Insurance group recommends federal incentives for state building code improvements

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Study indicates greater focus on disaster mitigation would lead to savings for taxpayers

May 28, 2014

Federal disaster policy should shift focus toward mitigation in order to reduce future disaster costs, the National Association of Mutual Insurance Companies says. The industry group recommends that the federal government create incentives for states to adopt and enforce strong building codes. A study by the National Institute of Building Sciences found that for every $1 spent to make buildings stronger, the American taxpayer saves $4 in federal disaster assistance.

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