This bill directs the Federal Emergency Management Agency (FEMA) to modify its procedures for providing disaster assistance following a major disaster. It mandates that the FEMA Administrator issue regulations to prevent the premature denial of federal aid to certain applicants. Specifically, an applicant for assistance under Section 408 of the Stafford Act who has indicated ownership of an insurance policy for a disaster-damaged home or facility will not receive a notice of denial from FEMA. This hold on denial will remain in effect until a final determination is made on their insurance claim for disaster-related losses. The legislation aims to ensure that individuals are not denied federal assistance while awaiting the outcome of their private insurance claims.