U.S. Department of Homeland Security 500 C Street SW Washington, DC 20472 www.fema.gov February 2010 Dear Flood Insurance Manual Subscribers: Revisions have been made to the Producer’s Edition of the NFIP Flood Insurance Manual that will become effective May 1, 2010. All of the changes are shown on the enclosed amended pages, and related footers have been modified to reflect the May 1, 2010, effective date. The significant revisions include the following: • Clarification of presentment of premium dates (GR Section). • Modification of requirement to complete relevant items in Part 2 of the Flood Insurance Application to include all buildings (APP Section). • Increase to the Federal Policy Fee to fund Program administrative costs (RATE, CONDO, and PRP Sections). • Decrease to selected building rates to comply with the statutory annual limitation on premium increases (RATE and CONDO Sections). • Modifications to the Condominium Guidelines and Condominium Rating Charts (CONDO Section). Thank you for your continued support of the NFIP. Sincerely, Edward L. Connor Acting Federal Insurance Administrator National Flood Insurance Program Enclosure February 2010 Dear Flood Insurance Manual Subscribers: Revisions have been made to the Producers Edition of the NFIP Flood Insurance Manual that will become effective May 1, 2010. All of the changes are shown on the enclosed amended pages, and related footers have been modified to reflect the May 1, 2010, effective date. The significant revisions include the following: Clarification of presentment of premium dates (GR Section). Modification of requirement to complete relevant items in Part 2 of the Flood Insurance Application to include all buildings (APP Section). Increase to the Federal Policy Fee to fund Program administrative costs (RATE, CONDO, and PRP Sections). Decrease to selected building rates to comply with the statutory annual limitation on premium increases (RATE and CONDO Sections). Modifications to the Condominium Guidelines and Condominium Rating Charts (CONDO Section). Thank you for your continued support of the NFIP. Sincerely, Edward L. Connor Acting Federal Insurance Administrator National Flood Insurance Program Enclosure www.fema.gov = Page 1 = = Page 2 = Change Record Page Effective Date: May 1, 2010 Updates to 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 i-vi i-vi GR 1-15 GR 1-15 APP 7-12 APP 7-12 RATE 1-12 RATE 1-12 RATE 21-24, 49-63 RATE 21-24, 49-63 CONDO 1-10, 13-14 CONDO 1-10, 13-14 CONDO 17-20, 23-31 CONDO 17-20, 23-31 PRP 1-8 PRP 1-8 IND 1-5 IND 1-5 = Page 3 = = Page 4 = TABLE OF CONTENTS SECTION PAGE GENERAL RULES ..................................................................................................................... GR 1 I. COMMUNITY ELIGIBILITY .......................................................................................... GR 1 A. Participating (Eligible) Communities .................................................................... GR 1 B. Emergency Program ............................................................................................ GR 1 C. Regular Program .................................................................................................. GR 1 D. Maps ..................................................................................................................... GR 1 E. Probation .............................................................................................................. GR 1 F. Suspension........................................................................................................... GR 1 G. Non-Participating (Ineligible) Communities .......................................................... GR 1 H. Coastal Barrier Resources Act ............................................................................. GR 1 I. Federal Land ........................................................................................................ GR 1 II. POLICIES AND PRODUCTS AVAILABLE ................................................................... GR 1 A. Standard Flood Insurance Policy ......................................................................... GR 1 B. Insurance Products .............................................................................................. GR 2 III. BUILDING PROPERTY ELIGIBILITY .......................................................................... GR 3 A. Eligible Buildings .................................................................................................. GR 3 B. Single Building...................................................................................................... GR 5 C. Walls ..................................................................................................................... GR 5 D. Determination of Building Occupancy .................................................................. GR 5 IV. CONTENTS ELIGIBILITY ............................................................................................. GR 6 A. Eligible Contents .................................................................................................. GR 6 B. Vehicles and Equipment ...................................................................................... GR 6 C. Silos, Grain Storage Buildings, and Cisterns ....................................................... GR 6 D. Commercial Contents Coverage .......................................................................... GR 6 V. EXAMPLES OF ELIGIBLE RISKS ............................................................................... GR 6 A. Building Coverage ................................................................................................ GR 6 B. Contents Coverage .............................................................................................. GR 7 C. Condominiums ..................................................................................................... GR 7 VI. INELIGIBLE PROPERTY ............................................................................................. GR 7 A. Buildings ............................................................................................................... GR 7 B. Container-Type Buildings ..................................................................................... GR 7 C. Buildings Entirely Over Water .............................................................................. GR 7 D. Buildings Partially Underground ........................................................................... GR 7 E. Basement/Elevated Building Enclosures ............................................................. GR 7 VII. EXAMPLES OF INELIGIBLE RISKS ............................................................................ GR 7 A. Building Coverage ................................................................................................ GR 7 B. Contents Coverage .............................................................................................. GR 8 C. Non-Residential Condominium Unit ..................................................................... GR 8 VIII. POLICY EFFECTIVE DATE ......................................................................................... GR 8 A. Evidence of Insurance .......................................................................................... GR 8 B. Start of Waiting Period ......................................................................................... GR 8 C. Presentment of Premium Date Requirements ..................................................... GR 8 D. Effective Date ....................................................................................................... GR 9 IX. COVERAGE ................................................................................................................. GR 12 A. Limits of Coverage ............................................................................................... GR 12 B. Deductibles ........................................................................................................... GR 12 C. Coverage D - Increased Cost of Compliance (ICC) Coverage ............................ GR 12 i May 1, 2010 = Page 5 = TABLE OF CONTENTS SECTION PAGE D. Reduction of Coverage Limits or Reformation ..................................................... GR 12 E. Loss Assessments ............................................................................................... GR 13 F. Improvements and Betterments C .................................... GR 14 X. SPECIAL RATING SITUATIONS ................................................................................. GR 14 A. Tentative Rates .................................................................................................... GR 14 B. Submit-For-Rate ................................................................................................... GR 14 C. Provisional Rates ................................................................................................. GR 14 D. Buildings in More Than One Flood Zone ............................................................. GR 14 E. Different Base Flood Elevations (BFEs) Reported ............................................... GR 15 F. Flood Zone Discrepancies ................................................................................... GR 15 XI. MISCELLANEOUS RULES .......................................................................................... GR 15 A. Policy Term .......................................................................................................... GR 15 B. Application Submission ........................................................................................ GR 15 C. Delivery of the Policy ............................................................................................ GR 15 D. Assignment ........................................................................................................... GR 15 E. P Cns (Direct Business Only) ................................................ GR 15 F. Contract Agent Rule ............................................................................................. GR 15 APPLICATION ............................................................................................................................ APP1 I. USE OF THE FORM .................................................................................................... APP 1 II. BUILDING DESCRIPTION ........................................................................................... APP 1 III. SCHEDULED BUILDING POLICY ............................................................................... APP 1 IV. COMPLETING PART 1 OF THE FLOOD INSURANCE APPLICATION FORM ......... APP 1 A. Policy Status......................................................................................................... APP 1 B. Policy Term (Billing/Policy Period) ....................................................................... APP 1 C. Agent Information ................................................................................................. APP 2 D. Insured Mail Address ........................................................................................... APP 2 E. Disaster Assistance .............................................................................................. APP 2 F. Property Location ................................................................................................. APP 2 G. First Mortgagee .................................................................................................... APP 2 H. Second Mortgagee Or Other ................................................................................ APP 2 I. Community Rating Map Information .................................................................... APP 2 J. Current Community Map Information ................................................................... APP 3 K. State-Owned Property and Buildings on Federal Land ...................................... APP 3 L. Building ................................................................................................................. APP 3 M. Contents ............................................................................................................... APP 6 N. Construction Data ................................................................................................ APP 5 O. Coverage and Rating ........................................................................................... APP 6 P. Signature .............................................................................................................. APP 7 V. COMPLETING PART 2 OF THE FLOOD INSURANCE APPLICATION FORM ......... APP 7 Section I - All Building Types ........................................................................................ APP 8 Section II - Elevated Buildings ...................................................................................... APP 8 Section III - Manufactured (Mobile) Homes/Travel Trailers.......................................... APP 8 VI. MAILING INSTRUCTIONS ........................................................................................... APP 8 VII. HANDLING OF INCOMPLETE OR INCORRECT APPLICATIONS ............................ APP 9 ii May 1, 2010 = Page 6 = TABLE OF CONTENTS (Continued) SECTION PAGE RATING ...................................................................................................................................... RATE 1 I. AMOUNT OF INSURANCE AVAILABLE ..................................................................... RATE 1 II. RATE TABLES ............................................................................................................. RATE 1 III. DEDUCTIBLES ............................................................................................................ RATE 12 A. Buy-Back Deductibles .......................................................................................... RATE 12 B. Changes in Deductible Amount............................................................................ RATE 12 IV. INCREASED COST OF COMPLIANCE (ICC) COVERAGE ....................................... RATE 14 V. RATING STEPS ........................................................................................................... RATE 15 VI. PREMIUM CALCULATION .......................................................................................... RATE 16 A. Emergency Program ............................................................................................ RATE 16 B. Regular Program .................................................................................................. RATE 16 VII. KEY POINTS FOR RATING ......................................................................................... RATE 17 A. Basic Limits and Additional Limits ........................................................................ RATE 17 B. Whole Dollars ....................................................................................................... RATE 17 C. Increased Cost of Compliance (ICC) Premium .................................................... RATE 17 D. Federal Policy Fee ............................................................................................... RATE 17 E. Buildings in More Than One Flood Zone ............................................................. RATE 17 F. Different Base Flood Elevations (BFEs) Reported ............................................... RATE 17 G. Flood Zone Discrepancies ................................................................................... RATE 17 H. Mortgagee on Policy--Higher Deductible Requested ........................................... RATE 17 VIII. REGULAR PROGRAM, POST-FIRM ELEVATION-RATED RISKS ............................ RATE 17 A. Elevation Difference ............................................................................................. RATE 17 B. Examples .............................................................................................................. RATE 18 C. Optional Elevation Rating ..................................................................................... RATE 19 IX. PRE-FIRM ELEVATED BUILDING RATED AT PRE-FIRM RATES ............................ RATE 19 X. AR ZONE AND AR DUAL ZONE RATING ................................................................... RATE 19 XI. POST-FIRM AO ZONE RATING .................................................................................. RATE 19 XII. POST-FIRM RATING OF ELEVATED BUILDINGS IN ZONES B, C, X, A99, AND D......................................................................................................................... RATE 19 XIII. REGULAR PROGRAM V ZONE POST-FIRM CONSTRUCTION ............................... RATE 19 A. Rating All V Zone Buildings .................................................................................. RATE 19 B. Zones VE and V1-V30--Enclosure Containing Machinery or Equipment Below BFE ........................................................................................ RATE 19 C. 1975-81 Post-FIRM V Zone Construction ............................................................ RATE 20 D. 1981 Post-FIRM V Zone Construction ................................................................. RATE 20 E. Elevated Buildings--Post-FIRM V Zone Construction .......................................... RATE 20 XIV. SPECIAL RATING SITUATIONS ................................................................................. RATE 21 A. Tentative Rates .................................................................................................... RATE 21 B. Alternative Rates .................................................................................................. RATE 21 C. Map "Grandfather" Rules--Effect of Map Revisions on Flood Insurance Rates .. RATE 22 D. Post-81 O .......................................................................... RATE 23 E. Policies Requiring Re-Rating ............................................................................... RATE 23 iii May 1, 2009 = Page 7 = TABLE OF CONTENTS (Continued) SECTION PAGE F. Submit-for-Rate .................................................................................................... RATE 24 G. Crawlspace ........................................................................................................... RATE 25 XV. CONTENTS LOCATION .............................................................................................. RATE 26 A. Single Family Dwellings ....................................................................................... RATE 26 B. Multi-Family and Non-Residential Buildings ........................................................ RATE 26 XVI. FIRMS WITH WAVE HEIGHTS ................................................................................... RATE 30 A. Procedure for Calculating Wave Height Adjustment ............................................ RATE 30 B. Wave Heights in Numbered Zones V1-V30 and VE 1981 Post-FIRM Construction ... RATE 30 C. Unnumbered V Zones 1981 Post-FIRM Construction ......................................... RATE 31 D. Rate Selection Procedure .................................................................................... RATE 31 XVII. FLOODPROOFED BUILDINGS ................................................................................... RATE 31 A. Elevation Difference ............................................................................................. RATE 31 B. Rating ................................................................................................................... RATE 31 XVIII.THE V-ZONE RISK FACTOR RATING FORM ............................................................ RATE 32 A. Use ..................................................................................................................... RATE 32 B. Submission ........................................................................................................... RATE 32 XIX. RATING EXAMPLES .................................................................................................... RATE 49 CONDOMINIUMS ..................................................................................................................... CONDO 1 I. METHODS OF INSURING CONDOMINIUMS ............................................................. CONDO 1 A. Residential Condominium: Association Coverage on Building and Contents .... CONDO 1 B. Residential Condominium: Unit Owner's Coverage on Building and Contents. . CONDO 1 C. Nonresidential (Commercial) Condominium: Building and Contents .................. CONDO 1 D. Nonresidential (Commercial) Condominium: Unit Owner's Coverage (Contents) ............................................................................................................. CONDO 2 II. POLICY FORM ............................................................................................................. CONDO 6 III. ELIGIBILITY REQUIREMENTS ................................................................................... CONDO 6 A. General Building Eligibility .................................................................................... CONDO 6 B. Condominium Building in the Course of Construction ......................................... CONDO 6 IV. COVERAGE ................................................................................................................. CONDO 7 A. Property Covered ................................................................................................. CONDO 7 B. Coverage Limits ................................................................................................... CONDO 7 C. Replacement Cost ................................................................................................ CONDO 7 D. Coinsurance ......................................................................................................... CONDO 7 E. Assessment Coverage ......................................................................................... CONDO 7 V. DEDUCTIBLES AND FEES ......................................................................................... CONDO 8 A. Deductibles ........................................................................................................... CONDO 8 B. Federal Policy Fee ............................................................................................... CONDO 8 VI. TENTATIVE RATES AND SCHEDULED BUILDINGS ................................................ CONDO 8 VII. COMMISSIONS (DIRECT BUSINESS ONLY) ............................................................. CONDO 8 iv May 1, 2010 = Page 8 = TABLE OF CONTENTS (Continued) SECTION PAGE VIII. CANCELLATION OR ENDORSEMENT OF UNIT OWNERS' DWELLING POLICIES ...................................................................... CONDO 8 IX. APPLICATION FORM .................................................................................................. CONDO 8 A. Type of Building ................................................................................................... CONDO 8 B. Replacement Cost Value .................................................................................... CONDO 9 C. Coverage .............................................................................................................. CONDO 9 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 III. INELIGIBILITY .............................................................................................................. PRP 2 IV. DOCUMENTATION ...................................................................................................... PRP 2 V. RENEWAL .................................................................................................................... PRP 2 VI. COVERAGE LIMITS ..................................................................................................... PRP 2 VII. REPLACEMENT COST COVERAGE .......................................................................... PRP 2 VIII. DISCOUNTS/FEES/ICC PREMIUM ............................................................................. PRP 2 IX. DEDUCTIBLES ............................................................................................................ PRP 2 X. ENDORSEMENTS ....................................................................................................... PRP 6 XI. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MISRATING .... PRP 6 XII. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MAP REVISION, LOMA, OR LOMR .......................................................................... PRP 6 XIII. CONVERSION OF PRP TO STANDARD RATED POLICY ........................................ PRP 6 XIV. COMPLETING THE FLOOD INSURANCE PREFERRED RISK POLICY APPLICATION ............................................................. PRP 6 A. Policy Status......................................................................................................... PRP 6 B. Policy Term .......................................................................................................... PRP 6 C. Agent Information ................................................................................................. PRP 7 D. I Mailing Address .................................................................................... PRP 7 E. Disaster Assistance .............................................................................................. PRP 7 F. First Mortgagee .................................................................................................... PRP 7 G. Second Mortgagee or Other ................................................................................. PRP 7 H. Property Location ................................................................................................. PRP 7 I. Community ........................................................................................................... PRP 7 J. Building and Contents .......................................................................................... PRP 8 K. Notice ................................................................................................................... PRP 8 L. Premium ............................................................................................................... PRP 8 M. Signature .............................................................................................................. PRP 8 v May 1, 2010 = Page 9 = TABLE OF CONTENTS (Continued) SECTION PAGE LEASED FEDERAL PROPERTIES ........................................................................................... LFP 1 I. GENERAL DESCRIPTION ........................................................................................... LFP 1 II. NOTIFICATION REQUIREMENTS .............................................................................. LFP 1 III. TENTATIVE RATES ..................................................................................................... LFP 1 IV. APPEALS ..................................................................................................................... LFP 1 INDEX ...................................................................................................................................... IND 1 vi October 1, 2009 = Page 10 = GENERAL RULES I. COMMUNITY ELIGIBILITY F. Suspension Flood insurance may not be sold or renewed in A. Participating (Eligible) Communities communities that are suspended from the NFIP. When a community is suspended, coverage Flood insurance may be written only in those remains in effect until expiration. These policies communities that have been designated as cannot be renewed. participating in the National Flood Insurance Program (NFIP) by the Federal Emergency G. Non-Participating (Ineligible) Communities Management Agency (FEMA). When FEMA provides a non-participating B. Emergency Program community with a Flood Hazard Boundary Map (FHBM) or Flood Insurance Rate Map (FIRM) The Emergency Program is the initial phase of a delineating its flood-prone areas, the community is community's participation in the NFIP. Limited allowed 1 year in which to join the NFIP. If the amounts of coverage are available. community chooses not to participate in the NFIP, flood insurance is not available. C. Regular Program H. Coastal Barrier Resources Act The Regular Program is the final phase of a community's participation in the NFIP. In this Flood insurance may not be available for buildings phase, a Flood Insurance Rate Map is in effect and/or contents located in coastal barriers or and full limits of coverage are available. otherwise protected areas. See the Coastal Barrier Resources System section for additional D. Maps information. Maps of participating communities indicate the I. Federal Land degree of flood hazard so that actuarial premium rates can be assigned for insurance coverage on Buildings and/or contents located on land owned properties at risk. Additional information is provided by the federal government are eligible for flood in the Flood Maps section of this manual. insurance if the federal agency having control of the land has met floodplain management 1. Flood Hazard Boundary Map (FHBM) - requirements. All federal land is recorded under the Usually the initial map of a community. Some local community number even if that local communities entering the Regular Program community does not have jurisdiction. will continue to use FHBMs renamed a Flood Insurance Rate Map (FIRM), if there is a Certain Leased Federal Property must be minimum flood hazard. actuarially rated. This includes buildings that the Administrator determines is located on the river- 2. Flood Insurance Rate Map (FIRM) - The facing side of any dike, levee, or other riverine flood official map of the community containing control structure, or seaward of any seawall or detailed actuarial risk premium zones. other coastal flood control structure. See the 3. Rescission - Participating communities in the Leased Federal Property section for additional Emergency Program remain in the information. Emergency Program if an FHBM is rescinded. II. POLICIES AND PRODUCTS AVAILABLE E. Probation A. Standard Flood Insurance Policy Probation, imposed by the FEMA Regional The Standard Flood Insurance Policy (SFIP) Director, occurs as a result of noncompliance with consists of the Dwelling Form, the General NFIP floodplain management criteria. A community Property Form, and the Residential Condominium is placed on probation for 1 year (may be Building Association Policy (RCBAP) Form. The extended), during which time a $50 surcharge is three SFIP forms are reproduced in the Policy applied to all NFIP policies, including the Preferred section of this manual. Risk Policy, issued on or after the Probation Surcharge effective date. Probation is terminated if The table on the next page shows how agents can deficiencies are corrected. However, if a use the three SFIP forms to insure a variety of community does not take remedial or corrective residential and non-residential building and measures while on probation, it can be suspended. contents risks. GR 1 May 1, 2010 = Page 11 = Matching Standard Flood Insurance Policy Forms with Specific Risks SFIP FORM ELIGIBILITY Dwelling Form In NFIP Regular Program community or Emergency Program community, provides Issued to homeowner, building and/or contents coverage for: residential renter, or owner ? Detached, single-family, non-condominium residence with incidental occupancy of residential building limited to less than 50% of the total floor area; containing two to four units. ? Two- to four-family, non-condominium building with incidental occupancy limited to less than 25% of the total floor area; ? Dwelling unit in residential condominium building; ? Residential townhouse/rowhouse; ? Personal contents in a non-residential building. General Property Form Issued to owner of In NFIP Regular Program community or Emergency Program community, provides residential building with five building and/or contents coverage for : ? or more units. Hotel or motel with normal guest occupancy of 6 months or more; ? Tourist home or rooming house with five or more lodgers; ? Apartment building; ? Residential cooperative building; ? Dormitory; ? Assisted-living facility. Issued to owner or lessee of In NFIP Regular Program community or Emergency Program community, provides non-residential building or building coverage and/or contents coverage for these and similar non-residential unit. risks: ? Hotel or motel with normal guest occupancy of less than 6 months; ? Licensed bed-and-breakfast inn; ? Retail