U.S. Department of Homeland Security 500 C Street SW Washington, DC 20472 August 2005 MEMORANDUM FOR: Flood Insurance Manual Subscribers FROM: David I. Maurstad Acting Director Mitigation Division Emergency Preparedness and Response Directorate SUBJECT: October 1, 2005, Revisions to the Producer’s Edition of the Flood Insurance Manual The National Flood Insurance Program (NFIP) is pleased to provide you with the latest updates to the Producer’s Edition of the NFIP Flood Insurance Manual. Your new revision pages contain all of the changes that will go into effect October 1, 2005. Changes are identified by a vertical bar in the margin of the amended pages, and related footers have been modified to reflect the October 1, 2005, effective date. Following are highlights of the October revisions: • Clarifies the correct Flood Insurance Rate Map to use when completing an application for flood insurance. (APP, PRP sections) • Adds language noting the optional use of the Elevation Certificate in buildings without a basement or enclosure in unnumbered A zones. (RATE, CONDO sections) • Clarifies the description of a crawl space. (RATE section) • Adds guidelines for converting a standard policy to a Preferred Risk Policy due to a map revision. (PRP section) • Updates the Index. (IND section) The NFIP is committed to providing up-to-date information so that you can assist your customers in securing the best flood insurance protection available for their individual needs. Attachment www.fema.gov Change Record Page Effective Date: October 1, 2005 Updates and corrections to the Producer’s Edition of the NFIP Flood Insurance Manual are distributed semiannually. Each change is highlighted by a vertical bar in the margin of the page. The effective date of each page is shown in the bottom right corner. Pages bearing the new effective date but no change bar simply indicate that text has shifted from one page to another. Please keep this Change Record Page in your manual for reference. Remove Insert v-vi GR 3-4, 7-8 APP 3-4 RATE 5-6, 23-24, 53-54, 57-58 CONDO 15-16 PRP 1-6 IND 1-5 v-vi GR 3-4, 7-8 APP 3-4 RATE 5-6, 23-24, 53-54, 57-58 CONDO 15-16 PRP 1-6 IND 1-5 TABLE OF CONTENTS (Continued) SECTION PAGE IX. APPLICATION FORM ................................................................................................. CONDO 8 A. Type of Building................................................................................................... CONDO 8 B. Replacement Cost Value .................................................................................... CONDO 8 C. Coverage.............................................................................................................CONDO 8 D. Rates and Fees ................................................................................................... CONDO 9 X. CONDOMINIUM RATING EXAMPLES ....................................................................... CONDO 23 PREFERRED RISK POLICY ..................................................................................................... PRP 1 I. GENERAL DESCRIPTION .......................................................................................... PRP 1 II. ELIGIBILITY REQUIREMENTS................................................................................... PRP 1 A. Flood Zone ......................................................................................................... PRP 1 B. Occupancy ......................................................................................................... PRP 1 C. Loss History........................................................................................................ PRP 1 D. Exclusions .......................................................................................................... PRP 1 III. DOCUMENTATION ..................................................................................................... PRP 2 IV. RENEWAL...................................................................................................................PRP 2 V. COVERAGE LIMITS....................................................................................................PRP 2 VI. REPLACEMENT COST COVERAGE.......................................................................... PRP 2 VII. DISCOUNTS/FEES/ICC PREMIUM ............................................................................ PRP 2 VIII. DEDUCTIBLES............................................................................................................ PRP 2 IX. ENDORSEMENTS ...................................................................................................... PRP 2 X. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MISRATING ..............................................................................................................PRP 2 XI. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MAP REVISION, LOMA, OR LOMR........................................................................... PRP 4 XII. COMPLETING THE FLOOD INSURANCE PREFERRED RISK POLICY APPLICATION............................................................. PRP 4 A. Policy Status........................................................................................................ PRP 4 B. Policy Term ......................................................................................................... PRP 4 C. Agent Information ................................................................................................ PRP 4 D. Insured’s Mailing Address ................................................................................... PRP 4 E. Disaster Assistance.............................................................................................PRP 4 F. First Mortgagee ................................................................................................... PRP 4 G. Second Mortgagee or Other................................................................................PRP 4 H. Property Location ................................................................................................ PRP 5 I. Community .......................................................................................................... PRP 5 J. Building and Contents ......................................................................................... PRP 5 K. Notice .................................................................................................................. PRP 5 L. Premium .............................................................................................................. PRP 5 M. Signature ............................................................................................................. PRP 5 INDEX .................................................................................................................................... IND 1 v October 1, 2005 LIST OF TABLES SECTION/TABLE PAGE RATING Amount of Insurance Available.............................................................................................. RATE 1 Table 1. Emergency Program Rates ................................................................................. RATE 1 Table 2. Regular Program--Pre-FIRM Construction Rates................................................RATE 2 Table 3. Regular Program--Post-FIRM Construction Rates .............................................. RATE 3 Table 4. Regular Program--FIRM Zone AR and AR Dual Zones Rates ............................ RATE 9 Table 5. Regular Program--Pre-FIRM and Post-FIRM Elevation-Rated Rates ................. RATE 10 Table 6. Precalculated Pre-FIRM Premium Table.............................................................RATE 11 Table 7. Federal Policy Fee and Probation Surcharge Table............................................ RATE 12 Table 8A. Standard Deductibles .......................................................................................... RATE 12 Table 8B. Deductible Factors .............................................................................................. RATE 13 Table 9. Standard Flood Insurance Policy Increased Cost of Compliance (ICC) Coverage Premiums.......................................................................................... RATE 14 Table 10. V-Zone Risk Rating RelativitiesTable .................................................................. RATE 32 CONDOMINIUMS Table 1. Condominium Underwriting Guidelines ............................................................... CONDO 3 Table 2. Condominium Rating Chart ................................................................................. CONDO 4 Table 3. RCBAP High-Rise Condominium Rates..............................................................CONDO 10 Table 4. RCBAP Low-Rise Condominium Rates............................................................... CONDO 14 Table 5. RCBAP High-Rise and Low-Rise Condominium Rates- - 1981 Post-FIRM V1-V30, VE Zone Rates ......................................................... CONDO 19 Table 6. RCBAP High-Rise and Low-Rise Condominium Rates- - Increased Cost of Compliance (ICC) Coverage ................................................ CONDO 21 Table 7. RCBAP Deductible Factors – All Zones .............................................................. CONDO 22 PREFERRED RISK POLICY The PRP at a Glance............................................................................................................PRP 1 PRP Coverages Available Effective May 1, 2004................................................................. PRP 3 vi May 1, 2005 policies and subsequent renewals of those policies must be based upon the specific anchoring requirements identified below: A manufactured (mobile) home located within a Special Flood Hazard Area must be anchored to a permanent foundation to resist flotation, collapse, or lateral movement by providing over-the-top or frame ties to ground anchors; or in accordance with manufacturer’s specifications; or in compliance with the community’s floodplain management requirements. b. Manufactured (Mobile) Homes Continuously Insured Since September 30, 1982 All manufactured (mobile) homes on a foundation continuously insured since September 30, 1982, can be renewed under the previously existing requirements if affixed to a permanent foundation. Manufactured (mobile) homes in compliance with the foundation and anchoring requirements at the time of placement may continue to be renewed under these requirements even though the requirements are more stringent at a later date. To be adequately anchored, the manufactured (mobile) home is attached to the foundation support system, which in turn is established (stabilized) into the ground, sufficiently to resist flotation, collapse, and lateral movement caused by flood forces, including wind forces in coastal areas. 3. Silos and Grain Storage Buildings 4. Cisterns 5. Buildings Entirely Over Water -Constructed or Substantially Improved Before October 1, 1982 Follow "submit for rate" instructions in the Rating section for insurance on Post-FIRM buildings located entirely in, on, or over water or seaward of mean high tide for these buildings. Pre-FIRM buildings constructed before October 1, 1982, are eligible for normal Pre-FIRM rates. If the building's start of construction occurred on or after October 1, 1982, the building is ineligible for coverage. 6. Buildings Partially Over Water Follow “submit for rate” instructions in the Rating section for buildings partially over water. However, Pre-FIRM buildings are eligible for normal Pre-FIRM rates. 7. Boathouses Located Partially Over Water The non-boathouse parts of a building into which boats are floated are eligible for coverage if the building is partly over land and also used for residential, commercial, or municipal purposes and is eligible for flood coverage. The area above the boathouse used for purposes unrelated to the boathouse use (e.g., residential occupancy) is insurable from the floor joists to the roof including walls. A common wall between the boathouse area and the other part of the building is insurable. The following items are not covered: a. The ceiling and roof over the boathouse portions of the building into which boats are floated. b. Floors, walkways, decking, etc., within the boathouse area, or outside the area, but pertaining to boathouse use. c. Exterior walls and doors of the boathouse area not common to the rest of the building. d. Interior walls and coverings within the boathouse area. e. Contents located within the boathouse area, including furnishings and equipment, relating to the operation and storage of boats and other boathouse uses. The Flood Insurance Application form with photographs, but without premium, must be submitted to the NFIP for premium determination. No coverage becomes effective until the NFIP approves the insurance application, determines the rate, and receives the premium. However, buildings in existence prior to October 1, 1982, may continue to be rated using the published rate. GR 3 May 1, 2005 8. Buildings in the Course of Construction Buildings in the course of construction that have yet to be walled and roofed are eligible for coverage except when construction has been halted for more than 90 days and/or if the lowest floor used for rating purposes is below the Base Flood Elevation (BFE). Materials or supplies intended for use in such construction, alteration, or repair are not insurable unless they are contained within an enclosed building on the premises or adjacent to the premises. 