The Federal Emergency Management Agency Seeks Comment on Simplified Homeowner Flood Insurance Form
The Federal Emergency Management Agency published a Federal Register notice requesting public comment for the “National Flood Insurance Program: Standard Flood Insurance Policy, Homeowner Flood Form,” intended to reduce barriers to flood insurance adoption by simplifying the form for homeowners.
The proposed form will use simplified language in a user-friendly format to allow homeowners of one-to-four family residences — the majority of the NFIP’s approximate 4.7 million policyholders — to consider their specific flood risk at the point of sale and customize their coverage. Understanding flood risk at the point-of-sale shifts policyholder risk awareness to an earlier step in the flood insurance process.
Part of creating a better customer experience for homeowner policyholders is allowing them to customize coverage to meet their needs. Along with the simplified form, The Federal Emergency Management Agency is proposing to use five new endorsements.
Endorsements are changes to the insurance contract allowing policyholders to modify coverage, which might be a new approach to flood coverage offered under the NFIP. The five proposed endorsements are: Increased Cost of Compliance Coverage, Actual Cash Value Loss Settlement, Temporary Housing Expense Coverage Basement Coverage, and Builder’s Risk.
Prior to this form, the NFIP had only offered the Dwelling Form to serve the needs of homeowners of one-to-four family residences, landlords, renters, manufactured (mobile) homeowners, travel trailers, and condominium units. This one-size-fits-all approach diverges from other property insurance lines, which generally offer coverage specific to the type of property insured.
The Federal Emergency Management Agency will use public feedback to evaluate any needed changes to the current Dwelling Form. The agency will continue to use this form to provide an insurance option for other types of policyholders like landlords, renters, and owners of mobile homes, travel trailers and condominium units. Comments are due April 8, 2024 on www.regulations.gov, Docket ID: The Federal Emergency Management Agency-2024-0004.
Disasters Expo USA, is proud to be supported by Inergency for their next upcoming edition on March 6th & 7th 2024!
The leading event mitigating the world’s most costly disasters is returning to the Miami Beach
And in case you missed it, here is our ultimate road trip playlist is the perfect mix of podcasts, and hidden gems that will keep you energized for the entire journey-