If the government shuts down as expected on Wednesday, the National Flood Insurance Program (NFIP) will no longer be able to issue new policies or renewals, which could cause headaches for homeowners and those involved in real estate transactions.

People whose coverage is slated to lapse under NFIP, which is run through the Federal Emergency Management Agency (FEMA), could find themselves without insurance in the event of a flood if the government faces a prolonged shutdown.

“The main concern is whether buyers will have coverage if a flood occurs and whether FEMA will have sufficient funds to pay claims,” Austin Perez, senior policy representative for insurance Issues at the National Association of Realtors (NAR), said in a statement to The Hill.

The association sent a letter to congres

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