NFIP

Upon purchase of a flood policy, a ?-day waiting period is in place beginning from the time of application and premium payment

30 day

NFIP flood insurance policies expire at 12:01 a.m. on the last day of the effective term, but the insureds remain covered for ? days after the expiration

30 days

Single-family dwellings are automatically provided with replacement cost coverage if insured to at least ?% of the replacement value, or the maximum allowed under the regular flood insurance program

80%

A community can be placed on probation ? days after FEMA provides written notice to community officials of specific deficiencies.

90 days

Under General Form covers the extra costs necessary to comply with any law or ordinance during the repair or reconstruction of a building damaged by flood

. Coverage D - Increased Cost of Compliance

NFIP flood insurance has a policy term of

1 year

Probation may be continued for up to ? after the community corrects all program deficiencies and remedies all violations to the maximum extent possible.

1 year

The General form contains 4 coverages

1. Coverage A- building property 2. Coverage B- Personal Property 3. Coverage C- other coverages 4. Coverage D- increased cost of compliance

National Flood Insurance Program (NFIP) offers 3 different standard flood insurance policy forms

1. Dwelling policy form 2. General Property policy form 3. Residential condo building association policy form

National Flood Insurance Program (NFIP) consists of 3 main components:

1. Insurance ; 2. Floodplain management; and 3. Floodplain mapping

National Flood Insurance is sold and serviced through 1 of 2 ways:

1. directly through the NFIP 2.through a write your own (WYO) insurance program

the NFIP makes federally backed flood insurance available to

1. homeowners 2. renters 3.business owners

To be eligible for the flood program an insured must live in a community that has met the minimum floodplain management guidelines. An eligible structure must have

2 solid walls and a roof, be principally above ground, and not entirely over water

All other buildings and all contents are insured on an what basis

ACV

The maximum coverage available under the regular National Flood Insurance Program (smaller emergency limits are available until a community has been approved by the NFIP) a single family home building and contents

Building: 250,000 Contents 100,000

The maximum coverage available under the regular National Flood Insurance Program (smaller emergency limits are available until a community has been approved by the NFIP) for other residential units than a single family building and contents is

Building: 250,000 Contents 100,000

The maximum coverage available under the regular National Flood Insurance Program (smaller emergency limits are available until a community has been approved by the NFIP) for small business building and contents

Building: 500,00 Contents: 500,000

Certain restrictions also apply to properties if located within areas defined by the federal government as part of the

Coastal Barrier Resource System or as an Otherwise Protected Area

Under General Form covers the building, building property, additions and extensions attached to and in contact with the building, certain fixtures, machinery and equipment (e.g. fire sprinkler system, awnings, light fixtures), construction materials and supplies to be used on the building, manufactured homes or travel trailers, and certain property items in a basement

Coverage A - Building Property

Under General Form covers personal property owned by the insured against direct physical loss by or from flood

Coverage B - Personal Property

Under General Form covers debris removal, loss avoidance measures, removal of property for safety, and pollution damage

Coverage C - Other Coverages

There is a 30-day waiting period after the application has been accepted before coverage is effective except in the following conditions:

During the first 30 days after a community enters the emergency or normal programs, then coverage begins at 12:01 a.m. the day after application and premium payment have been mailed; When an existing policy is assigned to a property purchaser; and At 12:01 a.m. on the 5th day after an endorsement request and premium have been mailed for an existing policy.

insures residential structures and their contents

Dwelling Policy Form

may deny coverage through a provision in the 1968 Act for any property that is in violation of state or local laws, regulations or ordinances.

FIMA

The private insurers that participate in a WYO program write and service policies on a no risk-bearing basis through a special arrangement with the

Federal Insurance Administration (FIA).

mandated flood insurance in the following situations: 1. Flood insurance is required in certain flood-prone areas as a condition for receiving loans through, or backed by, the federal government; 2. Property owners who fail to purchase flood insurance within 1 year after it becomes available will not be eligible for full disaster relief funding. The amount of disaster relief will be reduced by the amount of insurance that could have been purchased.

Flood Disaster Protection Act of 1973

the basis used for requiring a community to join the NFIP.

Flood Hazard Boundary Maps (FHBM)

usually the initial flood map in a community. They indicate which areas in the community are subject to severe flooding

Flood Hazard Boundary Maps (FHBM)

used in the regular program to produce actuarial premium rates. These maps are developed from a community flood study

Flood Insurance Rate Maps (FIRMs)

used to determine what type of flood zone a particular property is in and to assign actuarial premium rates for insurance coverage on properties at risk

Flood maps

cause more property damage in the United States than any other type of natural disaster.

Floods

is the formal notification by FEMA to a community that its floodplain management compliance program does not meet NFIP criteria. It is an action authorized under federal regulations.