9. Repetitive Loss Target Group Properties These must be processed by the NFIP Special Direct Facility. See the Repetitive Loss section of this manual for information. B. Single Building To qualify as a single building structure and be subject to the single building limits of coverage, a building must be separated from other buildings by intervening clear space or solid, vertical, load- bearing division walls. A building separated into divisions by solid, vertical, load-bearing walls from its lowest level to its highest ceiling may have each division insured as a separate building. A solid load-bearing interior wall cannot have any openings and must not provide access from one building or room into another (partial walls). If access is available through a doorway or opening, then the structure must be insured as one building. Flood insurance for a unit of a multiple-unit complex may be written as a single-building policy, provided that: the unit is self contained; it is a separately titled unit contiguous to the ground; it has a separate legal description; and it is regarded as a separate property for other real estate purposes, meaning that it has most of its own utilities and may be deeded, conveyed, and taxed separately. Additions and Extensions The NFIP insures additions and extensions attached to and in contact with the building by 1. means of a rigid exterior wall, a solid load-bearing interior wall, a stairway, an elevated walkway, or a roof. At the insured’s option, additions and extensions connected by any of these methods may be separately insured. Additions and extensions attached to and in contact with the building by means of a common interior wall that GR 4 is not a solid load-bearing wall are always considered part of the building and cannot be separately insured. C. Walls 1. Breakaway Walls For an enclosure's wall to qualify as breakaway, it must meet all of the following criteria: a. Above ground level; and b. Below the elevated floor of an elevated structure; and c. Non-structurally supporting (non-loadbearing walls); and d. Designed to fail under certain wave force conditions; and e. Designed so that, as a result of failure, it causes no damage to the elevated portions of the elevated building and/or its supporting foundation system. 2. Shear Walls Shear walls are used for structural support, but are not structurally joined or enclosed at the ends (except by breakaway walls). Shear walls are parallel (or nearly parallel) to the flow of the water and can be used in any zone. 3. Solid Perimeter Foundation Walls Solid perimeter foundation walls are used as a means of elevating the building in A Zones and must contain proper openings to allow for the unimpeded flow of floodwaters more than 1 foot deep. Solid perimeter foundation walls are not an acceptable means of elevating buildings in V/VE Zones. D. Determination of Building Occupancy The following terms should be used to determine the appropriate occupancy classification: Single Family Dwellings These are non-condominium residential buildings designed for principal use as a dwelling place for one family, or a single- family dwelling unit in a condominium building. Residential single family dwellings are permitted incidental occupancies, including October 1, 2005 community's floodplain management permit request, then the waiting period will be requirements) calculated from the application or endorsement date. 23. Water Treatment Plant (unless 51 percent of its actual cash value is above ground) 2. If the application or endorsement form and the premium payment are received at the B. Contents Coverage NFIP after 10 days from the date of application or endorsement request, or are 1. Automobiles--Including Dealer's Stock not mailed by certified mail within 4 days (assembled or not) from the date of application or endorsement 2. Bailee's Customer Goods--Including request, then the waiting period will be calculated from the date the NFIP receives garment contractors, cleaners, shoe repair the application or endorsement. shops, processors of goods belonging to others, and similar risks As used in VIIl.B.1. and 2. above, the term “certified mail” extends to not only the U.S. 3. Contents Located in a Structure Not Eligible Postal Service but also certain third-party for Building Coverage delivery services. Acceptable third-party delivery services include Federal Express (FedEx), 4. Contents Located in a Building Not Fully United Parcel Service (UPS), and courier Walled and/or Contents Not Secured services and the like that provide proof ofAgainst Flotation mailing. Third-party delivery is acceptable if the 5. Motorcycles--Including Dealer's Stock delivery service provides documentation of the (assembled or not) actual mailing date and delivery date to the NFIP insurer. Bear in mind that third-party delivery 6. Motorized Equipment--Including Dealer's services deliver to street addresses but cannot Stock (assembled or not) deliver to U.S. Postal Service post office boxes. C. Non-Residential Condominium Unit C. Effective Date The owner of a non-residential condominium unit 1. New Policy (other than 2, 3, or 4 below)- cannot purchase a unit owner's policy. The The effective date of a new policy will be association can purchase a condominium 12:01 a.m., local time, on the 30th calendar association policy to cover the entire building. day after the application date and the Contents coverage only may be purchased by the presentment of premium. (Example: a unit owner. policy applied for on May 3 will become effective 12:01 a.m., local time, on June 2.) VIII. POLICY EFFECTIVE DATE The effective date of coverage is subject to the waiting period rule listed under B.1 or A. Evidence of Insurance B.2 above. A copy of the Flood Insurance Application and 2. New Policy (in connection with making, premium payment, or a copy of the declarations increasing, extending, or renewing a loan, page, is sufficient evidence of proof of purchase. whether conventional or otherwise)--Flood The NFIP does not recognize an oral binder or insurance, which is initially purchased in contract of insurance. connection with the making, increasing, extending, or renewal of a loan, shall be B. Start of Waiting Period effective at the time of loan closing, There is a standard 30-day waiting period for new provided that the policy is applied for and applications and for endorsements to increase the presentment of premium is made at or prior to the loan closing. (Example: coverage. presentment of premium and application date--April 3, refinancing--April 3 at 3:00 1. If the application or endorsement form and p.m., policy effective date--April 3 at 3:00 the premium payment are received at the p.m.) This rule applies to all buildingsNFIP within 10 days from the date of regardless of flood zone. The waiting period application or endorsement request, or if rule listed under B.1 or B.2 above does not mailed by certified mail within 4 days from apply. the date of application or endorsement GR 7 May 1, 2005 3. New Policy (in connection with lender requirement)--The 30-day waiting period does not apply when flood insurance is required as a result of a lender determining that a loan on a building in a Special Flood Hazard Area (SFHA) that does not have flood insurance coverage should be protected by flood insurance. The coverage is effective upon the completion of an application and the presentment of payment of premium. (Example: presentment of premium and application date--April 3, policy effective date--April 3.) The waiting period rule listed under B.1 or B.2 must be used. 12:01 a.m., local time, on the 30th calendar day after the presentment of premium. The three exceptions are as follows. First, there is no waiting period if the initial purchase of flood insurance on a submit- for-rate application is in connection with making, increasing, extending, or renewing a loan, provided that the policy is applied for and the presentment of premium is made at or prior to the loan closing. The waiting period rule listed under B.1 or B.2 above does not apply. 4. 5. 6. New Policy (when the initial purchase of flood insurance is in connection with the revision or updating of a Flood Hazard Boundary Map or Flood Insurance Rate Map)--During the 13-month period beginning on the effective date of the map revision, the effective date of a new policy shall be 12:01 a.m., local time, following the day after the application date and the presentment of premium. This rule only applies where the Flood Hazard Boundary Map (FHBM) or Flood Insurance Rate Map (FIRM) is revised to show the building to be in a Special Flood Hazard Area (SFHA) when it had not been in an SFHA. (Example: FIRM revised--January 1, 2005, policy applied for and presentment of premium--August 3, 2005, policy effective date--August 4, 2005.) The waiting period rule listed under B.1 or B.2 above must be used. New Policy (in connection with the purchase of an RCBAP)--When a condominium association is purchasing a Residential Condominium Building Association Policy (RCBAP), the 30-day waiting period does not apply if the condominium association is required to obtain flood insurance as part of the security for a loan under the name of the condominium association. The coverage is effective upon completion of an application and presentment of premium. The waiting period rule listed under B.1 or B.2 above does not apply. In all other circumstances, the 30-day waiting period applies, and the waiting period rule listed under B.1 or B.2 above must be used. New Policy (submit-for-rate application)- With three exceptions (described below), the effective date of a new policy will be 7. Second, the 30-day waiting period does not apply when flood insurance is required as a result of a lender determining that a loan which does not have flood insurance coverage should be protected by flood insurance, because the building securing a loan is located in an SFHA. The coverage is effective upon the completion of an application and the presentment of payment of premium. This exemption from the 30-day waiting period applies only to loans in SFHAs, i.e., those loans for which the statute requires flood insurance. The waiting period rule listed under B.1 or B.2 above must be applied. Third, during the 13-month period beginning on the effective date of a map revision, the effective date of a new policy shall be 12:01 a.m., local time, following the day after the date the increased amount of coverage is applied for and the presentment of additional premium is made. This rule applies only on an initial purchase of flood insurance where the Flood Hazard Boundary Map (FHBM) or Flood Insurance Rate Map (FIRM) is revised to show the building to be in an SFHA when it had not been in an SFHA. The waiting period rule listed under B.1 or B.2 must be applied. New Policy (rewrite Standard to PRP)--The 30-day waiting period does not apply when an insured decides to rewrite the existing policy at the time of renewal from Standard to a Preferred Risk Policy (PRP), provided that the selected PRP coverage limit amount is no higher than the next highest PRP amount above that which was carried on the Standard policy using the highest of building and contents coverage. In those cases where the Standard policy has only one kind of coverage, either building or contents only, the 30-day waiting period applies. GR 8 October 1, 2005 NOTE: The mailing address may or may not reflect the community where the property is located. Do not rely on the mailing address when determining community status and identification. Because of possible changes in the Flood Insurance Rate Map (FIRM), do not rely on information from a prior policy. Enter the community identification number, map panel number, and revision suffix for the community where the property is located. When there is only one panel (i.e., a flat map), the community number will consist of only six digits. Use the FIRM in effect and that has been published at the time of presentment of premium and completion of application. NOTE: Not all communities that have been assigned NFIP community numbers are participating in the National Flood Insurance Program. Policies may not be written in nonparticipating communities. Community number and status may be obtained by calling the NFIP insurer, by consulting a local