FEMA's Roy Wright in a March 12 memo explains FEMA oversight in WYO legislation
FEMA is transforming the National Flood Insurance Program with a focus on customer experience and ensuring policyholders and communities¬ become more disaster resistant and resilient. FEMA's commitment begins when a policyholder¬ purchases a federal flood insurance policy and does not end until after a claim has been resolved.
On occasion, a claim will not be formally resolved until after litigation and FEMA is committed to
ensuring the litigation process for our policyholders is respectful, reasonable and transparent. We need to ensure that the same policyholder-centric, cost-reducing litigation strategies used in their private lines are being employed by Write Your Own companies.
FEMA is now implementing the critical lessons learned from Hurricane Sandy to improve the customer experience for policyholders involved in litigation by strengthening FEMA's oversight of WYO litigation and more clearly communicating the roles of WYO Companies and FEMA. To better manage the process, FEMA has identified a dedicated team housed in the Office of Chief Counsel to monitor and provide guidance, and will implement a series of measures designed to strengthen WYO oversight, reduce litigation costs, and ensure more robust coordination and alignment between FEMA and WYO companies in litigation.