shop, restaurant, or other business; ? Mercantile building; ? Grain bin, silo, or other farm building; ? Agricultural or industrial processing facility; ? Factory; ? Warehouse; ? Poolhouse, clubhouse, or other recreational building; ? House of worship; ? School; ? Nursing home; ? Non-residential condominium; ? Condominium building with less than 75% of its total floor area in residential use; ? Detached garage; ? Tool shed; ? Stock, inventory, or other commercial contents. Residential Condominium Building Association Policy (RCBAP) In NFIP Regular Program community only, provides building coverage and, if Issued to residential desired, coverage of commonly owned contents for residential condominium condominium association on building with 75% or more of its total floor area in residential use. behalf of association and unit owners. B. Insurance Products 2008. Information about coverage options and eligibility requirements for the Preferred 1. Preferred Risk Policy Risk Policy is provided in the PRP section of The Preferred Risk Policy (PRP) is available this manual. in moderate-risk flood zones B, C, and X. 2. Mortgage Portfolio Protection Program Formerly, only single-family and two- to four- (MPPP) family dwellings were eligible for coverage. Other residential and non-residential The Mortgage Portfolio Protection Program buildings became eligible for coverage (MPPP) offers a force-placed policy available effective May 1, 2004. Greatly expanded only through a Write Your Own Company. coverage options for residential and non- Additional information is provided in the residential buildings are effective May 1, MPPP section of this manual. GR 2 May 1, 2010 = Page 12 = 3. Scheduled Building Policy 2. Manufactured (Mobile) Homes/Travel Trailers The Scheduled Building Policy is available to cover 2 to 10 buildings. The policy Eligible buildings also include: requires a specific amount of insurance to A manufactured home ( - be designated for each building. To qualify, all buildings must have the same ownership mobile home, is a structure built on a and the same location. The properties on permanent chassis, transported to its which the buildings are located must be site in one or more sections, and contiguous. affixed to a permanent foundation); or 4. Group Flood Insurance A travel trailer without wheels, built on Group Flood Insurance is issued under the a chassis and affixed to a permanent NFIP Direct Program in response to a foundation, that is regulated under the Presidential disaster declaration. Disaster agement assistance applicants, in exchange for a and building ordinances or laws. modest premium, receive a minimum NOTE: All references in this amount of building and/or contents coverage manual to manufactured for a 3-year policy period. The Group Flood (mobile) homes include tra- Insurance Policy cannot be cancelled. vel trailers without wheels. However, an applicant may purchase a regular Standard Flood Insurance Policy a. Manufactured (Mobile) Homes - New through the NFIP. When this is done, the Policies Effective on or After October 1, group flood certificate for the property owner 1982 is void, and premium will not be refunded. To be insurable under the NFIP, a III. BUILDING PROPERTY ELIGIBILITY mobile home: A. Eligible Buildings Must be affixed to a permanent foundation. A permanent foun- Insurance may be written only on a structure with dation for a manufactured (mobile) two or more outside rigid walls and a fully home may be poured masonry slab secured roof that is affixed to a permanent site. or foundation walls, or may be Buildings must resist flotation, collapse, and piers or block supports, either of lateral movement. At least 51 percent of the which support the mobile home so actual cash value of buildings, including that no weight is supported by the machinery and equipment, which are a part of the wheels and axles of the mobile buildings, must be above ground level, unless the home. lowest level is at or above the Base Flood Elevation (BFE) and is below ground by reason of Must be anchored if located in a earth having been used as insulation material in Special Flood Hazard area. For conjunction with energy-efficient building flood insurance coverage, all new techniques. policies and subsequent renewals of those policies must be based 1. Appurtenant Structures upon the specific anchoring The only appurtenant structure covered by requirements identified below: the SFIP is a detached garage at the A manufactured (mobile) home described location, which is covered under located within a Special Flood the Dwelling Form. Coverage is limited to Hazard Area must be anchored to a no more than 10 percent of the limit of permanent foundation to resist liability on the dwelling. Use of this flotation, collapse, or lateral movement by providing over-the-top reduces the building limit of liability. or frame ties to ground anchors; or Appurtenant structure coverage does not in accor apply to any detached garage used or held specifications; or in compliance with for use for residential (dwelling), business, - or farming purposes. agement requirements. GR 3 May 1, 2010 = Page 13 = b. Manufactured (Mobile) Homes - municipal purposes and is eligible for flood Continuously Insured Since September coverage. The area above the boathouse 30, 1982 used for purposes unrelated to the boathouse use (e.g., residential occupancy) All manufactured (mobile) homes on a is insurable from the floor joists to the roof foundation continuously insured since including walls. A common wall between the September 30, 1982, can be renewed boathouse area and the other part of the under the previously existing require- building is insurable. The following items are ments if affixed to a permanent not covered: foundation. a. The ceiling and roof over the Manufactured (mobile) homes in boathouse portions of the building into compliance with the foundation and which boats are floated. anchoring requirements at the time of placement may continue to be renewed b. Floors, walkways, decking, etc., within under these requirements even though the boathouse area, or outside the the requirements are more stringent at a area, but pertaining to boathouse use. later date. c. Exterior walls and doors of the To be adequately anchored, the boathouse area not common to the rest manufactured (mobile) home is of the building. attached to the foundation support d. Interior walls and coverings within the system, which in turn is established boathouse area. (stabilized) into the ground, sufficiently to resist flotation, collapse, and lateral e. Contents located within the boathouse movement caused by flood forces, area, including furnishings and including wind forces in coastal areas. equipment, relating to the operation and storage of boats and other 3. Silos and Grain Storage Buildings boathouse uses. 4. Cisterns The Flood Insurance Application form with 5. Buildings Entirely Over Water - Constructed photographs, but without premium, must be or Substantially Improved Before October 1, submitted to the NFIP for premium 1982 determination. No coverage becomes effective until the NFIP approves the Follow "submit for rate" instructions in the insurance application, determines the rate, Rating section for insurance on Post-FIRM and receives the premium. However, buildings located entirely in, on, or over buildings in existence prior to October 1, water or seaward of mean high tide for these 1982, may continue to be rated using the buildings. Pre-FIRM buildings constructed published rate. before October 1, 1982, are eligible for normal Pre-FIRM rates. 8. Buildings in the Course of Construction If the building was constructed or substan- The NFIP rules allow the issuance of an tially improved on or after October 1, 1982, SFIP to cover a building in the course of the building is ineligible for coverage. construction before the building is walled and roofed. These rules provide lenders an 6. Buildings Partially Over Water option to require flood insurance coverage at the time that the development loan is made to comply with the mandatory purchase Rating section for buildings partially over requirement outlined in the Flood Disaster water. However, Pre-FIRM buildings are Protection Act of 1973, as amended. The eligible for normal Pre-FIRM rates. policy is issued and rated based on the construction designs and intended use of 7. Boathouses Located Partially Over Water the building. The non-boathouse parts of a building into Buildings in the course of construction that which boats are floated are eligible for have yet to be walled and roofed are eligible coverage if the building is partly over land for coverage except when construction has and also used for residential, commercial, or GR 4 May 1, 2010 = Page 14 = been halted for more than 90 days and/or if C. Walls the lowest floor used for rating purposes is 1. Breakaway Walls below the Base Flood Elevation (BFE). Materials or supplies intended for use in For an enclosure's wall to qualify as such construction, alteration, or repair are breakaway, it must meet all of the following not insurable unless they are contained criteria: within an enclosed building on the premises or adjacent to the premises. a. Above ground level; and To determine the eligibility of a residential b. Below the elevated floor of an elevated condominium building under construction, structure; and see page CONDO 6 in this manual. c. Non-structurally supporting (non-load- 9. Severe Repetitive Loss Properties bearing walls); and These must be processed by the NFIP d. Designed to fail under certain wave Special Direct Facility. See the Severe force conditions; and Repetitive Loss section of this manual for e. Designed so that, as a result of failure, it information. causes no damage to the elevated portions of the elevated building and/or B. Single Building its supporting foundation system. To qualify as a single building structure and be 2. Shear Walls subject to the single building limits of coverage, a building must be separated from other buildings Shear walls are used for structural support, by intervening clear space or solid, vertical, load- but are not structurally joined or enclosed at bearing division walls. the ends (except by breakaway walls). Shear walls are parallel (or nearly parallel) A building separated into divisions by solid, to the flow of the water and can be used in vertical, load-bearing walls from its lowest level to any zone. its highest ceiling may have each division insured as a separate building. A solid load-bearing 3. Solid Perimeter Foundation Walls interior wall cannot have any openings and must not provide access from one building or room into Solid perimeter foundation walls are used as another (partial walls). However, if access is a means of elevating the building in A Zones available through a doorway or opening, then the and must contain proper openings to allow structure must be insured as one building unless for the