community official, or by checking the NFIP Community Status Book online (http://www.fema.gov/fema/csb.shtm). Check YES if the property is located in a Special Flood Hazard Area; otherwise, check NO. Enter the FIRM zone in the space provided. If the program type is Emergency, leave this area blank. Check R if the community is in the Regular Program, or check E if the community is in the Emergency Program. If the community program type is Regular and the building is Pre-FIRM construction, enter the FIRM zone, if known; otherwise, enter UNKNOWN and follow the Alternative Rating procedure explained in the Rating section of this manual. UNKNOWN cannot be used for manufactured homes or other buildings located in a community having flood Zones V or V1-V30 (VE). Determine whether the community is located in a CBRS or OPA. See CBRS section for additional information. J. Building Complete all required information in this section. . Building Occupancy Indicate the type of occupancy for the building (i.e., single family, 2-4 family, other residential, or non-residential). . Basement or Enclosed Area Below an Elevated Building Indicate whether the building contains a basement (i.e., lowest floor is below ground on all sides). If an enclosure is the lowest floor for rating, use the "With Basement/ Enclosure" Rate Table to determine the rate. If the enclosure is not the lowest floor for rating, use the “Without Basement/ Enclosure” Rate Table and describe the building as “Without Basement/Enclosure.” In A zones, this means that the enclosure was designed with proper openings; in Post-FIRM V zones constructed before October 1, 1981, the enclosure is less than 300 square feet with breakaway walls and no machinery or equipment in the enclosure is below the BFE. The writing company may use the “Obstruction Type” description provided in the Transaction Record Reporting and Processing (TRRP) Plan to show the enclosure on the policy declarations page. . Small Business Risk Indicate Yes or No. . Number of Floors or Building Type Indicate the number of floors in the entire building, including the basement/enclosed area if applicable, in the appropriate space. If the building type is a townhouse/rowhouse being covered under an RCBAP, check "Townhouse/Rowhouse (RCBAP Lowrise Only)." If the building is a manufactured (mobile) home or travel trailer on a foundation, check "Manufactured (Mobile) Home on Foundation" regardless of the building’s size. Dimensions of manufactured (mobile) homes and travel trailers are used only for determining replacement cost eligibility, not for rating. APP 3 October 1, 2005 . Number of Occupancies (Units) For other than single family dwellings, indicate the number of units. . Condo Coverage If condominium coverage is being purchased, indicate whether the coverage is for a condominium unit or the entire condominium building. . Residential Condominium Building Association Policy For a Residential Condominium Building Association Policy (RCBAP), enter the total number of units (including non-residential) within the building and indicate whether the building is a high-rise or low-rise. . Estimated Replacement Cost Using normal company practice, estimate the replacement cost value and enter the value in the space provided. Include the cost of the building foundation when determining the replacement cost value. . Insured's Principal Residence Indicate whether the building is the policyholder's principal residence. . Building in Course of Construction Indicate whether the building is in the course of construction. . Deductible and Deductible Buyback Enter the deductible amount for building and/or contents. Also indicate whether the applicant is “buying back” a $500 deductible. Refer to page RATE 12 to buy back a $500 deductible. (See deductible factors on pages RATE 13 and CONDO 22.) . Elevated Building Indicate whether this is an elevated building. If it is, also indicate, in the next block, whether the area below the lowest elevated floor is free of obstruction or with obstruction. For all elevated buildings using elevation for rating, complete Part 2 on the back of the Flood Insurance Application after you have completed Part 1. . Describe Building and Use For other than 1-4 family dwellings, describe the insured building and its use. This includes manufactured (mobile) homes and travel trailers, other residential structures, and non-residential buildings. For all manufactured (mobile) homes and travel trailers, complete Part 2 on the back of the Flood Insurance Application after you have completed Part 1. . State Government Ownership of Property Check YES if the property is owned by state government; otherwise, check NO. K. Contents Check the box that describes the location of the contents to be insured. Describe any contents that are not personal property household contents. If only building insurance is to be purchased, be sure to notify the applicant of the availability of contents insurance. It is recommended that the applicant initial the contents coverage section if no contents insurance is requested. This will make the applicant aware that the policy will not provide payment for contents losses. L. Construction Data 1. Construction Date Check one of the five blocks in the first part of this section, and enter the appropriate date for the date of construction or building permit date. (For substantial improvement, see the “Substantial Improvement Exception” instructions that follow.) In the Emergency Program, provide the month/day/year of construction. If the month and day are unknown, enter July 1 (07/01) and enter the best information for the year of construction. The rest of the sections should be left blank. If the building was constructed or substantially improved on or before December 31, 1974, or before the effective date of the initial FIRM for the community, the building is considered Pre-FIRM construction. Otherwise, the building is considered Post-FIRM. If the building was substantially improved, enter the actual month, day, and year that APP 4 May 1, 2005 TABLE 3C. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) UNNUMBERED ZONE A -- WITHOUT BASEMENT/ENCLOSURE1 Elevation Difference to nearest foot BUILDING RATES CONTENTS RATES TYPE OF ELEVATION CERTIFICATE Occupancy Occupancy 1-4 Family Other & Non- Residential Residential2 NonResidential2 +5 or more .36 / .10 .48 / .15 .62 / .12 .65 / .12 NO ESTIMATED BASE FLOOD ELEVATION3 +2 to +4 .80 / .12 .83 / .20 .82 / .17 .89 / .23 +1 1.56 / .56 1.76 / .75 1.40 / .63 1.33 / .72 0 or below *** *** *** *** +2 or more .32 / .08 .34 / .09 .50 / .12 .49 / .12 WITH THE ESTIMATED BASE FLOOD ELEVATION4 0 to +1 .77 / .10 .67 / .17 .72 / .15 .76 / .21 -1 2.50 / .93 3.17 / 1.02 2.08 / .67 1.84 / 1.02 -2 or below *** *** *** *** No Elevation Certificate5 2.93 / 1.20 3.96 / 1.70 2.61 / 1.00 2.74 / 1.35 No Elevation Certificate 1 Zone A building with basement (including crawl space below grade on all sides) or enclosure --Submit for Rating. 2 For elevation rated risks other than Single Family, when contents are located one floor or more above lowest floor used for rating --use .35 /.12. 3 Elevation difference is the measured distance between the highest adjacent grade next to the building and the lowest floor of the building. 4 Elevation difference is the measured distance between the estimated BFE provided by the community or registered professional engineer, surveyor, or architect and the lowest floor of the building. 5 For building without basement or enclosure, Elevation Certificate is optional. *** SUBMIT FOR RATING RATE 5 October 1, 2005 TABLE 3D. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) FIRM ZONES '75-81, V1-V30, VE --BUILDING RATES1 Elevation of Lowest Floor Above or Below BFE One Floor, No Basement/Encl More than One Floor, No Basement/Encl More than One Floor, With Basement/Encl Manufactured (Mobile) Home2 1-4 Family Other Residential & Non- Residential 1-4 Family Other Residential & Non- Residential 1-4 Family Other Residential & Non- Residential Single Family Non- Residential 03 1.90 / .34 2.30 / .89 1.53 / .34 1.66 / .83 1.33 / .34 1.49 / .67 2.84 / .28 4.07 / .25 -14 4.06 / 2.08 6.05 / 3.33 3.72 / 2.08 5.22 / 2.53 2.63 / 1.88 2.75 / 2.57 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES '75-81, V1-V30, VE --CONTENTS RATES Elevation of Lowest Floor Only -Above Ground Level (No Basement/Encl.) Lowest Floor Above Ground Level & Higher Floors (No Basement/Encl.) More than One Floor With Basement/Enclosure Manufactured (Mobile) Home2 Lowest Floor Above or Below BFE Residential Non- Residential Residential Non- Residential Residential Non- Residential Single Family Non- Residential 03 2.94 / .41 2.60 / 1.91 1.92 / .45 1.82 / 1.13 1.08 / .50 1.08 / .50 2.83 / .45 2.95 / 2.43 -14 6.47 / 3.14 6.35 / 5.53 3.82 / 2.43 4.35 / 3.45 1.27 / .50 3.88 / .50 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES '75-81, V1-V30, VE --CONTENTS RATES Elevation of Lowest Floor Above Ground Level More than One Full Floor Above or Below BFE Single Family 2-4 Family Other Residential Non-Residential 03 .55 / .25 .55 / .25 .42 / .25 -14 .55 / .25 .55 / .25 .42 / .25 -2 .55 / .25 .55 / .25 .46 / .25 1 Policies for 1975 through 1981 Post-FIRM and Pre-FIRM buildings in Zones VE and V1-V30 will be allowed to use the Post-’81 V Zone rate table if the rates are more favorable to the insured. See instructions on page RATE 23 for V Zone Optional Rating. 2 The definition of Manufactured (Mobile) Home includes travel trailers. See page APP 3. 3 These rates are to be used if the lowest floor of the building is at or above BFE. 4 Use Submit-for-Rate guidelines if the enclosure below the lowest elevated floor of an elevated building, which is used for rating, is 1 or more feet below BFE. *** SUBMIT FOR RATING FIRM ZONES '75-'81, UNNUMBERED V ZONE SUBMIT FOR RATING RATE 6 May 1, 2005 insurance policy was purchased until 1990. At that time remapping had occurred and the zone had been changed to a more hazardous area, Zone VE. The new policy can use Zone AE as the rating zone if the required documentation is provided. b. Pre-FIRM Construction This “built in compliance” rule also applies to Pre-FIRM construction if the date of construction was on or before December 31, 1974, and was on or after the FIRM date. Example: A building was constructed in November 1974 and the FIRM date was May 3, 1973. The old map showed the building’s location as Zone C. Ten years later in 1984, a new map placed the building in an A zone. Flood insurance coverage was applied for after the map was revised. To use the old map showing Zone C as the rating zone, proper documentation must be submitted. D. Post-’81 V Zone Optional Rating This optional rating is available for new and renewal policies and endorsements with effective dates on or after October 1, 1997. Policies for 1975 through 1981 Post-FIRM and Pre-FIRM buildings in Zones VE and V1-V30 are allowed to use the Post-’81 V Zone rate tables (Tables 3E or 3F) if the rates are more favorable to the insured. In order to qualify, the following criteria must be met: 1. The policy must be rated using the BFE printed on the FIRM panel that includes wave height. The effective date of the FIRM panel must be on or after 10/1/81. 2. The building rates are determined based on the ratio of the estimated building replacement cost and the amount of insurance purchased. 3. The building must be elevated free of obstruction or with obstruction less than 300 square feet. All machinery and equipment located below the BFE are considered obstructions. E. Policies Requiring Re-Rating The following conditions require that the policies be rated using the new map: 1. If an elevation-rated building is altered, making the lowest floor for rating purposes below the BFE. Example: An elevated building is located in an AE Zone at the time of construction. The Lowest Floor Elevation (LFE) was 18’. The BFE was 10’. The Lowest Floor rating was a +8 elevation differential. The map was revised, changing the BFE to 11’. The insured decided to enclose the area beneath the elevated floor and use it as a living area. This changed the LFE to 9’. Due to the alteration, the new map must be used and the building is rated as -2. 