April 2008




Dear Flood Insurance Manual Subscribers:

As we move forward to improve the National Flood Insurance Program (NFIP), it is my goal to 
ensure that you have up-to-date information so you can assist your clients and prospective clients in 
securing the best flood insurance protection available for their individual needs.  Accordingly, I am 
pleased to provide you with the new Producer’s Edition of the NFIP Flood Insurance Manual.  This 
complete reissue has been updated with new rates and other program changes that become effective 
May 1, 2008.  Subscriptions to this edition will cover semiannual updates through October 2010.

Significant revisions include the following:

*	Provides new rates, Federal Policy Fee, and, for the Preferred Risk Policy (PRP) only, 
Increased Cost of Compliance premium; updates rating examples. (RATE, CONDO, PRP 
sections)

*	Introduces greatly expanded coverage options for residential and non-residential buildings 
under the PRP.  Adds a Preferred Risk Policy Condominium Rating Chart. (PRP section)

*	Specifies that, for renewal of a PRP when a map change during the policy term may have 
affected the insured property, proof of the property’s continued eligibility for the PRP must 
be provided. (PRP section)

*	Clarifies that, although a Group Flood Insurance Policy (GFIP) cannot be cancelled, a 
property owner insured under the GFIP may purchase a Standard Flood Insurance Policy; the 
property owner’s GFIP certificate then will be voided without refund of premium. (GR 
section)

*	Specifies that, when the Base Flood Elevation (BFE) on a third-party flood zone 
determination form differs from the BFE on the property owner’s Elevation Certificate (EC), 
the BFE on the EC is used to rate the policy. (GR and RATE sections)

*	In accordance with Federal privacy initiatives, eliminates collection of the Social Security 
Number on the Flood Insurance Application and Preferred Risk Policy Application. (APP 
and PRP sections)



*	Adds to the Flood Insurance Application a check-box in which to indicate when flood 
coverage is a lender requirement without a waiting period. (APP section) 

*	Eliminates the Community Rating System discount on NFIP policies for Post-FIRM 
structures located in a Special Flood Hazard Area where the lowest floor elevation used for 
rating is at least 1 foot or more below the Base Flood Elevation, with the exception of 
Post-FIRM V-Zone buildings with unfinished breakaway wall enclosures. (APP section)

*	Updates the Table of Contents and the Index. 

Thank you for your continued support of the NFIP.

	Sincerely,


	
	David I. Maurstad
	Federal Insurance Administrator
	National Flood Insurance Program

Enclosure
	U.S. Department of Homeland Security
	500 C Street SW
	Washington, DC 20472






www.fema.gov