unimpeded flow of floodwaters more the building is self contained; it is a separately than 1 foot deep. titled building contiguous to the ground; it has a Solid perimeter foundation walls are not an separate legal description; and it is regarded as a acceptable means of elevating buildings in separate property for other real estate purposes, V/VE Zones. meaning that it has most of its own utilities and may be deeded, conveyed, and taxed separately. D. Determination of Building Occupancy Additions and Extensions The following terms should be used to determine the appropriate occupancy classification: The NFIP insures additions and extensions attached to and in contact with the building by 1. Single Family Dwellings means of a rigid exterior wall, a solid load-bearing interior wall, a stairway, an elevated walkway, or These are non-condominium residential a roof. buildings designed for principal use as a extensions connected by any of these methods dwelling place for one family, or a single- may be separately insured. Additions and family dwelling unit in a condominium extensions attached to and in contact with the building. Residential single family dwellings building by means of a common interior wall that are permitted incidental occupancies, is not a solid load-bearing wall are always including structures with office, professional, considered part of the building and cannot be private school, or studio occupancies, separately insured. including a small service operation, if such GR 5 May 1, 2010 = Page 15 = occupancies are limited to less than 50 2. Designed and used to assist handicapped percent of the building's total floor area. persons; 2. 2-4 Family Dwellings while the vehicles or machines are inside a building at the described location. These are non-condominium residential buildings designed for principal use as a C. Silos, Grain Storage Buildings, and dwelling place of two to four families. Cisterns Residential buildings, excluding hotels and motels with normal room rentals for less than Contents located in silos, grain storage buildings, 6 months' duration and containing no more and cisterns are insurable. than 4 dwelling units, are permitted incidental occupancies (see D.1 above). The total area D. Commercial Contents Coverage of incidental occupancy is limited to less than 25 percent of the total floor area within the Commercial contents in a residential property building. must be insured on the General Property Form. 3. Other Residential Buildings V. EXAMPLES OF ELIGIBLE RISKS These include hotels or motels where the Examples of eligible risks are provided below. normal occupancy of a guest is 6 months or more, or a tourist home or rooming house A. Building Coverage which has more than four roomers. This also includes residential buildings, excluding 1. Cooperative Building--Entire Building in hotels and motels with normal room rentals Name of Cooperative (General Property for less than 6 months' duration and Form) containing more than four dwelling units. These buildings are permitted incidental Cooperative buildings where at least 75 occupancies (see D.1 above). The total area percent of the area of the building is used for of incidental occupancy is limited to less than residential purposes are considered as 25 percent of the total floor area within the residential occupancies, and can be insured building. Examples of other residential for a maximum building coverage of buildings include dormitories and assisted $250,000 in a Regular Program community living facilities. under the General Property Form. Since they are not in the condominium form of 4. Non-Residential Buildings ownership, they cannot be insured under the RCBAP. This category includes all other eligible occupancies (e.g., garages, poolhouses, 2. Time Sharing Building--Entire Building in recreational buildings, agricultural buildings, Name of Corporation (General Property licensed bed and breakfasts, nursing Form) homes, etc.). Timeshare buildings not in the condominium IV. CONTENTS ELIGIBILITY form of ownership where at least 75 percent of the area of the building is used for A. Eligible Contents residential purposes are considered as residential occupancies under the NFIP, and Contents must be located in a fully enclosed can be insured for a maximum building building. However, under the Dwelling form, in a coverage of $250,000 under the General building that is not fully enclosed, contents must Property Form. be secured to prevent flotation out of the building. Timeshare buildings in the condominium form B. Vehicles and Equipment of ownership are eligible for coverage and must be insured under the RCBAP. These The NFIP covers self-propelled vehicles or buildings are subject to the same eligibility, machines, provided they are not licensed for use rating, and coverage requirements as other on public roads and are: condominiums, including the requirement that 75 percent of the area of the building be used 1. Used mainly to service the described for residential purposes. location; or GR 6 May 1, 2010 = Page 16 = B. Contents Coverage coverage. See the policy contract for specific information. Parts and equipment as open stocknot part of specific vehicle or motorized equipmentare VII. EXAMPLES OF INELIGIBLE RISKS eligible for coverage. Some specific examples of ineligible risks are C. Condominiums provided below. See the policy for a definitive listing of property not covered. Refer to pages CONDO 3-5. A. Building Coverage VI. INELIGIBLE PROPERTY 1. Boat Repair Dock A. Buildings 2. Boat Storage Over Water Coverage may not be available for buildings that 3. Boathouses (exceptions on page GR 4) are constructed or altered in such a way as to place them in violation of state or local floodplain 4. Camper management laws, regulations, or ordinances. 5. Cooperative Unit Within Cooperative Contents and personal property contained in Building these buildings are ineligible for coverage. 6. Decks (except for steps and landing; For example, section 1316 of the National Flood maximum landing area of 16 sq. ft.) Insurance Act of 1968 allows the states to declare a structure to be in violation of a law, regulation, 7. Drive-In Bank Teller Unit (located outside or ordinance. Flood insurance is not available walls of building) for properties that are placed on the 1316 8. Fuel Pump Property List. Insurance availability is restored once the violation is corrected and the 1316 9. Gazebo (unless it qualifies as a building) Declaration has been rescinded. 10. Greenhouse (unless it has at least two rigid B. Container-Type Buildings walls and a roof) 11. Hot tub or spa (unless it is installed as a Gas and liquid tanks, chemical or reactor bathroom fixture) container tanks or enclosures, brick kilns, and similar units, and their contents are ineligible for 12. Open Stadium coverage. 13. Pavilion (unless it qualifies as a building) C. Buildings Entirely Over Water 14. Pole Barn (unless it qualifies as a building) Buildings newly constructed or substantially 15. Pumping Station (unless it qualifies as a improved on or after October 1, 1982, and building) located entirely in, on, or over water or seaward of mean high tide are ineligible for coverage. 16. Storage Tank--Gasoline, Water, Chemicals, Sugar, etc. D. Buildings Partially Underground 17. Swimming Pool Bubble If 50 percent or more of the building's actual cash 18. Swimming Pool (indoor or outdoor) value, including the machinery and equipment, which are part of the building, is below 19. Tennis Bubble ground level, the building or units and their 20. Tent contents are ineligible for coverage unless the lowest level is at or above the BFE and is below 21. Time Sharing Unit Within Multi-Unit Building ground by reason of earth having been used as insulation material in conjunction with energy 22. Travel Trailer (unless converted to a efficient building techniques. permanent onsite building meeting the community's floodplain management permit E. Basement/Elevated Building Enclosures requirements) 23. Water Treatment Plant (unless 51 percent of Certain specific property in basements and under its actual cash value is above ground) elevated floors of buildings is excluded from GR 7 May 1, 2010 = Page 17 = B. Contents Coverage 10 days. When sent by certified mail, use the application date or endorsement date 1. Automobiles--Including Dealer's Stock plus 3 days to determine if the application (assembled or not) or endorsement and premium payment were mailed within 4 days. 2. Bailee's Customer Goods--Including garment contractors, cleaners, shoe repair 2. If the application or endorsement form and shops, processors of goods belonging to the premium payment are received at the others, and similar risks NFIP after 10 days from the date of application or endorsement request, or are 3. Contents Located in a Structure Not not mailed by certified mail within 4 days Eligible for Building Coverage from the date of application or endorsement 4. Contents Located in a Building Not Fully request, then the waiting period will be Walled and/or Contents Not Secured calculated from the date the NFIP receives Against Flotation the application or endorsement . 5. Motorcycles--Including Dealer's Stock As used in VIIl.B.1. and 2. above, the term (assembled or not) 6. Motorized Equipment--Including Dealer's Postal Service but also certain third-party Stock (assembled or not) delivery services. Acceptable third-party delivery services include Federal Express (FedEx), C. Non-Residential Condominium Unit United Parcel Service (UPS), and courier services and the like that provide proof of The owner of a non-residential condominium unit mailing. Third-party delivery is acceptable if the cannot purchase a unit owner's policy. The delivery service provides documentation of the association can purchase a condominium actual mailing date and delivery date to the NFIP association policy to cover the entire building. insurer. Bear in mind that third-party delivery Contents-only coverage may be purchased by services deliver to street addresses but cannot the unit owner. deliver to U.S. Postal Service post office boxes. VIII. POLICY EFFECTIVE DATE C. Presentment of Premium Date Requirements for Loan Closing A. Evidence of Insurance FEMA requires the Write-Your-Own companies A copy of the Flood Insurance Application and and the NFIP Servicing Agent to record the premium payment, or a copy of the declarations presentment of premium date, the closing date page, is sufficient evidence of proof of purchase and, the premium payer (insured, lender, title for new policies. The NFIP does not recognize company, settlement attorney, etc.). binders. However, the NFIP recognizes Certificates of Insurance for renewal policies. The NFIP rules allow the policy to be effective at closing provided that the coverage is applied B. Start of Waiting Period for and the presentment of premium is made at or before the closing. There is a standard 30-day waiting period for new applications and for endorsements to increase Presentment of premium is defined as: coverage. 