National Flood Insurance Program (NFIP)

The National Flood Insurance Program (NFIP) is set to expire at the end of the day on Tuesday, July 31, 2018.

While the Senate is working to reauthorize the NFIP until November 30, 2018, there is potential for a short program lapse. In anticipation of this, FEMA issued direction on hiatus protocol with Bulletin W-17069. The bulletin provides additional details on the following general rules that would take effect during a program lapse:

  • New flood insurance policies cannot be issued unless the application is processed prior to the lapse and the premium payment received within 10 days of the application date.
  • Coverages cannot be increased on existing policies unless the request is received prior to the Program lapse and the premium payment is received within 10 days of the request.
  • Non-premium bearing endorsements may be processed as usual.
  • Cancellations may be processed as usual.
  • Claims on in-force policies will be adjusted and paid as usual.

Regarding renewals:

  • Notices cannot be issued/mailed; however offers already issued/mailed, and paid within the 30 day grace period, will be issued as usual.
  • If the premium is received after the grace period, the renewal cannot be issued.

By Torrent Technology, Inc.

Posted on: July 30th, 2018 at 4:32pm by howardhwang. Filed under: Uncategorized
Tags:

Get a Quote or call for a quote at 800-646-8100