2. If a Pre-FIRM or Post-FIRM building is substantially improved or substantially damaged, the building must be re-rated using the FIRM in effect at the time that the substantial improvement occurred. A newer FIRM can always be used if it will result in a more favorable rating. Example: A building was constructed in 1972 and, when flood insurance was applied for in 1976, was found to be located in Zone C. The FIRM was revised in 1984. The building was substantially improved in 1985. Due to the improvement, the building must now be re-rated as Post-FIRM construction using the 1984 map, or the most recent map can be used if it will result in a more favorable rating. If ineligible for renewal as a Preferred Risk Policy because of a map change, the risk must be rewritten as a Standard Flood Insurance Policy. F. Submit-for-Rate Certain properties at high flood risk, because of peculiarities in their exposure to flooding, do not lend themselves to preprogrammed rates. These risks require an in-depth underwriting analysis and must be submitted to the NFIP for an individual (specific) rate. As RATE 23 May 1, 2005 with other lines of property insurance, the underwriter requires documentation to evaluate those risk characteristics that make up the basis for a proper rate. The NFIP's two-fold goal of establishing sound actuarial rates and obtaining information for enforcing floodplain management requires that the following documentation be supplied for risks that fall within the submit-for-rate category: 1. Completed NFIP Flood Insurance Application. 2. Completed current Elevation Certificate. 3. Variance issued by the local community stating that permission was granted to construct the building. If no variance was granted, a statement to that effect signed by the applicant or the applicant's representative is required. 4. Recent photographs of the building (front and back), or a blueprint (layout of the building) if the building is under construction. 5. The square footage of any enclosure(s) below the elevated floor, the use of the enclosure, a list of machinery and equipment, and the approximate value of each item located in the enclosure. 6. Certified letter from either a local building official, an engineer, or an architect verifying that any such enclosures are designed/ built with breakaway walls. 7. A statement from the applicant or the applicant's representative that the enclosure was built at the time that the building was originally constructed, or at a later date (give date). 8. If the building has a basement, a list of machinery and equipment located in the basement and each item's approximate value. 9. For elevated buildings, an Elevated Building Determination Form signed by the insured. For Submit-for-Rate policies written as NFIP direct business, all of the appropriate documentation listed above must be mailed to the NFIP Servicing Agent, P.O. Box 2965, Shawnee Mission, KS 66201-1365. If the building is insurable, the Servicing Agent will deliver a written rate and the applicable ICC premium to the producer. Since a rate must be determined on these risks, no premium is to accompany the submission. Coverage will be effective 30 days after the receipt of the premium at the NFIP, with the following two exceptions: . If the coverage is in conjunction with the making, increasing, extending, or renewing of a loan, the effective date is on the day and time of the loan closing, provided that the policy is applied for and the presentment of premium is made at or prior to the loan closing. . If the new policy is being obtained as a result of a revision to a community’s flood map, during the 13-month period beginning on the effective date of the map revision, the effective date shall be 12:01 a.m., local time, following the day after the presentment of premium. For the NFIP direct business, the presentment of premium is the same as the receipt date of the full premium at the NFIP Servicing Agent. Submit-for-Rate quotations, excluding the ICC premium, Federal Policy Fee, and Probation Surcharge, if applicable, are valid for 90 days. After 90 days, the Flood Insurance Application and supporting documentation must be resubmitted for another determination of the rating. G. Crawl Space A building with a “crawl space” (under-floor space) has its interior floor area (finished or not) no more than 5 feet below the top of the next higher floor. If a crawl space is below grade on all sides, and the elevation of the crawl space floor is below the Base Flood Elevation, the crawl space must be rated according to the guidelines found on pages LFG 24-25. For the purpose of completing the Flood Insurance Application, the building must be described as a “non-elevated building with basement.” NFIP rules and regulations specify that a crawl space with its interior floor below grade on all sides is considered a “basement”; therefore, the Standard Flood Insurance Policy basement coverage limitations apply to such crawl spaces. A building with a crawl space that is not subgrade must be described as an elevated building. RATE 24 October 1, 2005 EXAMPLE 6 REGULAR PROGRAM, 1975-81 POST-FIRM V1-V30, ELEVATION RATED, ZONE V13 Data Essential To Determine Appropriate Rates and Premium:  . Regular Program  . Flood Zone: V13  . Occupancy: Single-Family Dwelling  . # of Floors: 2 Floors  . Basement/Enclosure: None  . Deductible: $500/$500  . Deductible Factor: 1.000  . Contents Location: Lowest Floor Above Ground Level and Higher Floors  . Date of Construction: 1975 - 81 (Post-FIRM)  . Elevation Difference: +1  . Flood Proofed Yes/No: No  . Building Coverage: $150,000  . Contents Coverage: $100,000  . ICC Premium: $35  . CRS Rating: 8  . CRS Discount: 10% Determined Rates: Building: 1.53/.34 Contents: 1.92/.45 COVERAGE BASIC LIMITS ADDITIONAL LIMITS (REGULAR PROGRAM ONLY) DEDUCTIBLE BASIC AND ADDITIONAL TOTAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM PREM. REDUCTION/ INCREASE TOTAL AMOUNT OF INSURANCE BUILDING 50,000 1.53 765 100,000 .34 340 0 150,000 1,105 CONTENTS 20,000 1.92 384 80,000 .45 360 0 100,000 744 RATE TYPE: (ONE BUILDING PER POLICYBLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 1,849 . MANUAL . SUBMIT FOR RATING OPTION: ICC PREMIUM 35 . ALTERNATIVE . V-ZONE RISK RATING FORM . CREDIT CARD SUBTOTAL 1,884 . MORTGAGE PORTFOLIO PROTECTION PROGRAM . OTHER: CRS PREMIUM DISCOUNT 10% -188 . PROVISIONAL RATING SUBTOTAL 1,696 THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND PROBATION SURCHARGE . THAT ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER FEDERAL POLICY FEE 30 APPLICABLE FEDERAL LAW. SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 1,726 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $1,105 / Contents: $744 2. Apply Deductible Factor: Building: 1.000 x $1,105 = $1,105 / Contents: 1.000 x $744 = $744 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $1,849 5. Add ICC Premium: $35 6. Subtract CRS Discount: -$188 (10%) 7. Subtotal: $1,696 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $30 10. Total Prepaid Amount: $1,726 RATE 53 October 1, 2005 EXAMPLE 7 REGULAR PROGRAM, POST-1981 VE OR V1-V30, WITH ENCLOSURE, ZONE VE Data Essential To Determine Appropriate Rates and Premium: . Regular Program . Flood Zone: VE  Occupancy: Single-Family Dwelling . # of Floors: 3 or More Floors . Basement/Enclosure: Enclosure (< 300 sq. ft., w/o M&E)  Deductible: $3,000/$3,000  Deductible Factor: .825 . Contents Location: Lowest Floor Above Ground Level and Higher Floors . Date of Construction: Post-81  Elevation Difference: -1 . Flood Proofed Yes/No: No . Replacement Cost: $300,000 . Building Coverage: $250,000 . Contents Coverage: $100,000 . ICC Premium: $14 . CRS Rating: 9 . CRS Discount: 5% Determined Rates: Building: 2.24/2.24 Contents: 1.68/1.68 COVERAGE BASIC LIMITS ADDITIONAL LIMITS (REGULAR PROGRAM ONLY) DEDUCTIBLE BASIC AND ADDITIONAL TOTAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM PREM. REDUCTION/ INCREASE TOTAL AMOUNT OF INSURANCE BUILDING 50,000 2.24 1,120 200,000 2.24 4,480 -980 250,000 4,620 CONTENTS 20,000 1.68 336 80,000 1.68 1,344 -294 100,000 1,386 RATE TYPE: (ONE BUILDING PER POLICYBLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 6,006 . MANUAL . SUBMIT FOR RATING OPTION: ICC PREMIUM 14 . ALTERNATIVE . V-ZONE RISK RATING FORM . CREDIT CARD SUBTOTAL 6,020 . MORTGAGE PORTFOLIO PROTECTION PROGRAM . OTHER: CRS PREMIUM DISCOUNT 5% -301 . PROVISIONAL RATING SUBTOTAL 5,719 THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND PROBATION SURCHARGE . THAT ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER FEDERAL POLICY FEE 30 APPLICABLE FEDERAL LAW. SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 5,749 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $5,600 / Contents: $1,680 2. Apply Deductible Factor: Building: .825 x $5,600 = $4,620 / Contents: .825 x $1,680 = $1,386 3. Premium Reduction: Building: $5,600 - $4,620 = $980 / Contents: $1,680 - $1,386 = $294 4. Subtotal: $6,006 5. Add ICC Premium: $14 6. Subtract CRS Discount: -$301 (5%) 7. Subtotal: $5,719 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $30 10. Total Prepaid Amount: $5,749 RATE 54 May 1, 2005 EXAMPLE 10 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $500/$500 DEDUCTIBLE OPTION, ZONE AO (WITH CERTIFICATION OF COMPLIANCE) (Rectangle comment tellison 8/11/2005 12:06:06 PM blank) Data Essential To Determine Appropriate Rates and Premium: . Regular Program . Flood Zone: AO (With Certification of Compliance)  Occupancy: Single-Family Dwelling . # of Floors: 2 Floors  Basement/Enclosure: None  Deductible: $500/$500  Deductible Factor: 1.000 . Contents Location: Above Ground Level and Higher Floors . Date of Construction: Post-FIRM  Elevation Difference: +1 . Flood Proofed Yes/No: No . Building Coverage: $250,000 . Contents Coverage: $100,000 . ICC Premium: $4 . CRS Rating: N/A . CRS Discount: N/A Determined Rates: Building: .25/.06 Contents: .34/.11 COVERAGE BASIC LIMITS ADDITIONAL LIMITS (REGULAR PROGRAM ONLY) DEDUCTIBLE BASIC AND ADDITIONAL TOTAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM PREM. REDUCTION/ INCREASE TOTAL AMOUNT OF INSURANCE BUILDING 50,000 .25 125 200,000 .06 120 0 250,000 245 CONTENTS 20,000 .34 68 80,000 .11 88 0 100,000 156 RATE TYPE: (ONE BUILDING PER POLICYBLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 401 . MANUAL . SUBMIT FOR RATING OPTION: ICC PREMIUM 4 . ALTERNATIVE . V-ZONE RISK RATING FORM . CREDIT CARD SUBTOTAL 405 . MORTGAGE PORTFOLIO PROTECTION PROGRAM . OTHER: CRS PREMIUM DISCOUNT % — . PROVISIONAL RATING SUBTOTAL 405 THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND PROBATION SURCHARGE — THAT ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER FEDERAL POLICY FEE 30 APPLICABLE FEDERAL LAW. SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 435 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $245 / Contents: $156 2. Apply Deductible Factor: Building: 1.000 x $245 = $245 / Contents: 1.000 x $156 = $156 3. Premium Reduction: Building: $0 / Contents: = $0 4. Subtotal: $405 5. Add ICC Premium: $4 6. Subtract CRS Discount: N/A 7. Subtotal: $405 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $30 10. Total Prepaid Amount: $435 RATE 57 May 1, 2005 EXAMPLE 11 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $3,000/$2,000 DEDUCTIBLE OPTION, ZONE AH Data Essential To Determine Appropriate Rates and Premium: . Regular Program . Flood Zone: AH  Occupancy: Non-Residential . # of Floors: 1 Floor  Basement/Enclosure: None  Deductible: $3,000/$2,000  Deductible Factor: .875 . Contents Location: Lowest Floor Above Ground Level . Date of Construction: Post-FIRM  Elevation Difference: -1 . Flood Proofed Yes/No: No . Building Coverage: $250,000 . Contents Coverage: $25,000 . ICC Premium: $4 . CRS Rating: N/A . CRS Discount: N/A Determined Rates: Building: .84/.30 Contents: 1.63/.25 COVERAGE BASIC LIMITS ADDITIONAL LIMITS (REGULAR PROGRAM ONLY) DEDUCTIBLE BASIC AND ADDITIONAL TOTAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM AMOUNT OF INSURANCE RATE ANNUAL PREMIUM PREM. REDUCTION/ INCREASE TOTAL AMOUNT OF INSURANCE BUILDING 50,000 .84 420 200,000 .30 600 -127 250,000 893 CONTENTS 20,000 1.63 326 5,000 .25 13 -42 25,000 297 RATE TYPE: (ONE BUILDING PER POLICYBLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 1,190 . MANUAL . SUBMIT FOR RATING OPTION: ICC PREMIUM 4 . ALTERNATIVE . V-ZONE RISK RATING FORM . CREDIT CARD SUBTOTAL 1,194 . MORTGAGE PORTFOLIO PROTECTION PROGRAM . OTHER: CRS PREMIUM DISCOUNT 30% -358 . PROVISIONAL RATING SUBTOTAL 836 THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND PROBATION SURCHARGE — THAT ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER FEDERAL POLICY FEE 30 APPLICABLE FEDERAL LAW. SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 866 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $1,020 / Contents: $339 2. Apply Deductible Factor: Building: .875 x $1,020 = $893 / Contents: .875 x $339 = $297 3. Premium Reduction: Building: $1,020 - $893 = $127 / Contents = $339 - $297 = $42 4. Subtotal: $1,190 5. Add ICC Premium: $4 6. Subtract CRS Discount: $358 7. Subtotal: $836 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $30 10. Total Prepaid Amount: $866 RATE 58 October 1, 2005 TABLE 4B. RCBAP LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) REGULAR PROGRAM -- POST-FIRM CONSTRUCTION FIRM ZONES A1-A30, AE -- BUILDING RATES ELEVATION OF LOWEST FLOOR ABOVE OR BELOW BFE1 BUILDING TYPE ONE FLOOR NO BASEMENT/ENCLOSURE MORE THAN ONE FLOOR NO BASEMENT/ENCLOSURE MORE THAN ONE FLOOR WITH BASEMENT/ENCLOSURE +4 .18/.08 .18/.08 .18/.08 +3 .18/.08 .18/.08 .18/.08 +2 .24/.08 .18/.08 .18/.08 +1 .43/.08 .25/.08 .19/.08 0 .81/.08 .53/.08 .43/.08 -12 2.06/.76 1.74/.70 1.03/.47 -2 *** *** *** FIRM ZONES A1-A30, AE -- CONTENTS RATES ELEVATION OF LOWEST FLOOR ABOVE OR BELOW BFE1 CONTENTS LOCATION LOWEST FLOOR ONLY ABOVE GROUND LEVEL (NO BASEMENT/ENCLOSURE) LOWEST FLOOR ABOVE GROUND LEVEL AND HIGHER FLOORS (NO BASEMENT/ENCLOSURE) BASEMENT/ENCLOSURE AND ABOVE ABOVE GROUND LEVELMORE THAN ONE FULL FLOOR +4 .38/.12 .38/.12 .38/.12 .35/.12 +3 .38/.12 .38/.12 .38/.12 .35/.12 +2 .38/.12 .38/.12 .38/.12 .35/.12 +1 .59/.12 .41/.12 .38/.12 .35/.12 0 1.10/.12 .72/.12 .40/.12 .35/.12 -12 3.01/.75 1.78/.58 .48/.12 .35/.12 -2 *** *** *** .35/.12 1If LF is -1 because of attached garage, submit application for special consideration; rate may be lower. 