Edward L. Connor, deputy associate administrator for FEMA’s Federal Insurance, announced Aug. 14 that revisions have been made to the NFIP Flood Insurance Manual, updated with program changes that will become effective Oct. 1, 2014. All of the changes are shown on the enclosed amended pages, and related footers have been modified to reflect the Oct. 1, 2014, effective date. Solid change bars identify updated information. Hollow change bars identify where information was previously added in accordance with the
Biggert-Waters Flood Insurance Reform Act of 2012, but removed to comply with provisions of the
Homeowner Flood Insurance Affordability Act of 2014 (HFIAA).
Significant revisions include the following:
• Updates to the NFIP Bureau and Statistical Agent Regional Offices (REF Section).
• New policy procedures concerning accepting a signed statement from the insured in lieu of the
prescribed documentation of primary residence, when such documentation is not available at the time
of policy application for newly purchased properties. (GR, APP, and PRP Sections).
• Guidance on eligibility for a beneficiary of a Trust for primary residence rating (GR Section).
• Further guidance on named insureds for tenant’s coverage (GR Section).
• Updated information on the photograph requirement for transfer of elevation-rated business policies
• Revised rate tables for policies written or renewed on or after Oct. 1, 2014 (RATE, CONDO, and
• Updates to the Building Drawing instructions to revise footnotes and rating guidance to comply with
HFIAA. Addition of a new Building Drawing for building with a subgrade crawlspace and attached
enclosure/garage (LFG Section).
• Updates to the Coastal Barrier Resources System Communities list (CBRS Section).
• Updates to the Community Rating System Eligible Communities list (CRS Section).
Bruce Bender, ASFPM’s Flood Insurance Committee Co-Chair, said, “The rates are valid until the next rate change, which is targeted for April 2015. The October focus was getting rates (back) to where HFIAA said they need to be and then refunds issued. So, the normal October rate increases did not occur. Those will be in April (along with the surcharges).
“Determining Full-Risk Rate hasn’t changed for subsidized-rated properties. The property owner will need to get an Elevation Certificate and have it elevation-rated to determine the full-risk rate premium. They also need to keep in mind that that the premium (equivalent to a post-FIRM premium) will also increase each year (let’s say 10 percent?), so it too will continue to increase.”