Probation

insures other residential and non-residential structures and their contents

General Property Policy Form

Producers will assign claims to a NFIP-approved adjuster, with the following exceptions:

In major flooding disasters, the Flood Insurance Claims Office (FICO) makes all assignments; If an Adjuster Control Office has been established; or If a Claims Coordinating Office has been established.

If the premium is insufficient to cover losses, the insurers will be reimbursed for the excess costs by the

NFIP

created by the federal government to fill the gap left by the private insurance industry, and is administered by the Federal Insurance and Mitigation Administration (FIMA), a part of the Federal Emergency Management Agency (FEMA).

National Flood Insurance Program (NFIP)

Floods may be caused by

Overflow of inland or tidal waters; Unusual and rapid accumulation or runoff of surface waters from any source; Mudflow (a river of liquid and flowing mud on surfaces of normally dry land) and collapse; or Collapse or subsidence of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels that result in a flood as defined above.

Under General Form Coverage B

Personal Property

also used in the regular program, are used on building construction that began after December 31, 1974, or after the community's first FIRM was published, whichever is later. ? rates are lower than Pre-FIRM rates.

Post-FIRM rates

apply to buildings in communities that qualify for the regular program. They are used for building constructions beginning on or before December 31, 1974, or before the community's first Flood Insurance Rate Map (FIRM) was published, whichever is later.

Pre-FIRM rates

insures the entire condominium building under a single policy

Residential Condominium Building Association Policy Form

a community that chooses not to participate within 1 year after the flood hazard has been identified and a flood risk map has been provided, and a disaster is declared due to flooding, no federal financial assistance can be provided for the permanent repair or reconstruction of insurable buildings in

Special Flood Hazard Areas (SFHAs).

of a participating community (usually after a period of probation) occurs when the community fails to solve its compliance problems.

Suspension

the initial phase of a community's participation in the NFIP and is designed to provide a limited amount of insurance at federally subsidized rates prior to the effective date of the community's initial Flood Insurance Rate Map (FIRM)

The emergency program

are written only by Write Your Own (WYO) companies, remain in force until the next annual anniversary date of the policy in the case of suspension

Three-year policies

Under General Form Coverage A

building property

The federal emergency flood insurance program goes into effect when a community applies for the program and ends when all NFIP criteria have been met and the regular program can begin. It provides a limited amount of coverage with subsidized rates. Limits for a single family building and contents

building: $35,000 contents: 10,000

The federal emergency flood insurance program goes into effect when a community applies for the program and ends when all NFIP criteria have been met and the regular program can begin. It provides a limited amount of coverage with subsidized rates. Limits for a other nonresidential than a small business building and contents

building: 100,000 contents: 100,000

The federal emergency flood insurance program goes into effect when a community applies for the program and ends when all NFIP criteria have been met and the regular program can begin. It provides a limited amount of coverage with subsidized rates. Limits for a other residential than a single family building and contents

building: 100,000 contents: 100,000

The federal emergency flood insurance program goes into effect when a community applies for the program and ends when all NFIP criteria have been met and the regular program can begin. It provides a limited amount of coverage with subsidized rates. Limits for a small business building and contents

building: 100,000 contents: 100,000

The maximum coverage available under the regular National Flood Insurance Program (smaller emergency limits are available until a community has been approved by the NFIP) for other nonresidential than a small business building and contents

building: 500,000 contents: 500,000

The National Flood Insurance Program does not offer any ? coverage

business income or extra expense coverage

Participation in the NFIP is done on a ? rather than on an individual basis

community basis

As defined by the NFIP, a ? is a general and temporary condition of partial or complete inundation of 2 or more acres of normally dry land area, or of 2 or more properties (at least one of which is the insured's property).

flood

When a community is placed on probation, an additional charge is added to the premium for each ? sold or renewed in the community. The additional charge is effective for at least one year after the community's probation period begins.

flood insurance policy

In the event of a loss, the insured must

give written notice of the loss to the NFIP or the WYO company as soon as practicable. The insured must also exhibit the remains of the property as required, submit to examination under oath if requested, provide evidence and documentation to substantiate the loss, and file a proof of loss within 60 days of the loss. The proof of loss requirement may be waived by the Federal Emergency Management Agency (FEMA).

Under General Form Coverage D

increased cost of compliance

The following losses do not meet the definition of flood or are excluded from coverage

landslides, backup of sewers unrelated to a flood, windblown rain, snow, or sleet. Flooding that is within the insured's control will not be covered.

Under General Form Coverage C

other coverages

have no binding authority with the NFIP

producers

is the phase of a community's participation in the NFIP under which more comprehensive floodplain management requirements are imposed and higher amounts of insurance are available based on risk zones and elevations determined in the flood insurance study of the community. A FIRM is used in this phase of NFIP participation.

regular program

Policies in force at the time of suspension continue in force for

the policy term

Binders will not be issued during the

waiting period

If suspended, the community becomes non-participating and flood insurance policies cannot be

written or renewed