2Use Submit-for-Rate guidelines if the enclosure below the lowest floor of an elevated building or if the crawl space (under-floor space) that has its interior floor within 2 feet below grade on all sides, which is used for rating, is 1 or more feet below BFE. ***SUBMIT FOR RATING. CONDO 15 May 1, 2005 TABLE 4C. RCBAP LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) UNNUMBERED ZONE A - WITHOUT BASEMENT/ENCLOSURE1 ELEVATION DIFFERENCE TO NEAREST FOOT BUILDING CONTENTS2 TYPE OF ELEVATION CERTIFICATE +5 OR MORE .30/.10 .62/.12 NO ESTIMATED BASE FLOOD ELEVATION3 +2 TO +4 .73/.12 .86/.17 +1 1.40/.56 1.54/.63 0 OR BELOW *** *** +2 OR MORE .24/.08 .50/.12 WITH ESTIMATED BASE FLOOD ELEVATION4 0 TO +1 .53/.10 .79/.15 -1 1.91/.67 1.93/.74 -2 OR BELOW *** *** NO ELEVATION CERTIFICATE5 2.42/1.15 2.79/1.00 NO ELEVATION CERTIFICATE 1Zone A building with basement (including crawl space below grade on all sides) or enclosure--Submit for Rating. 2For elevation rated policies, when contents are located one floor or more above lowest floor used for rating, use .35/.12. 3NO ESTIMATED BASE FLOOD ELEVATION: Elevation difference is the measured distance between the lowest floor of the building and the highest adjacent grade next to the building. 4WITH ESTIMATED BASE FLOOD ELEVATION: Elevation difference is the measured distance between the lowest floor of the building and the estimated BFE provided by the community or registered professional engineer, surveyor, or architect. 5For building without basement or enclosure, Elevation Certificate is optional. ***SUBMIT FOR RATING. CONDO 16 October 1, 2005 PREFERRED RISK POLICY I. GENERAL DESCRIPTION The Preferred Risk Policy (PRP) offers low-cost coverage to owners and tenants of eligible buildings located in the moderate-risk B, C, and X Zones in NFIP Regular Program communities. The maximum one-to four-family residential coverage combination is $250,000 building and $100,000 contents. Up to $100,000 contents- only coverage is available for other residential properties. The maximum non-residential coverage combination is $500,000 building and $500,000 contents. Only one building can be insured per policy, and only one policy can be written on each building. II. ELIGIBILITY REQUIREMENTS A. Flood Zone To be eligible for building/contents coverage or contents-only coverage under the PRP, the building must be in a B, C, or X Zone on the effective date of the policy. The flood map available at the time of the renewal offer determines a building’s continued eligibility for the PRP. NFIP map grandfathering rules do not apply to the PRP. B. Occupancy Combined building/contents amounts of insurance are available for owners of single- family, two- to four-family, and non-residential properties. Combined building and contents coverage is not available for other residential. Contents-only coverage is available for tenants and owners of all eligible occupancies, except when contents are located entirely in a basement. C. Loss History A building's eligibility for the PRP is based on the preceding requirements and on the building’s flood loss history. If one of the following conditions exists, regardless of any change(s) in ownership of the building, then the building is not eligible for the PRP: . 2 flood insurance claim payments, each more than $1,000; or . 3 or more flood insurance claim payments, regardless of amount; or . 2 Federal flood disaster relief payments (including loans and grants), each more than $1,000; or . 3 Federal flood disaster relief payments (including loans and grants), regardless of amount; or . 1 flood insurance claim payment and 1 Federal flood disaster relief payment (including loans and grants), each more than $1,000. D. Exclusions . The PRP is not available in Special Flood Hazard Areas or in Emergency Program communities. . Other residential properties are not eligiblefor building coverage. . Contents located entirely in a basement are not eligible for contents-only coverage. However, contents located entirely in an enclosure are eligible. THE PRP AT A GLANCE POLICY TYPE OCCUPANCY/MAXIMUM LIMITS 1-4 Family Other Residential Non-Residential Combined Building/ Contents $250,000/ $100,000 No Coverage $500,000/ $500,000 Contents Only $100,000 $100,000 $500,000 NOTES: Condominium associations are not eligible for the Preferred Risk Policy. Individual condominium units are not eligible unless they qualify under one of the exceptions on page PRP 2. PRP 1 May 1, 2005 . Condominium associations, unit owners, and their tenants are not eligible for the PRP, except for: . A townhouse/rowhouse building insured under the unit owner’s name; . A detached, single-family dwelling insured under the unit owner's name. . Contents-only coverage for tenants occupying townhouse/rowhouse buildings or detached, single-family dwellings. . Increased Cost of Compliance (ICC) coverage is not available for condominium units. (See footnote 3 on page PRP 3.) III. DOCUMENTATION All Preferred Risk Policy new business applications must include documentation of eligibility for the PRP. Such applications must be accompanied by one of the following: . A Letter of Map Amendment (LOMA) . A Letter of Map Revision (LOMR) . A Letter of Determination Review (LODR) . A copy of the most recent flood map marked to show the exact location and flood zone of the building . A letter indicating the exact location and flood zone of the building, and signed and dated by a local community official . An elevation certificate indicating the exact location and flood zone of the building, and signed and dated by a surveyor, engineer, architect, or local community official . A flood zone determination certification that guarantees the accuracy of the information. An agent writing through a Write Your Own (WYO) company should contact that company for guidance. IV. RENEWAL An eligible risk renews automatically without submission of a new application. If, during a policy term, the risk fails to meet the eligibility requirements, it will be ineligible for renewal as a PRP. Such a risk must be nonrenewed or rewritten as a conventional Standard Flood Insurance Policy (SFIP). V. COVERAGE LIMITS The elevated building coverage limitation provisions do not apply to a policy written as a PRP. VI. REPLACEMENT COST COVERAGE Replacement cost coverage applies only if the building is the principal residence of the insured and the building coverage chosen is at least 80 percent of the replacement cost of the building at the time of the loss, or the maximum coverage available under the NFIP. VII. DISCOUNTS/FEES/ICC PREMIUM . No Community Rating System discount is associated with the PRP. . Probation fees will be charged. . The Federal Policy Fee of $11.00 is included in the premium and is not subject to commission. . The ICC premium is included. VIII. DEDUCTIBLES The standard deductible for PRPs is $500. Optional deductibles are not available for PRPs. IX. ENDORSEMENTS The PRP may be endorsed to: . Increase coverage mid-term, subject to the coverage limits in effect when the policy was issued or renewed. See page END 5 for an example. . Correct misratings, such as incorrect building description or community number. X. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MISRATING A policy written as a Standard B, C, or X Zone policy and later found to be eligible for a PRP may be endorsed or rewritten as a PRP for only the current policy term. When the risk has been rated with other than B, C, or X Zone rates, but is later found to be in a B, C, or X Zone and eligible for a PRP, the writing company will be allowed to endorse or cancel/rewrite up to 6 years. The policy may be canceled/rewritten using Cancellation Reason Code 22 if both of the following conditions are met: . The request to endorse or cancel/rewrite the policy is received during the current policy term. . The policy has no open claim or closed paid claim on the policy term being canceled. PRP 2 October 1, 2005 PRP COVERAGES AVAILABLE EFFECTIVE MAY 1, 2004 ONE- TO FOUR-FAMILY RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS1 With Basement or Enclosure Without Basement or Enclosure Building Contents Premium2,3 Building Contents Premium2,3 $ 20,000 $ 8,000 $137 $ 20,000 $ 8,000 $112 $ 30,000 $ 12,000 $163 $ 30,000 $ 12,000 $138 $ 50,000 $ 20,000 $205 $ 50,000 $ 20,000 $180 $ 75,000 $ 30,000 $232 $ 75,000 $ 30,000 $207 $100,000 $ 40,000 $263 $100,000 $ 40,000 $233 $125,000 $ 50,000 $279 $125,000 $ 50,000 $249 $150,000 $ 60,000 $294 $150,000 $ 60,000 $264 $200,000 $ 80,000 $331 $200,000 $ 80,000 $296 $250,000 $100,000 $352 $250,000 $100,000 $317 ALL RESIDENTIAL CONTENTS-ONLY COVERAGE1, 4 Contents Above Ground Level More Than One Floor All Other Locations (Basement-Only Not Eligible) Contents Premium2 Contents Premium2 $ 8,000 $ 39 $ 8,000 $ 61 $ 12,000 $ 53 $ 12,000 $ 86 $ 20,000 $ 81 $ 20,000 $116 $ 30,000 $ 93 $ 30,000 $131 $ 40,000 $105 $ 40,000 $146 $ 50,000 $117 $ 50,000 $156 $ 60,000 $129 $ 60,000 $166 $ 80,000 $153 $ 80,000 $181 $100,000 $177 $100,000 $196 NON-RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS1 With Basement or Enclosure Without Basement or Enclosure Building Contents Premium2,3 Building Contents Premium2,3 $ 50,000 $ 50,000 $ 800 $ 50,000 $ 50,000 $ 500 $100,000 $100,000 $1,375 $100,000 $100,000 $ 800 $150,000 $150,000 $1,850 $150,000 $150,000 $1,050 $200,000 $200,000 $2,200 $200,000 $200,000 $1,300 $250,000 $250,000 $2,500 $250,000 $250,000 $1,500 $300,000 $300,000 $2,800 $300,000 $300,000 $1,700 $350,000 $350,000 $3,100 $350,000 $350,000 $1,850 $400,000 $400,000 $3,350 $400,000 $400,000 $2,000 $500,000 $500,000 $3,850 $500,000 $500,000 $2,300 NON-RESIDENTIAL CONTENTS-ONLY COVERAGE1, 4 Contents Above Ground Level More Than One Floor All Other Locations (Basement-Only Not Eligible) Contents Premium2 Contents Premium2 $ 50,000 $121 $ 50,000 $ 275 $100,000 $231 $100,000 $ 500 $150,000 $321 $150,000 $ 675 $200,000 $381 $200,000 $ 850 $250,000 $441 $250,000 $1,000 $300,000 $501 $300,000 $1,150 $350,000 $561 $350,000 $1,300 $400,000 $621 $400,000 $1,450 $500,000 $741 $500,000 $1,700 1Add the $50.00 Probation Surcharge, if applicable. 2Premium includes Federal Policy Fee of $11.00.3Premium includes ICC premium of $1.00. Deduct this amount if the risk is a townhouse/rowhouse condominium unit or a contents-only policy. 4Contents-only policies are not available for contents located in basement only. NOTES: Condominium associations are not eligible for the Preferred Risk Policy. Individual condominium units are not eligible unless they qualify under one of the exceptions on page PRP 2. The deductibles apply separately to building and contents. Building deductible, $500. Contents deductible, $500. PRP 3 May 1, 2005 The new PRP building and/or contents coverage will be equal either to the building limit issued under the Standard B, C, or X Zone policy or the next higher limit available under the PRP if there is no PRP option equal to the Standard B, C, or X Zone building limit. For a standard contents- only policy, the contents coverage will be equal to the limit issued under the standard policy or the next higher limit. If building coverage is desired, the policy should be endorsed for building and contents coverage with a 30-day waiting period applied. XI. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MAP REVISION, LOMA, OR LOMR A standard rated policy may be canceled and rewritten as a PRP as a result of a map revision, LOMA, or LOMR if the effective date of the map change was on or after February 1, 2005. The policy may be canceled/rewritten using newly established Cancellation Reason Code 24 under the following conditions: . The request to cancel/rewrite the standard policy must be received during the policy term or within 6 months of the policy expiration date. . The standard policy has no open claim or closed paid claim on the policy terms being canceled. . The property meets all other PRP eligibility requirements. The building and/or contents coverage on the new PRP must be equal either to the building limit and/or contents limit issued under the standard policy, or to the next higher limit available under the PRP if there is no PRP option equal to the standard policy building and/or contents limit. XII. COMPLETING THE FLOOD INSURANCE PREFERRED RISK POLICY APPLICATION A. Policy Status In the upper right corner of the form, check the appropriate box to indicate if the application is for a NEW policy or a RENEWAL of an existing policy. If the application is for a renewal, enter the current NFIP policy number. B. Policy Term The PRP is available only for 1-year terms. 