This bill creates a new federal program called the Natural Disaster Risk Reinsurance Program, run by the Treasury Department, to help protect insurance companies from going bankrupt when major natural disasters hit. Here's how it works: When a state chooses to participate, the federal government agrees to cover insurance losses that exceed a certain threshold amount during disasters like hurricanes, earthquakes, wildfires, tornadoes, and other major natural events. If losses go over that threshold, the Treasury pays the difference to help insurers stay solvent and keep insurance affordable for homeowners. The program applies to homeowners insurance, condo insurance, and rental property insurance—basically residential property coverage. States that participate must have an approved plan showing they'll collect claims data and eventually repay the federal money over a 10-year period. The Treasury will issue bonds to fund these payments, and states must pledge to pay back every dollar they receive, with interest. The National Academy of Sciences helps determine the threshold amount for each state based on how severe disasters typically are in that area. The program starts covering disasters on January 1, 2026, and states can voluntarily join or leave with proper notice.