1. The date of the check or credit card 1. If the application or endorsement form and payment by the applicant or th the premium payment are received at the representative if the premium payment is NFIP within 10 days from the date of not part of a loan closing. application or endorsement request, or if mailed by certified mail within 4 days from 2. The date of the closing, if the premium the date of application or endorsement payment is part of a loan closing. request, then the waiting period will be calculated from the application or For a loan closing, premium payment from the endorsement date . Use the application date escrow account ( ), title company, or endorsement date plus 9 days to or settlement attorney is considered made at determine if the application or endorsement closing, if the premium is received by the writing and premium payment were received within company within 30 days of the closing date. GR 8 May 1, 2010 = Page 18 = NOTE: An agency check may be used if 2. If premium payment is from other than settlement paperwork or a photocopy of escrow account (lenders check), title the original check from the lender, title company, or settlement attorney, and the company, or settlement attorney is application is dated on or before the loan provided as documentation. closing date, the effective date is the closing date if the application and If the premium payment is not part of the premium are received within 10 days of closing, the closing date is the effective date the closing date (closing date plus 9 only if the application date and check date or days). If received after 10 days, the credit card payment date are on or before the effective date is the receipt date closing and the payment is received by the regardless of flood zone. company within 10 days from the application date or prior to the closing date. If a loss occurs during the first 30 days of the policy period, the insurer must obtain D. Effective Date documentation, such as settlement papers, to verify the effective date of the policy 1. New Policy – Standard 30-Day Waiting before adjusting the loss. Period 3. New Policy – No Waiting Period (in The effective date of a new policy will be connection with lender requirement) 12:01 a.m., local time, on the 30th calendar The 30-day waiting period does not apply day after the application date and the when flood insurance is required as a result presentment of premium. (Example: a policy of a lender determining that a loan on a applied for on May 3 will become effective building in a Special Flood Hazard Area 12:01 a.m., local time, on June 2.) The (SFHA) that does not have flood insurance effective date of coverage is subject to the coverage should be protected by flood waiting period rule listed under B.1 or B.2 insurance. The coverage is effective upon above. the completion of an application and the presentment of payment of premium. 2. New Policy – No Waiting Period (in Buildings currently located in an SFHA but connection with making, increasing, grandfathered to a non-SFHA for rating are extending, or renewing a loan, whether eligible for this exception to the standard 30- conventional or otherwise) day waiting period. Flood insurance that is initially purchased in (Example: presentment of premium and connection with the making, increasing, application date--April 3, policy effective extending, or renewal of a loan shall be date--April 3.) The waiting period rule listed effective at the time of loan closing, provided under B.1 or B.2 must be used. If a loss that the policy is applied for and the occurs during the first 30 days of the policy presentment of premium is made at or prior period, the insurer must obtain a copy of the to the loan closing. (Example: presentment letter requiring mandatory purchase, to of premium and application date--April 3, verify the effective date of the policy before refinancing--April 3 at 3:00 p.m., policy adjusting the loss. The letter must be dated effective date--April 3 at 3:00 p.m.). on or before the policy effective date. Use the rules below to determine the 4. New Policy – 1-Day Waiting Period (when effective date. the initial purchase of flood insurance is in connection with the revision or 1. Premium payment from the escrow updating of a Flood Hazard Boundary account (lenders check), title company, Map or Flood Insurance Rate Map) or settlement attorney is considered made at closing if the check is received During the 13-month period beginning on by the writing company within 30 days of the effective date of the map revision, the the closing date (closing date plus 29 effective date of a new policy shall be 12:01 days) and the application is dated on or a.m., local time, following the day after the before the closing date. If received after application date and the presentment of 30 days, the effective date is the receipt premium. This rule only applies where the date regardless of flood zone. Flood Hazard Boundary Map (FHBM) or GR 9 May 1, 2010 = Page 19 = Flood Insurance Rate Map (FIRM) is revised made at or prior to the loan closing. The to show the building to be in a Special Flood waiting period rule listed under B.1 or B.2 Hazard Area (SFHA) when it had not been applies unless the premium payment was in an SFHA. (Example: FIRM revised-- made from the escrow account (lende January 1, 2009, policy applied for and check), title company, or settlement presentment of premium--August 3, 2009, attorney. policy effective date--August 4, 2009.) The If a loss occurs during the first 30 days of waiting period rule listed under B.1 or B.2 the policy period, the insurer must obtain above must be used. This rule applies to all documentation, such as settlement papers, property owners including condominium to verify the effective date of the policy associations. before adjusting the loss. If a loss occurs during the first 30 days of Second, the 30-day waiting period does not the policy period, the insurer must obtain apply when flood insurance is required as a documentation, such as a copy of the result of a lender determining that a loan previous and current map or other which does not have flood insurance documentation confirming the map revision coverage should be protected by flood or update, to verify the effective date of the insurance, because the building securing a policy before adjusting the loss. loan is located in an SFHA. The coverage is effective upon the completion of an 5. New Policy – No Waiting Period (in application and the presentment of connection with the purchase of an payment of premium. This exemption from RCBAP) the 30-day waiting period applies only to When a condominium association is loans in SFHAs, i.e., those loans for which purchasing a Residential Condominium the statute requires flood insurance. The Building Association Policy (RCBAP), the waiting period rule listed under B.1 or B.2 30-day waiting period does not apply if the above does not apply. condominium association is required to If a loss occurs during the first 30 days of obtain flood insurance as part of the the policy period, the insurer must obtain security for a loan under the name of the documentation, such as a copy of the letter condominium association. The coverage is requiring mandatory purchase, to verify the effective upon completion of an application effective date of the policy before adjusting and presentment of premium. The waiting the loss. period rule listed under B.1 or B.2 applies unless the premium payment was made Third, during the 13-month period ( ) beginning on the effective date of a map title company, or settlement attorney. revision, the effective date of a new policy shall be 12:01 a.m., local time, following the If a loss occurs during the first 30 days of day after the date the increased amount of the policy period, the insurer must obtain coverage is applied for and the documentation, such as settlement papers, presentment of additional premium is to verify the effective date of the policy made. This rule applies only on an initial before adjusting the loss. purchase of flood insurance where the Flood Hazard Boundary Map (FHBM) or 6. New Policy (Submit-for-Rate application) Flood Insurance Rate Map (FIRM) is With three exceptions (described below), revised to show the building to be in an the effective date of a new policy will be SFHA when it had not been in an SFHA. 12:01 a.m., local time, on the 30th calendar The waiting period rule listed under B.1 or day after the presentment of premium. B.2 must be applied. The three exceptions are as follows. If a loss occurs during the first 30 days of the policy period, the insurer must obtain First, there is no waiting period if the initial documentation, such as a copy of the purchase of flood insurance on a submit- previous and current map or other for-rate application is in connection with documentation confirming the map revision making, increasing, extending, or renewing or update, to verify the effective date of the a loan, provided that the policy is applied policy before adjusting the loss. for and the presentment of premium is GR 10 May 1, 2010 = Page 20 = 7. New Policy (rewrite Standard to PRP) 12:01 a.m., local time, on the 30th calendar day following the date of endorsement and The 30-day waiting period does not apply the presentment of additional premium, or when an insured decides to rewrite the on such later date set by the insured to existing policy at the time of renewal from conform with the reason for the change. The Standard to a Preferred Risk Policy (PRP), waiting period rule listed under B.1 or B.2 provided that the selected PRP coverage above must be used. limit amount is no higher than the next highest PRP amount above that which was The two exceptions are as follows. carried on the Standard policy using the highest of building and contents coverage. First, during the 13-month period beginning In those cases where the Standard policy on the effective date of a map revision, the has only building coverage and is rewritten effective date of an endorsement of an as a PRP that includes contents coverage, existing policy shall be 12:01 a.m., local the 30-day waiting period applies. If the time, following the day after the application Standard policy has only contents coverage date and the presentment of premium. This and is rewritten as a contents-only PRP, rule applies only where the FHBM or FIRM the 30-day waiting period does not apply. is revised to show the building to be in an SFHA when it had not been in an SFHA. In addition, if the structure is no longer The waiting period rule listed under B.1 or eligible under the PRP or the insured B.2 above does not apply. decides to rewrite the existing PRP at renewal time to a Standard policy, the Second, the 30-day waiting period does not 30-day waiting period does not apply apply when the additional amount of flood provided the coverage limit