H.R. 10686 — Community Disaster Protection Act

This section establishes a pilot program, within one year of enactment, under which the Secretary awards grants to covered entities to design, develop, or implement community-based catastrophe insurance programs. The programs must cover properties facing high financial exposure to natural hazards or disasters not addressed by traditional property insurance, stabilize the private insurance market through risk transfer, and promote community resilience measures, while requiring consumer disclosures on coverage limits, interactions with existing policies, and effects on federal disaster assistance eligibility.