Subsec. (b)(3). Pub. L. 98–181, §452(a)(2), added par. (3).

1982—Subsec. (b)(1). Pub. L. 97–289 substituted “May 20, 1983” for “September 30, 1982”.

1981—Subsec. (b)(1). Pub. L. 97–35 substituted “1982” for “1981” in par. (1) and “1985” for “1984” in subpar. (A).

1979—Subsec. (b). Pub. L. 96–153 substituted “September 30, 1981” for “September 30, 1980” and “September 30, 1984” for “September 30, 1983” in par. (1) and “On September 30, 1981,” for “On September 30, 1981, or as soon thereafter as possible,” in par. (2).

1978—Subsec. (b)(1). Pub. L. 95–557, §307(a)(1), (2), substituted in provision preceding subpar. (A) “September 30, 1980” for “October 31, 1978” and in subpar. (A) “September 30, 1983” for “October 31, 1981”.

Pub. L. 95–406, §5(1), (2), substituted in provision preceding subpar. (A) “October 31, 1978” for “September 30, 1978” and in subpar. (A) “October 31, 1981” for “September 30, 1981”.

Subsec. (b)(2). Pub. L. 95–557, §307(a)(3), substituted “September 30, 1981” for “October 31, 1978”.

Pub. L. 95–406, §5(1), substituted “October 31, 1978” for “September 30, 1978”.

1977—Subsec. (b)(1). Pub. L. 95–24, §104(a)(1), (2), substituted in provisions preceding subpar. (A) “September 30, 1978” for “April 30, 1977” and in subpar. (A) “September 30, 1981” for “April 30, 1978”.

Subsec. (b)(2). Pub. L. 95–24, §104(a)(3), substituted “September 30, 1978” for “April 30, 1978”.

1970—Subsec. (a). Pub. L. 91–609 inserted reference to part D of this subchapter.

Subsec. (b). Pub. L. 91–609 extended termination date for powers of Secretary in par. (1) from Apr. 30, 1973, to Apr. 30, 1975; provided for continuation of direct insurance and for continuation of insurance in accordance with section 1749bbb–10a(c) of this title, formerly §1749bbb–11(c) renumbered §1749bbb–10a(c) by Pub. L. 91–609, title VI, §602(d), and extended continuation date from Apr. 30, 1976, to Apr. 30, 1978, in par. (1)(A); provided for claims for directly insured losses in par. (1)(B); provided for liquidation and termination of direct insurance programs in pars. (1)(C) and (2), and extended date for submission of liquidation plan from Apr. 30, 1976, to Apr. 30, 1978, in par. (2).

1975—Subsec. (b)(1). Pub. L. 94–13 extended termination date for powers of Secretary to Apr. 30, 1977, from Apr. 30, 1975.

1970—Subsec. (a). Pub. L. 91–609 inserted reference to part D of this subchapter.

Subsec. (b). Pub. L. 91–609 extended termination date for powers of Secretary in par. (1) from Apr. 30, 1973, to Apr. 30, 1975; provided for continuation of direct insurance and for continuation of insurance in accordance with section 1749bbb–11(c) of this title, and extended continuation date from Apr. 30, 1976, to Apr. 30, 1978, in par. (1)(A); provided for claims for directly insured losses in par. (1)(B); provided for liquidation and termination of direct insurance programs in pars. (1)(C) and (2), and extended date for submission of liquidation plan from Apr. 30, 1976, to Apr. 30, 1978, in par. (2).

Effective Date of 1981 Amendment

Amendment by Pub. L. 97–35 effective Oct. 1, 1981, see section 371 of Pub. L. 97–35, set out as an Effective Date note under section 3701 of this title.