1. Check the appropriate box to indicate who should receive the renewal bill. If BILL FIRST MORTGAGEE is checked, complete "First Mortgagee" section. If BILL SECOND MORTGAGEE, BILL LOSS PAYEE, or BILL OTHER is checked, provide mailing instructions in "Second Mortgagee or Other" section. 2. Enter the policy effective date and policy expiration date (month-day-year). The effective date of the policy is determined by adding the appropriate waiting period to the date of application in the "Signature" section. The standard waiting period is 30 days. Refer to the General Rules Section, page GR 7, for the applicable waiting period. C. Agent Information Enter the agent's (producer's) name, agency name and number, address, city, state, ZIP Code, telephone number, fax number, and Tax I.D. Number or Social Security Number. D. Insured’s Mailing Address 1. Enter the name, mailing address, city, state, ZIP Code, telephone number, and Social Security Number of the insured. 2. If the insured's mailing address is a post office box or a rural route number, or if the address of the property to be insured is different from the mailing address, complete the "Property Location" section of the application. E. Disaster Assistance 1. Check YES if flood insurance is being required for disaster assistance. Enter the insured's case file number, Tax I.D. Number, or Social Security Number on the line for CASE FILE NUMBER. 2. In the "Second Mortgagee or Other" block, identify the government (disaster) agency, and enter the complete name and mailing address of the disaster agency. 3. If NO is checked, no other information is required. F. First Mortgagee Enter the name, mailing address, city, state, ZIP Code, telephone number, and fax number of the first mortgagee. Enter the loan number. G. Second Mortgagee or Other 1. Identify additional mortgagees by checking the appropriate box and entering the loan number, mortgagee's name, mailing address, telephone number, and fax number. PRP 4 October 1, 2005 2. If more than one additional mortgagee or disaster assistance agency exists, provide the requested information on the producer's letterhead. H. Property Location 1. Check YES if the location of the property being insured is the same as the address entered in the "Insured’s Mailing Address" section. Leave the rest of this section blank unless there is more than one building at the property location. 2. If more than one building is at the location of the insured property, use this section to specifically identify the building to be insured. Briefly describe the building or submit a sketch showing the location of insured buildings to assist the NFIP in matching the policy number to the specific building insured. 3. If NO, provide the address or location of the property to be insured. 4. If the insured's mailing address is a post office box or rural route number, give the street address, legal description, or geographic location of the property. I. Community 1. Enter the name of the county or parish where the property is located. 2. Check YES if the property is located in an unincorporated area of a county; otherwise, check NO. 3. Enter the community identification number, map panel number, and revision suffix for the community where the property is located. Use the FIRM in effect and that has been published at the time of presentment of premium and completion of application. Community number and status may be obtained by calling the writing company, consulting a local community official, or referencing the NFIP Community Status Book online at www.fema.gov/fema/csb.shtm. 4. Enter the Flood Insurance Rate Map zone. J. Building and Contents Complete all required information in this section. 1. Check building occupancy: Single Family, 2-4 Family, Other Residential, or Non- Residential (incl. Hotel/Motel). 2. Enter date of construction. 3. Check building type. If the building has a basement or enclosure, count the basement or enclosure as a floor. If the building type is a manufactured (mobile) home/ travel trailer on foundation, enter the make, model, and serial number in the block at the bottom of this section. 4. Check the “Y” box (YES) or the “N” box (NO) for “CONDO UNIT” and “TOWNHOUSE/ROWHOUSE CONDO UNIT.” 5. Check location of building’s contents. (Contents located entirely in a basement are not eligible for contents-only coverage.) 6. Check YES if the building is the insured's principal residence; otherwise, check NO. 7. Using normal company practice, estimate the replacement cost value and enter the value in the space provided. Include the cost of the building foundation when determining the replacement cost value. K. Notice If the answer to either question A or question B is YES, this risk is not eligible for the Preferred Risk Policy. L. Premium 1. Enter the coverage selected, and the premium, from the appropriate table on the back of the application form. 2. Add the $50.00 Probation Surcharge, if applicable. Deduct $1.00 if this is an application for a townhouse/rowhouse condominium unit. M. Signature The producer must sign the Preferred Risk Policy Application and is responsible for the completeness and accuracy of the information provided on it. Enter the date of application (month/day/year). The waiting period is added to this date to determine the policy effective date of the policy listed in the Policy Term section. A check or money order for the Total Prepaid Amount, payable to the NFIP, must accompany the application. A credit card payment by VISA, MasterCard, Diner’s Club, or American Express will also be acceptable if a disclaimer form, signed by the insured, is submitted with the Preferred Risk Policy Application. The disclaimer will state that cancellation of a policy due to a billing dispute will be permitted only for a billing error or fraud. If the credit card information is taken over the telephone by the producer, the producer may sign the authorization form on behalf of the payor only after having read the disclaimer to the payor. PRP 5 October 1, 2005 PRP 6 May 1, 2005 INDEX A ABOVE GROUND BUILDING, PRINCIPALLY...GR 2, DEF 7 ACT.......................................................REF 1, GR 6, DEF 1 ACTUAL CASH VALUE (ACV)....................................DEF 1 ADDITIONS AND EXTENSIONS (TO BUILDING) .......................................... GR 4, RATE 16 ADJUSTER CONTROL OFFICE ....................... CL 1, DEF 1 ALTERNATIVE RATES .................. RATE 21, END 2, DEF 1 ANCHORED...................................................GR 2-3, DEF 1 APPLICATION...........................................GR 11, APP 1-11, CONDO 8-9, PRP 4-7, DEF 1 Binders..........................................................GR 7, DEF 1 Flood Insurance Application Form .....................APP 9-11 Incomplete/Incorrect Applications............................APP 8 Mailing Instructions .................................GR 7, 11, APP 8 APPURTENANT STRUCTURE .........................GR 2, DEF 1 ASSESSMENT COVERAGE.................................CONDO 7 ASSIGNMENT OF POLICY..............GR 11, MPPP 6, DEF 1 B BASE FLOOD .............................................................DEF 1 BASE FLOOD DEPTH................................RATE 18, DEF 1 BASE FLOOD ELEVATION (BFE)....................RATE 17-21, MAP 2, 3, DEF 1 BASEMENT........... APP 1, 3, RATE 24, CERT 3, 4-5, DEF 1 BINDER.............................................................GR 7, DEF 1 BLANKET INSURANCE..............................................DEF 1 BOATHOUSES..............................................................GR 3 BREAKAWAY WALLS.......................GR 4, RATE 20, DEF 1 BUILDING ................................GR 2-5, 6-7, APP 3-4, DEF 1 Additions and Extensions ........................ GR 4, RATE 16 Building Coverage Limits.......................................RATE 1 Building in the Course of Construction......................GR 4, APP 5, DEF 2 Buildings In More Than One Flood Zone ................GR 10, RATE 17 Building on Fill...........................................................PR 2 Building Over Water ..............................................GR 3, 6 Building Partially Underground ..................................GR 6 Container-Type Building............................................GR 6 Contents ......................GR 5, 6, 7, APP 4, RATE 1, 25-28 Elevated Building ............................... APP 1, 3, 4, 5, 6, 7, RATE 19-21, DEF 3 Floodproofed Building ....... RATE 30-31,CERT 3-8, DEF 4 Manufactured (Mobile) Home/Travel Trailer ..........GR 2-3, APP 1, 4, 5, 7, RATE 15, 16, PR 1, DEF 3, 5, 9 Section 1316.................................................GR 6, DEF 8 Single Building ..............................................GR 4, DEF 8 Start of Construction ..........................RATE 15-16, DEF 9 Substantial Improvement........APP 5, RATE 15-16, DEF 9 Types of Buildings......................APP 1, 3-7, CONDO 6, 8 BUILDING DIAGRAMS 1-8................. LFG 4-7, CERT 18-19 BUILDING DRAWINGS..........................................LFG 8-59 BUILDING OCCUPANCY...........................................GR 4- 5 C CANCELLATION/NULLIFICATION...........CONDO 8, PRP 2, MPPP 6, CN 1-10, DEF 2, 6 Cancellation/Nullification Request Form...............CN 9-10 Form Completion.......................................................CN 7 Reason Codes for Cancellation/Nullification...........CN 1- 7 Refunds .................................................................CN 1- 7 CERTIFICATIONS............................................... CERT 1-19 CISTERNS....................................................GR 3, 5, DEF 2 CLAIMS...................................................................... CL 1- 2 Increased Cost of Compliance (ICC) Claims ............. CL 2 Insured's Responsibilities.......................................... CL 1 Producer's Responsibilities ................................... CL 1, 2 Single Adjuster Program.............................CL 1-2, DEF 8 Training.....................................................................CL 2 CLAIMS COORDINATING OFFICE (CCO).....CL 1-2, DEF 2 CLOSED BASIN LAKE ..................................... CN 6, DEF 2 COASTAL BARRIER .................................................. DEF 2 COASTAL BARRIER RESOURCES SYSTEM (CBRS)...................................CBRS 1-12, DEF 2 Coastal Barrier Improvement Act of 1990 (CBIA).......................................CBRS 1, DEF 2 Coastal Barrier Resources Act of 1982 (CBRA)..........................GR 1, CBRS 1, DEF 2 List of CBRS Communities..............................CBRS 3-12 COASTAL HIGH HAZARD AREA .......... RATE 29-30, DEF 2 COINSURANCE ....................................... CONDO 7, DEF 2 COMMERCIAL CONTENTS ....................... GR 5, CONDO 2 COMMISSION, PRODUCER’S ....... GR 11, CONDO 7, CN 8 COMMON INTERIOR WALLS ...................................... GR 4 COMMUNITY (See also PROBATION and SUSPENSION) ................................ GR 1, APP 2-3, DEF 2 Community Eligibility................................................. GR 1 Community Number.................................... APP 3, DEF 2 Community Status .................................................. APP 3 Non-Participating Community ....................... GR 1, APP 3 Participating Community...............................GR 1, DEF 7 Regular Program Community.................................. DEF 8 COMMUNITY RATING SYSTEM (CRS) .... CRS 1-28, DEF 2 CONDOMINIUM ASSOCIATION ........... CONDO 1-2, DEF 2 CONDOMINIUMS ................................ CONDO 1-31, DEF 2 CONTACT INFORMATION, NFIP............................ REF 3- 6 CONTENTS ..................... GR 5, 6, 7, APP 4, RATE 1, 25-28 CONSTRUCTION DATA..........................................APP 4- 6 CONTINUOUS LAKE FLOODING................................. CN 6 COOPERATIVES.......................................................... GR 5 COUNTYWIDE MAP.......................................MAP 1, DEF 3 COURSE OF CONSTRUCTION ...................... GR 4, APP 5, DEF 2 COVERAGE ............GR 9-10, RATE 1-10, CONDO 6-7, 8-9, PRP 3, MPPP 3-4, END 1 Additional Coverage or Increase in Coverage.........END 1 Amount of Insurance Available ............................. RATE 1 Building Coverage ...........................GR 2-5, 6-7, RATE 1, CONDO 8, PRP 3 Contents Coverage................ GR 5, 6, 7, APP 4, RATE 1, CONDO 9, PRP 3 Contents-Only Coverage ................ RATE 55, PRP 1, 2, 3 Limits of Coverage................................GR 9-10, RATE 1, CONDO 6-7, 8-9, PRP 3, MPPP 3- 4 Reduction or Reformation/Removal of Insurance.................... GR 10, END 1, MPPP 5, PR 1 CRAWL SPACE............................RATE 24, CERT 2, LFG 2 CREDIT CARD PAYMENT .........APP 6, 7, REN 1, 8, MAP 4 CREDIT CARD PAYMENT FORM .......................... REN 1, 8 D DATE OF CONSTRUCTION....................APP 4-5, RATE 15 DEF 3 DECLARATIONS PAGE ........................... MPPP 4-5, DEF 3 DEDUCTIBLE BUYBACK ........................... RATE 12, DEF 3 DEDUCTIBLE FACTORS ................... RATE 13, CONDO 22 DEDUCTIBLES................... GR 9, APP 4, RATE 12, 13, 17, CONDO 7, 22, PRP 2, MPPP 5, END 2 DEFINITIONS ........................................................ DEF 1-10 DESCRIBED LOCATION............................................ DEF 3 DIAGRAM NUMBER................................................... DEF 3 DIRECT PHYSICAL LOSS BY OR FROM FLOOD ..... DEF 3 DIRECT PROGRAM .................................. REF 2, 3, GR 11, APP 8, CONDO 7 DISASTER ASSISTANCE..................... GR 2, APP 2, PRP 4 IND 1 October 1, 2005 DOUBLEWIDE MANUFACTURED (MOBILE) HOME ...........................................................APP 1, DEF 3 DUPLICATE POLICIES.............................................CN 2, 5 DWELLING .................................................................DEF 3 DWELLING FORM (See also STANDARD FLOOD INSURANCE POLICY).........GR 1, CONDO 8, POL 1, 2-21 E EFFECTIVE DATE ............................ GR 7-9, PRP 1, REN 2 ELEVATED BUILDING (See also LOWEST FLOOR GUIDE) ... APP 1, 3, 4, 5, 6, 7, RATE 19-21, DEF 3 ELEVATION CERTIFICATE.................APP 5-6, LFG 2, 3-7, CERT 1-3, 9-19 ELEVATION DIFFERENCE..........................RATE 17-19, 30 ELIGIBLE BUILDINGS .............................GR 2-5, CONDO 6 ELIGIBLE COMMUNITY (See PARTICIPATING COMMUNITY) ELIGIBLE CONTENTS..............................................GR 5, 6 EMERGENCY PROGRAM ................. GR 1, RATE 1, DEF 3 ENCLOSED AREA ....................................... APP 3, LFG 1-2 ENCLOSURE/ENCLOSED AREA (See also LOWEST FLOOR GUIDE)...............................APP 1, 3, RATE 19-20, LFG 1-2, 3, 5, 7, DEF 3 ENDORSEMENT........................................GR 9, CONDO 8, PRP 2, MPPP 6, END 1-14, PR 1 Endorsement Processing Prior to Policy Renewal......END 3 Endorsement Rules: Changing Deductibles ........... END 2 Endorsement Rules: Conversion of Standard Rated Policy to PRP Due to Misrating or Map Revision .. END 2 Endorsement Rules: Correcting Property Address . END 2 Endorsement Rules: Coverage Endorsements....... END 1 Endorsement Rules: Misrated Policy...................... END 2 Endorsement Rules: Rating Endorsements......... END 1-2 Endorsements During Renewal Cycle .................... REN 2 General Change Endorsement Form............... END 13-14 Preparation of Form ............................................ END 3-4 Rating Examples............................................... END 5-12 Refund Processing.............................................. END 3-4 EQUIPMENT (See MACHINERY AND EQUIPMENT) EROSION....................................................................DEF 3 ERRORS, RATING.................................................. END 1-2 EVIDENCE OF INSURANCE ........................................GR 7 EXPENSE CONSTANT...............................................DEF 3 F FEDERAL LAND ...........................................................GR 1 FEDERAL POLICY FEE ...................................RATE 12, 17, CONDO 7, MPPP 5, DEF 3 FEMA ............................ REF 1, RATE 21, 30, CL 1, 2, RL 1, DEF 1, 2, 3, 4, 5, 6, 7, 9, 10 FHBM (See FLOOD HAZARD BOUNDARY MAP) FICO (See FLOOD INSURANCE CLAIMS OFFICE) FINANCIAL ASSISTANCE/SUBSIDY ARRANGEMENT.................................... MPPP 2, 6, DEF 3 FINISHED (HABITABLE) AREA ..................................DEF 3 FINISHED BASEMENT...............................................APP 1 FIRM (See FLOOD INSURANCE RATE MAP) FIRM ZONES ............................................................. MAP 2 FLOOD.....................................................................DEF 3-4 FLOOD DISASTER PROTECTION ACT OF 1973 .....................................................MPPP 1, 3 FLOOD HAZARD BOUNDARY MAP (FHBM)...............GR 1, MAP 1, 2, 4-5, 7, DEF 4 FLOOD INSURANCE CLAIMS OFFICE (FICO)............ CL 1, DEF 4 FLOOD INSURANCE RATE MAP (FIRM) ....................GR 1, CERT 2, MAP 1, 3, 4-5, 6, DEF 4 FLOOD MAP “GRANDFATHERING”.................RATE 21-23, PRP 1, DEF 4 FLOOD MAPS...............................................GR 1, MAP 1-7 Changing or Correcting a Flood Map...................... MAP 3 Countywide Map.........................................MAP 1, DEF 3 FEMA Map Assistance Center................................MAP 3 FEMA MapService Center.....................REF 4, MAP 4, 5 “FIRMettes” ............................................................MAP 4 Letter of Map Amendment (LOMA) ............... CN 5-6, 6-7, MAP 3, DEF 5 Letter of Map Revision (LOMR) .................... CN 5-6, 6-7, MAP 3, DEF 5 Locating a Specific Property ................................MAP 2-3 Map "Grandfather" Rules.......RATE 21-23, PRP 1, DEF 4 Map Panel Number ................................................MAP 1 Map Revision.....................PRP 2, 3, END 2, CN 3-4, 6-7, MAP 3, 4, DEF 6 Map Zones (Flood Zones) ......................................MAP 2 Ordering Information and Prices.........................MAP 4, 5 Physical Map Revision ..........................................MAP 3 FLOOD VENTS (See PROPER OPENINGS) FLOOD RESPONSE OFFICE (FRO) .......................... DEF 4 FLOODPLAIN ............................................................. DEF 4 FLOODPLAIN MANAGEMENT................................... DEF 4 FLOODPROOFING...APP 6, RATE 30-31, CERT 3-8, DEF 4 FLOODPROOFING CERTIFICATE FOR NON-RESIDENTIAL STRUCTURES ...................CERT 7-8 FLOODPROOFING CERTIFICATE, RESIDENTIAL BASEMENT .................................CERT 5-6 FORCED PLACEMENT (MANDATORY PURCHASE).......... GR 2, MPPP 2, CN 2, DEF 5 FREEBOARD.............................................................. DEF 4 G GARAGES........................................................ GR 2, LFG 1 GENERAL CHANGE ENDORSEMENT (See ENDORSEMENT) GENERAL PROPERTY FORM (See also STANDARD FLOOD INSURANCE POLICY)............ GR 1, POL 1, 22-40 GENERAL RULES...................................................GR 1-11 GRADE ELEVATION .................................................. DEF 4 “GRANDFATHERING” (See FLOOD MAP “GRANDFATHERING”) GROUP FLOOD INSURANCE ......................... GR 2, DEF 4 H HABITABLE AREA (See FINISHED AREA) HISTORIC BUILDING..............................RATE 15, DEF 4-5 HIGH-RISE BUILDING.............................. CONDO 6, DEF 4 HOMELAND SECURITY, U.S. DEPARTMENT OF...REF 1, DEF 3 I ICC (See INCREASED COST OF COMPLIANCE) IMPROVEMENTS....................................................... DEF 5 INCIDENTAL OCCUPANCY ......................................... GR 5 INCREASED COST OF COMPLIANCE (ICC) COVERAGE.. GR 9-10, RATE 14, 17, CONDO 21, MPPP 1, CL 2, DEF 5 INELIGIBLE COMMUNITY (See NON-PARTICIPATING COMMUNITY) INELIGIBLE PROPERTY...........................................GR 6-7 INFLATION FACTOR........................................GR 9, REN 1 INSECT SCREENING (BELOW LOWEST ELEVATED FLOOR) ........................................ RATE 7, 20, CONDO 19 L LAPSE IN COVERAGE............................................REN 1-2 LATTICE (BELOW LOWEST ELEVATED FLOOR)............... RATE 7, 20, 46, CONDO 19 LETTER OF DETERMINATION REVIEW (LODR) ................ CN 5, DEF 5 LETTER OF MAP AMENDMENT (LOMA) .........PRP 2, END 2, CN 1, 5-6, 6-7, MAP 3, DEF 5 IND 2 October 1, 2005 LETTER OF MAP REVISION (LOMR).........PRP 2, END 2, CN 1, 5-6, 6-7, MAP 3, DEF 5 LOSS HISTORY................................................ PRP 1, RL 1 LOSS INPROGRESS.................................................DEF 5 LOWEST ADJACENT GRADE....................................DEF 5 LOWEST FLOOR......APP 6, RATE 17-21, LFG 1-59, DEF 5 Building Diagrams 1-8.................... LFG 4-7, CERT 18-19 Building Drawings .............................................LFG 8-59 Lowest Floor Determination..................................LFG 1- 7 Lowest Floor Elevation...........APP 6, RATE 17-21, DEF 5 Use of Elevation Certificate ..................................... LFG 2 LOWEST FLOOR GUIDE.......................................LFG 1-59 LOW-RISE BUILDING ..............................CONDO 6, DEF 5 M MACHINERY AND EQUIPMENT.......................RATE 19-20, LFG 1, 2, CERT 2 MANDATORY PURCHASE (FORCED PLACEMENT) .......... GR 2, MPPP 2, CN 2, DEF 5 MANUFACTURED (MOBILE) HOMES/ TRAVEL TRAILERS .................. GR 2-3, APP 1, 4, 7, PR 1, DEF 3, 5, 9 Date of Construction ...............................APP 5, RATE 15 Doublewide.................................................APP 1, DEF 3 MANUFACTURED (MOBILE) HOME PARK OR SUBDIVISION .......................................................DEF 5- 6 MAP “GRANDFATHERING” (See FLOOD MAP “GRANDFATHERING”) MAPS (See FLOOD MAPS) MEAN SEA LEVEL (See NATIONAL GEODETIC VERTICAL DATUM [NGVD]) MISCELLANEOUS RULES .........................................GR 11 Application Submission ...........................................GR 11 Assignment of Policy...............................................GR 11 Commission, Producer’s .........................................GR 11 Delivery of Policy.....................................................GR 11 Policy Term.............................................................GR 11 MITIGATION ................................................................. RL 1 MODULAR BUILDING.................................................DEF 6 MORTGAGE PORTFOLIO PROTECTION PROGRAM (MPPP).......................GR 2, MPPP 1-6, DEF 6 MORTGAGEE ...............APP 2, RATE 17, PRP 4, MPPP 1-6 MUDFLOW..................................................................DEF 6 MULTI-FAMILY RESIDENCE (DWELLING) (See 2-4 FAMILY RESIDENCE [DWELLING]) N NATIONAL FLOOD INSURANCE ACT OF 1968 (See ACT) NATIONAL FLOOD INSURANCE PROGRAM (NFIP) ........... REF 1, DEF 6 NATIONAL GEODETIC VERTICAL DATUM (NGVD)..DEF 6 NATURAL GRADE......................................................DEF 6 NEW CONSTRUCTION ..............................................DEF 6 NFIP BUREAU AND STATISTICAL AGENT........REF 2, 5-6, CL 1, 2, RL 1, DEF 6 NFIP CONTACT INFORMATION .............................REF 3-6 NFIP SERVICING AGENT..................REF 2, 3, RL 1, DEF 6 NFIP SPECIAL DIRECT FACILITY (SDF) ..................REF 2, RL 1, DEF 6 NON-PARTICIPATING COMMUNITY ...........................GR 1 NON-PAYMENT.........................................................CN 2-3 NON-RESIDENTIAL........GR 5, 7, CONDO 2, PRP 3, DEF 6 NOTICE OF LOSS ........................................................ CL 1 NULLIFICATION (See CANCELLATION/NULLIFICATION) O OCCUPANCY CLASSIFICATION...................GR 4-5, APP 3 OTHER INSURANCE.....................................MPPP 6, CN 2 OTHER RESIDENTIAL......................................GR 5, DEF 6 OTHERWISE PROTECTEDAREAS.....................CBRS 1- 2 OUT-AS-SHOWN DETERMINATION CN 3, MAP 3, DEF 6- 7 OVER WATER ..........................................................GR 3, 6 P PAPERWORK BURDEN DISCLOSURE NOTICE .......................................................REF 7, APP 11 PARTICIPATING COMMUNITY........................GR 1, DEF 7 PHYSICAL MAP REVISION (PMR).............................MAP 3 POLICIES AVAILABLE .............................................. GR 1- 2 POLICY ...................................................................... DEF 7 POLICY RENEWALS..........GR 9, PRP 2, MPPP 5, REN 1- 8 Credit Card Payment Form.................................REN 1, 8 Endorsements During Renewal Cycle.....................REN 2 Final Notice ................................................. REN 2, 3, 6- 7 Insufficient Renewal Information.............................REN 2 Renewal Effective Date Determination....................REN 2 Renewal Notice ....................................... REN 1, 2, 3, 4- 5 Repetitive Loss Target Group Policies ........REN 2, RL 1- 5 Waiting Period .................................................... REN 1, 2 POLICY TERM.................. GR 11, APP 1-2, PRP 4, MPPP 3 POLLUTANTS ............................................................ DEF 7 PONDING HAZARD.................................................... DEF 7 POST-FIRM BUILDING (CONSTRUCTION)..........RATE 16, DEF 7 PRE-FIRM BUILDING (CONSTRUCTION) ....... RATE 15-16, DEF 7 PREFERRED RISK POLICY (PRP) ............................. GR 2, PRP 1-7, DEF 7 Completing PRP Application Form....................... PRP 4- 5 Conversion of Standard Rated Policy to PRP Due to Map Revision, LOMA, or LOMR............................ PRP 4 Conversion of Standard Rated Policy to PRP Due to Misrating............................................................... PRP 2 Coverage Limits...................................................... PRP 2 Coverage/Premium Tables ..................................... PRP 3 Deductibles............................................................. PRP 2 Discounts/Fees/ICC Premium.................................PRP 2 Documentation ....................................................... PRP 2 Eligibility Requirements ...................................... PRP 1, 3 Endorsements ........................................................ PRP 2 General Description................................................PRP 1 PRP Form............................................................ PRP 6- 7 Renewal ................................................................. PRP 2 Replacement Cost Coverage..................................PRP 2 PREMIUM..........................................................RATE 16-17 Credit Card Payment .......................... APP 6, 7, REN 1, 8 Credit Card Payment Form ................................. REN 1, 8 Premium Calculation...................................... RATE 16-17 Premium Discounts.................................................CRS 1 Premium Payment ........................ APP 6, 7, RATE 16-17, CONDO 9, PRP 5, MPPP 4, REN 1- 2 Prepaid Amount (Total)........................................... DEF 7 Prepaid Premium (Total)......................................... DEF 7 Presentment of Payment (Premium)....................... DEF 7 Refunds...........................................END 1-2, 3-4, CN 1- 6 PREPAID AMOUNT (TOTAL) .................................... DEF 7 PREPAID PREMIUM (TOTAL) ................................... DEF 7 PRESENTMENT OF PAYMENT (PREMIUM) ............ DEF 7 PRINCIPAL RESIDENCE ........................................... DEF 7 PRINCIPALLY ABOVE GROUND BUILDING ............. DEF 7 PROBATION..................................................... GR 1, DEF 7 PROBATION SURCHARGE (PREMIUM) ....GR 1, RATE 12, DEF 7 PROGRAM COORDINATOR, WYO............................ REF 2 PROOF OF INSURANCE ............................................. GR 7 PROOF OF LOSS..........................................................CL 1 PROPER OPENINGS (FLOOD VENTS).............................. . LFG 1, 2, 3, 5, 7, DEF 7 PROPERTY LOCATION ...............APP 2-3, PRP 4-5, END 3 PROPERTY REMOVED TO SAFETY EXPENSE ....... DEF 7 PROVISIONAL RATING .................... GR 10, PR 1-5, DEF 7 Completing the Provisional Rating Questionnaire: General Directions...................................................PR 2 Completing the Provisional Rating Questionnaire: Guidance for Determining Building Elevated on Fill.....PR 2 IND 3 October 1, 2005 Eligibility Requirements.............................................PR 1 General Description ..................................................PR 1 Notification Requirements .........................................PR 1 Provisional Rating Example.......................................PR 4 Provisional Rating Questionnaire ..............................PR 3 Reformation: Endorsement Procedure ......................PR 1 Reformation: Endorsement Alternative......................PR 1 Reformation: Limitations............................................PR 1 Sample Notice to Accompany Provisionally Rated Policies ....................................PR 5 R RATE TABLES .....................RATE 1-14, 32, CONDO 10-22, PRP 3, MPPP 1, PR 3, CRS 1 RATING........................... GR 10, RATE 1-61, CONDO 1-31, CERT 3, END 1-2 Alternative Rates.................................... RATE 21, END 2 Amount of Insurance Available..............................RATE 1 AR, AR Dual Zones.............................................RATE 19 Buildings in More Than One Flood Zone ................GR 10, RATE 17 Condominiums.............................................CONDO 1-31 Contents Location ..........................................RATE 25-28 Crawl Space........................................................RATE 24 Deductibles.................................RATE 12, 13, CONDO 7 Effect of Map Revisions on Rates...................RATE 21-23 Elevation Difference.......................................RATE 17-19 FIRMs with Wave Heights ..............................RATE 29-30 Flood Map “Grandfathering” .. RATE 21-23, PRP 1, DEF 4 Floodproofed Buildings...................................RATE 30-31 Key Points for Rating...........................................RATE 17 Optional Elevation Rating .......................RATE 19, LFG 2 Premium Calculation ......................................RATE 16-17 Provisional Rates...........................GR10, PR 1-5, DEF 7 Rate Reduction ...................................................... END 1 Rate Tables..........RATE 1-14, 32, CONDO 10-22, PRP 3, MPPP 1,PR 3, CRS 1 Rating Error......................................................... END 1-2 Rating Examples...............RATE 17-19, 22-23, 29, 47-61, CONDO 23-31, END 5-12, PR 4 Rating Steps ..................................................RATE 15-16 Re-Rating............................................................RATE 23 Submit-for-Rate..................... GR 10, RATE 23-24, DEF 9 Tentative Rates.........GR 10, RATE 21, CONDO 7, DEF 9 V-Zone Optional Rating.......................................RATE 23 V-Zone Risk Factor Rating Form....................RATE 31-46 RCBAP (See RESIDENTIAL CONDOMINIUM BUILDING ASSOCIATION POLICY) RECREATIONAL VEHICLE.........................................DEF 1 REFORMATION.................................GR 10, MPPP 5, PR 1 REFUNDS...........................................END 1-2, 3-4, CN 1-7 REGIONAL OFFICES, NFIP.....................................REF 5-6 REGULAR PROGRAM....................... GR 1, RATE 1, DEF 8 RENEWALS (See POLICY RENEWALS) REPETITIVE LOSS ............ GR 4, 10, REN 2, RL 1-5, DEF 8 REPETITIVE LOSS TARGET GROUP .............. RL 1, DEF 8 REPLACEMENT COST...................APP 4, RATE 20-21, 30, CONDO 7, 8, PRP 2, 5, DEF 8 RESIDENTIAL.......................... GR 4-5, CONDO 1-2, PRP 3 RESIDENTIAL BASEMENT FLOODPROOFING CERTIFICATE.....................................................CERT 5-6 RESIDENTIAL CONDOMINIUM BUILDING ......CONDO 1-2, DEF 8 RESIDENTIAL CONDOMINIUM BUILDING ASSOCIATION POLICY (RCBAP) (See also STANDARD FLOOD INSURANCE POLICY) .......GR 1, 2, APP 4, CONDO 1-31, POL 1, 42-61 Application Form ............................................CONDO 8-9 Assessment Coverage......................................CONDO 7 BuildingType................................................CONDO 6, 8 Cancellation or Endorsement of Existing Unit Owners’ Dwelling Policies........................CONDO 8 Coinsurance ..................................................... CONDO 7 Commission, Producer’s................................... CONDO 7 Coverage, Building ........................................... CONDO 8 Coverage, Contents.......................................... CONDO 9 Coverage Limits...................................... CONDO 6-7, 8- 9 Deductibles................................................. CONDO 7, 22 Determining Rates and Fees ............................ CONDO 9 Eligibility Requirements .................................... CONDO 6 Federal Policy Fee............................................ CONDO 7 Property Covered.............................................. CONDO 6 Rate Tables ............................................... CONDO 10-22 Rating Examples ....................................... CONDO 23-31 Replacement Cost ........................................ CONDO 7, 8 Tentative Rates and Scheduled Buildings......... CONDO 7 ROWHOUSES/TOWNHOUSES ............... CONDO 6, PRP 2 S SCHEDULED BUILDING POLICY ................... GR 2, APP 1, CONDO 7, DEF 8 SCREENING, INSECT (BELOW LOWEST ELEVATED FLOOR) ........................................ RATE 7, 20, CONDO 19 SECTION 1316.................................................GR 6, DEF 8 SEPARATE BUILDING (See SINGLE BUILDING) SFIP (See STANDARD FLOOD INSURANCE POLICY) SHEAR WALLS ................................................ GR 4, DEF 8 SHEET FLOW HAZARD ............................................. DEF 8 SILOS ....................................................................... GR 3, 5 SINGLE ADJUSTER PROGRAM....................CL 1-2, DEF 8 SINGLE BUILDING...........................................GR 4, DEF 8 SINGLE-FAMILY RESIDENCE (DWELLING)........... GR 4-5, DEF 8 SLATS OR SHUTTERS (BELOW LOWEST ELEVATED FLOOR) ........................................ RATE 7, 20, CONDO 19 SOLID PERIMETER FOUNDATION WALLS ............... GR 4, RATE 20, DEF 8 SPECIAL CERTIFICATIONS ...............................CERT 1-19 SPECIAL DIRECT FACILITY (See NFIP SPECIAL DIRECT FACILITY) SPECIAL FLOOD HAZARD AREA (SFHA).....MAP 2, DEF 8 SPECIAL RATINGSITUATIONS...........GR 10, RATE 21-24 Alternative Rates ................................................ RATE 21 Buildings in More Than One Flood Zone...........................................GR 10, RATE 17 Crawl Space.......................................................RATE 24 Map “Grandfather” Rules: Effect of Map Revisions on Rates......................................................RATE 21-23 Policies Requiring Re-Rating .............................. RATE 23 Post-’81 V Zone Optional Rating......................... RATE 23 Provisional Rates........................................ GR 10, DEF 7 Submit-for-Rate.....................GR 10, RATE 23-24, DEF 9 Tentative Rates ........ GR 10, RATE 21, CONDO 7, DEF 9 STANDARD FLOOD INSURANCE POLICY (SFIP) .. GR 1-2, POL 1-61, DEF 8-9 Agreement...................................................POL 3, 23, 43 Claim Guidelines in Case of a Flood..........POL 21, 40, 61 Coinsurance ......................................................... POL 52 Deductibles...........................................POL 12, 32, 51-52 Definitions...................................... POL 3-5, 23-25, 43-45 Dwelling Form........................................ POL 2-21, DEF 8 Exclusions ..................................POL 11-12, 31-32, 50-51 General Conditions.....................POL 12-20, 32-38, 53-59 General Property Form ........................ POL 22-40, DEF 8 Liberalization Clause .................................POL 20, 39, 60 Property Covered......................... POL 5-10, 25-30, 45-50 Property Not Covered......................POL 10-11, 30-31, 50 Residential Condominium Building Association Policy.............................................. POL 42-61, DEF 8-9 Summary of Significant Changes, December 2000........... POL 2, 22, 42 What Law Governs ....................................POL 20, 39, 60 START OF CONSTRUCTION..................................... DEF 9 IND 4 October 1, 2005 STOCK........................................................................DEF 9 SUBMIT-FOR-RATE.................. GR 10, RATE 23-24, DEF 9 SUBSTANTIAL DAMAGE............ GR 9-10, RATE 16, DEF 9 SUBSTANTIAL IMPROVEMENT................................APP 5, RATE 15-16, DEF 9 SUSPENSION...................................................GR 1, DEF 9 T TECHNICAL ASSISTANCE.........................................REF 2 TELEPHONE NUMBERS .........................................REF 3-6 TENTATIVE RATES......GR 10, RATE 21, CONDO 7, DEF 9 TIMESHARES ...............................................................GR 5 TOWNHOUSES/ROWHOUSES................CONDO 6, PRP 2 TRANSFER OF TITLE.................................................GR 11 TRAVEL TRAILERS (See MANUFACTURED [MOBILE] HOMES/TRAVEL TRAILERS) 2-4 FAMILY RESIDENCE (DWELLING) ............GR 5, DEF 9 U UNDERGROUND BUILDING......................................DEF 9 UNFINISHED AREA....................................................DEF 9 UNFINISHED BASEMENT..........................................APP 1 UNIT............................................................................DEF 9 V VALUED POLICY ....................................................... DEF 9 VARIANCE ................................................................. DEF 9 VEHICLES AND EQUIPMENT...................................... GR 5 V-ZONE OPTIONAL RATING ................................. RATE 23 V-ZONE RISKFACTOR RATING FORM...........RATE 31-46 W WAITING PERIOD.....................GR 7-9, MPPP 4, REN 1, 2, PR 1, DEF 10 WALLED AND ROOFED................................. GR 2, DEF 10 WALLS ............................. GR 4, RATE 20, LFG 2, 3, DEF 8 Breakaway Walls .......... GR 4, RATE 20, LFG 2, 3, DEF 1 Common Interior Walls ............................................. GR 4 Shear Walls .................................................. GR 4, DEF 8 Solid Perimeter Foundation Walls............GR 4, RATE 20, LFG 7, DEF 8 WAVE HEIGHT........................APP 6, RATE 29-30, DEF 10 CalculatingWave HeightAdjustment....RATE 29, DEF 10 WHOLE DOLLAR PREMIUM..................................RATE 17 WIND LOSSES...........................................................CL 1-2 WRITE YOUR OWN (WYO) PROGRAM.... REF 1-2, DEF 10 Z ZONE (See also Map Zones under FLOOD MAPS)...MAP 2, DEF 10 IND 5 October 1, 2005