amount is no insurance is required in connection with the more than the previous PRP coverage making, increasing, extending, or renewing amount or the next higher PRP amount of a loan, such as a second mortgage, above that. home equity loan, or refinancing. The increased amount of flood coverage shall 8. New Policy (contents only) be effective at the time of loan closing, provided that the increased amount of Unless the contents are part of the security coverage is applied for and the for a loan, the 30-day waiting period applies presentment of additional premium is made to the purchase of contents-only coverage. at or prior to the loan closing. The waiting period rule listed under B.1 or B.2 above 9. New Policy (documentation required) does not apply. representation on the application that the representation on the endorsement that the loan exception applies unless there is a loan exception applies unless there is a loss loss during the first 30 days of the policy during the first 30 days after the period. In that case, the insurer must obtain endorsement effective date. In that case, the documentation of the loan transaction, such insurer must obtain documentation of the as settlement papers, to verify the effective loan transaction, such as settlement papers, date of the policy before adjusting the loss. before adjusting the loss. 10. Community Participation Date 12. Renewals with inflation increase option (Community's Initial Entry or Conversion from Emergency to Regular Program) The 30-day waiting period does not apply when an additional amount of insurance is Process according to rules 1 through 9 requested at renewal time that is no more above and 11 below. than the amount of increase recommended by the insurer on the renewal bill to keep 11. Endorsements pace with inflation. If a revised renewal offer is generated at least 30 days before renewal With two exceptions (described below), the with coverage more than the inflation effective date for a new coverage or an increase option, the new limits will apply at increase in limits on a policy in force shall be policy renewal. GR 11 May 1, 2010 = Page 21 = In either situation, the increased amount of 2. Condominium units, including townhouse/ coverage will be effective at 12:01 a.m. on rowhouse condominium units. (The the date of policy renewal provided the condominium association is responsible for premium for the increased coverage is complying with mitigation requirements.) received before the expiration of the grace 3. Group Flood Insurance Policies. period. 4. Appurtenant structures, unless covered by a 13. Renewals with higher PRP limits separate policy. The waiting period does not apply to a ICC coverage contains exclusions in addition to renewal offer to the insured for the next those highlighted here. See the policy for a list of higher limits available under the PRP. exclusions. 14. Renewals with deductible reduction To be eligible for claim payment under ICC, a The 30-day waiting period does not apply structure must: to a reduction of the deductible effective as a. Be a repetitive loss structure as defined, for of the renewal date. which NFIP paid a previous qualifying claim, in addition to the current claim. The state or IX. COVERAGE community must have a cumulative, A. Limits of Coverage substantial damage provision or repetitive loss provision in its floodplain management Coverage may be purchased subject to the law or ordinance being enforced against the maximum limits of coverage available under the structure; OR Program phase in which the community is participating. Duplicate policies are not allowed. b. Be a structure that has sustained substantial See page RATE 1 for additional information flood damage. The state or community regarding coverage limits. must have a substantial damage provision in its floodplain management law or ordinance B. Deductibles being enforced against the structure. Deductibles apply separately to building The ICC premium is not eligible for the deductible coverage and to contents coverage. See pages discount. First calculate the deductible discount, RATE 12 and RATE 13 for deductible options then add in the ICC premium for each policy year. and factors. D. Reduction of Coverage Limits or C. Coverage D - Increased Cost of Compliance Reformation (ICC) Coverage In the event that the premium payment received For all new and renewal policies effective on or is not sufficient to purchase the amounts of after May 1, 2003, the ICC limit of liability is insurance requested, the policy shall be deemed $30,000. The Standard Flood Insurance Policy to provide only such insurance as can be (SFIP) pays for complying with a State or local purchased for the entire term of the policy for the floodplain management law or ordinance affecting amount of premium received. repair or reconstruction of a structure suffering With two exceptions, where the discovery of flood damage. Compliance activities eligible for insufficient premium or incomplete rating payment are: elevation, floodproofing, relocation, information is discovered after a loss, the or demolition (or any combination of these complete provisions for reduction of coverage activities) of the insured structure. Eligible limits or reformation are described in: floodproofing activities are limited to non- residential structures and residential structures Dwelling Form, section VII, paragraph G. with basements that satisfy FEMA's standards published in the Code of Federal Regulations [44 General Property Form, section VII, CFR 60.6 (b) or (c)]. paragraph G. ICC coverage is mandatory for all SFIPs, except Residential Condominium Building Asso- that coverage is not available for: ciation Policy (RCBAP), section VIII, paragraph G. 1. Policies issued or renewed in the Emergency Program. GR 12 May 1, 2010 = Page 22 = The property must be insured using the correct building owned by the condominium association. SFIP form in order for these two exceptions to The RCBAP does not provide assessment apply. coverage. The Dwelling Form provides assessment coverage only under the The two exceptions are following and apply only circumstances, and to the extents, described when after a loss it is discovered that the below. premium is insufficient to provide the coverage requested, or there is critical rating information 1. No RCBAP missing that is necessary to properly rate the policy: If the unit owner purchases building coverage under the Dwelling Form and 1. Any additional premium due will be there is no RCBAP, the Dwelling Form calculated prospectively from the date of responds to a loss assessment against discovery; and the unit owner for damages to common areas, up to the building coverage limit 2. The automatic reduction in policy limits is under the Dwelling Form. effective the date of discovery. If there is damage to building elements This will provide policyholders with the originally of the unit as well, the building requested limits at the time of a claim arising coverage limit under the Dwelling Form before the date of discovery without paying any may not be exceeded by the combined additional premium. Policyholders will have 30 settlement of unit building damages, days to pay the additional premium due, or 60 which would apply first, and the loss days to obtain additional information and then 30 assessment. days to pay the additional premium due, for the remainder of the policy term to restore the 2. RCBAP Insured to at Least 80 Percent of originally requested limits without a waiting the Building Replacement Cost period. If the unit owner purchases building In addition, payment of the claim will not be coverage under the Dwelling Form and delayed because of additional information there is an RCBAP insured to at least 80 needed to calculate the correct payment. percent of the building replacement cost at the time of loss, the loss assessment If a claim occurs after the notice requesting coverage under the Dwelling Form will additional information or additional premium due pay that part of a loss that exceeds 80 is sent to the policyholder, that claim cannot be processed with the originally requested amount replacement cost. of coverage until the information, if required, and the premium are received by the company within The loss assessment coverage under the required time. the Dwelling Form will not cover the However, all claim payments will be based on purchased by the condominium the coverage provided in accordance with the association. correct flood zone for the building location and not on the zone shown on the flood policy if it is If there is damage to building elements in error. of the unit as well, the Dwelling Form pays to repair unit building elements For example, if a policy for a Post-FIRM, after the RCBAP limits that apply to the elevated building is written incorrectly in a non- unit have been exhausted. The Special Flood Hazard Area, Zone X, and at the coverage combination cannot exceed time of the loss the property is determined to be the building coverage limit under the located in Zone AE, then the claim is paid in Dwelling Form. accordance with the coverage limitations applicable to Zone AE. 3. RCBAP Insured to Less than 80 Percent of the Building Replacement Cost E. Loss Assessments If the unit owner purchases building The SFIP provides limited coverage for loss coverage under the Dwelling Form and assessments against condominium unit owners there is an RCBAP insured to less than for flood damage to common areas of any 80 percent of the building replacement GR 13 May 1, 2010 = Page 23 = cost at the time of loss, the loss X. SPECIAL RATING SITUATIONS assessment coverage cannot be used to reimburse the association for its A. Tentative Rates coinsurance penalty. Tentative rates are applied when producers are The covered damages to the condo- unable to provide all required underwriting minium association building must be information necessary to rate the policy. greater than 80 percent of the building Tentatively rated policies cannot be endorsed to replacement cost at the time of loss increase coverage limits or renewed for another before the loss assessment coverage policy term until required actuarial rating becomes available under the Dwelling information and full premium payment are Form. Covered repairs to the unit, if received by the NFIP. If a loss occurs on a applicable, would have priority over loss tentatively rated policy, the loss payment will be assessments. limited by the amount of coverage that the premium initially submitted will purchase (using For more informatio the correct actuarial rating information), and not Assess the amount requested by application (see Section III. C. 3. of the Dwelling Form, Tentative Rates on page RATE 21). POL 8. B. Submit-For-Rate F. Improvements and Betterments and Some risks, because of their unique underwriting Tenants Coerage characteristics, cannot be rated using this manual. Certain risks must be submitted to the Under the