Congressional Findings and Declaration of Purpose

Section 1 of Pub. L. 94–13 provided that:

“(a) The Congress finds that (1) under the Housing and Urban Development Act of 1968 (Public Law 90–448, approved August 1, 1968), as amended [this subchapter], the powers of the Secretary of the Department of Housing and Urban Development to enter into new reinsurance contracts with respect to the Federal riot reinsurance program and into new direct insurance contracts with respect to the Federal crime insurance program will terminate on April 30, 1975, except to the extent necessary (a) to continue policies of direct insurance and reinsurance, until April 30, 1978, (b) to handle claims and those arising under the policies still in force on the termination date of the program, and (c) to complete the liquidation and termination of the reinsurance and direct insurance programs; (2) continuation of the Federal riot reinsurance program is essential both to the operation of the system of State FAIR plans, which provide access for many people to basic property insurance not otherwise available in urban areas, and to the continued existence of such FAIR plans inasmuch as many State laws condition the very existence of such FAIR plans upon the continued existence of the Federal riot reinsurance program; (3) continuation of the Federal crime insurance program, which provides access for many homeowners, tenants, and small businessmen to burglary, robbery, and similar coverages, in States where an insurance coverage availability problem exists, is likewise essential; (4) withdrawal at this time of the Federal support which these programs give to the insurance buying public and the insurers would be particularly ill timed and inadvisable in view of the (a) threatening major shortage of voluntary insurance facilities to which the consumer can turn to fulfill his insurance purchase needs and (b) the potential for insurer insolvencies inherent in times of economic stress; and (5) the impending tightening of the availability of insurance coverage in the insurance market will only intensify due to the present economic conditions confronting insurers, which affect the capital adequacies of insurers due to severe declines in the values of insurers’ securities portfolios, thus impacting on their ability to increase their underwritings in a growing insurance market.

“(b) The purpose of this Act, therefore, is to extend the duration of the national insurance development program so as to maintain the Federal riot reinsurance program which reinsures the general property insurance business against the catastrophic peril of riot and, thus, makes this insurance available, together with its review and compliance function which assures that the intent of the Housing and Urban Development Act of 1968 (Public Law 90–448, approved August 1, 1968) as amended [this subchapter] is carried out, as well as the Federal crime insurance program which provides basic crime insurance coverages in the States where it is needed, both of which programs aid the insurance purchasing consumer when, from time to time and especially in times such as these, insurers engage in conscious policies of market constriction which lead to serious inner-city insurance availability problems of the kind the national insurance development program has been created to ameliorate.”

Section 1102 of Pub. L. 90–448, as amended by Pub. L. 91–609, title VI, §601, Dec. 31, 1970, 84 Stat. 1788, provided that:

“(a) The Congress finds that (1) the vitality of many American cities is being threatened by the deterioration of their inner city areas; responsible owners of well-maintained residential, business, and other properties in many of these areas are unable to obtain adequate property insurance coverage against fire, crime, and other perils; the lack of such insurance coverage accelerates the deterioration of these areas by discouraging private investment and restricting the availability of credit to repair and improve property therein; and this deterioration poses a serious threat to the national economy; (2) recent riots and other civil commotion in many American cities have brought about abnormally high losses to the private property insurance industry for which adequate reinsurance cannot be obtained at reasonable cost, and the risk of such losses will make most lines of property insurance even more difficult to obtain; (3) the capacity of the private property insurance industry to provide adequate insurance is threatened, and the continuity of such property insurance protection is essential to the extension of credit in these areas; and (4) the national interest demands urgent action by the Congress to assure that essential lines of property insurance, including lines providing protection against riot and civil commotion damage will be available to property owners at reasonable cost.

“(b) The purposes of this title [this subchapter] are, therefore, to (1) encourage and assist the various State insurance authorities and the property insurance industry to develop and carry out statewide programs which will make necessary property insurance coverage against the fire, crime, and other perils more readily available for residential, business, and other properties meeting reasonable underwriting standards; (2) provide a Federal program of reinsurance against abnormally high property insurance losses resulting from riots and other civil commotion, placing appropriate financial responsibility upon the States to share in such losses; and (3) provide direct insurance through the facilities of the Federal Government in the case of properties for which statewide programs and the Federal reinsurance program either do not make crime insurance available or offer such insurance to property owners only at prohibitive cost.”