Standard Flood Insurance Policy, NFIP Underwriting Unit to determine the coverage for improvements and betterments is appropriate rate. Refer to page GR 10 for the provided for tenants who have purchased applicable waiting period. personal property coverage. The maximum amount payable for this coverage, which applies Submit-for-rate policies must be re-rated annually to fixtures, alterations, installations, or additions using the newest rates. If the NFIP Direct or WYO company does not have all the underwriting and comprising part of an insured building, is 10 information, it must request the missing percent of the personal property limit of liability information from the insured in order to properly shown on the Declarations Page. Use of rate the risk. improvements and betterments coverage reduces the amount of coverage available for Pre-FIRM risks may not be rated using the personal property. submit-for-rate process except for buildings with subgrade crawlspaces as described on page A tenant may purchase higher limits of coverage RATE 25, paragraph G. for improvements and betterments under the building coverage if the lease agreement with C. Provisional Rates the building owner: Requires that the tenant purchase insurance Rules applicable to provisionally rated policies coverage for are provided in the Provisional Rating section of betterments that are made or acquired; and this manual. States that the tenant is responsible for the D. Buildings in More Than One Flood Zone repair of the building and/or improvements and betterments that become damaged. Buildings, not the land, located in more than one flood zone must be rated using the more Duplicate coverage is not permitted under the hazardous zone. NFIP, so only one policy can be issued for building coverage, and the amount of building This condition applies even though the portion of coverage cannot exceed the maximum the building located in the more hazardous zone allowable under the Act. The policy may be may not be covered under the SFIP, such as a issued either in the name of the building owner deck. or in the names of the building owner and the tenant. GR 14 May 1, 2010 = Page 24 = E. Different Base Flood Elevations (BFEs) insured property upon transfer of title without the Reported written consent of the NFIP. When the BFE shown on a Flood Zone Policies on buildings in the course of construction is different than the and policies insuring contents only may not be assigned. Certificate, the BFE shown on the Elevation Certificate must be used to rate the policy. E. Producers' Commissions (Direct Business Only) F. Flood Zone Discrepancies The earned commission may be paid only to When presented with two different flood zones, property or casualty insurance producers duly use the more hazardous flood zone for rating licensed by a state insurance regulatory authority. unless the building qualifies for the It shall not be less than $10 and is computed for grandfathering rule (see XIV.C. on page RATE both new and renewal policies as follows: Based 22). on the Total Prepaid Amount (less the Federal Policy Fee) for the policy term, the commission XI. MISCELLANEOUS RULES will be 15 percent of the first $2,000 of annualized premium and 5 percent on the excess of $2,000. A. Policy Term The policy term available is 1 year for both NFIP Calculated commissions for mid-term endorse- Direct business policies and policies written ments and cancellation transactions will be based through WYO Companies. upon the same commission percentage that was paid at the policy term's inception. B. Application Submission Commissions for all Scheduled Building Policies Flood insurance applications and presentment of are computed as though each building and premium must be mailed promptly to the NFIP. contents policy was separately written. The date of receipt of premium for the NFIP insurer is determined by either the date received For calculation of commission on an RCBAP, see at its offices or the date of certified mail. In the the CONDO section. context of submission of applications, endorsements, and premiums to the NFIP, the F. Contract Agent Rule o include not only the U.S. Postal Service but also certain third-party delivery services. For details, Company, or an agent under written contract with see the paragraph following VIII.B.2. on page WYO Company, empowered to act on the GR 8. behalf and with authority to advise an applicant for flood insurance that the company Producers are encouraged to submit flood will accept the risk. The effective date for a policy insurance applications by certified mail. Certified written through a Contract Agent has a waiting mail ensures the earliest possible effective date if the application and premium are received by the receipt of the premium and completion of the NFIP insurer more than 10 days from the application. application date. The date of certification becomes the date of receipt at the NFIP. An agent under written contract to a WYO Company is not a Contract Agent if the WYO C. Delivery of the Policy Company reserves the right to reject the risk. The producer is responsible for delivering the The effective date for a policy not written through declarations page and the policy contract of a a Contract Agent has a waiting period that begins new policy to the insured and, if appropriate, to the lender. Renewal policy documentation is sent and completed application. directly to the insured. To establish a Contract Agent relationship D. Assignment acceptable to the NFIP, the WYO Company must include the stipulations above in its written A property owner's flood insurance building policy contract with the agent or employee. may be assigned in writing to a purchaser of the GR 15 May 1, 2010 = Page 25 = = Page 26 = Coverage for the Total Prepaid Amount, payable to the NFIP, must accompany the application. Check desired coverage against the Electronic transactions are permitted if the page RATE 1. Then enter the limits. business process includes authentication of signatures and dates of receipt of premium. Rating WYO companies are responsible for determining the business practices and transaction Enter the rates. Add additional charges/ authentication methods they will use to ensure credits, i.e., deductible reduction/increase, the security and integrity of such transactions. A ICC Premium, CRS Premium Discount, credit card payment by VISA, MasterCard, or Probation Surcharge (if any), and Federal American Express will also be acceptable if a Policy Fee. Calculate the Total Prepaid disclaimer form, signed by the insured, is Amount. submitted with the Flood Insurance Application. The disclaimer will state that cancellation of a policy due to a billing dispute will be permitted Rate Type only for a billing error or fraud. If the credit card information is taken over the telephone by the Select rate type. Note that a new rate type, producer, the producer may sign the Leased Federal Property (LFP), has been authorization form on behalf of the payor only added. (For more information on Leased Federal Property, see LFP Section.) after having read the disclaimer to the payor. V. COMPLETING PART 2 OF THE FLOOD Community Rating System INSURANCE APPLICATION FORM Effective May 1, 2008, the Community After completing Part 1 of the Flood Insurance Rating System (CRS) discount is not Application, the producer must complete all available on NFIP policies for Post-FIRM relevant items in Part 2 of the Application for all structures located in a Special Flood Hazard buildings. Area (SFHA) where the lowest floor elevation used for rating is at least 1 foot or Part 2 of the Application collects information more below the Base Flood Elevation (BFE), about risk factors affecting the building, with the exception of (1) Post-FIRM V-Zone occupancy information, and elevation data buildings with unfinished breakaway wall relative to the ground level. A completed enclosures and machinery or equipment at Elevation Certificate must be attached to the or above the BFE, and (2) subgrade Application before sending it to the NFIP. crawlspaces with certification. To complete Part 2 of the Application, the The subgrade crawlspace exception must producer must: be certified by a community official letter containing the following statement: Obtain all necessary information from the applicant. Then select the building diagram "I certify that the building located at that best illustrates the applicant's building. [address] has a These diagrams are shown in the Elevation crawlspace that was built in compliance with the NFIP requirements for crawlspace Certificate and Instructions, which are reproduced in the Special Certifications construction as outlined in FEMA Technical section of this manual. Bulletin 11-01, Crawlspace Construction for Buildings Located in Special Flood Hazard Transcribe the information from the Areas. applicant and Elevation Certificate onto Part P. Signature 2 of the Application. For renewal applica- tions, enter the policy number in the space The producer must sign the Application and is at the top of the form. Be sure to have the responsible for the completeness and accuracy applicant or the applicant's representative of the information provided on it. Enter the date sign and date the bottom of the form. of application (month/day/year). The waiting The applicant or the applicant's representative period is added to this date to determine the must complete all numbered sections of the policy effective date of the policy listed in the form, check all appropriate boxes, provide all Policy Term section. A check or money order APP 7 May 1, 2010 = Page 27 = information, and respond to all YES/NO If Question 10a is NO, do not answer questions that are applicable to the building. Questions 10b through 10f. (For example, Section II should be completed In Question 10b, enter the size of the area only for Elevated Buildings.) in square feet. SECTION I—ALL BUILDING TYPES If Question 10c is YES, check the single 1. The number of the building diagram most appropriate of boxes 1-4. selected is entered here. Use the diagrams In Question 10d, check YES if the area is shown at the end of the Elevation constructed with openings (excluding Certificate and Instructions. doors), within 1 foot of adjacent grade, to allow the passage of flood waters. Enter 2.-4.The agent may obtain the requested the number of openings and their total area elevation information from Section C of the in square inches. Elevation Certificate, or the applicant or the If Question 10e is YES, provide a information. If the applicant or the description. measurements, they must be taken with a In Question 10f, check YES if the enclosed ruler or tape measure. All measurements area/garage has more than 20 linear feet of are rounded to the nearest foot using the finished wall, paneling, etc; otherwise, ground (grade) immediately next to the check NO. building. SECTION III—MANUFACTURED (MOBILE) NOTE: The terms "grade" and "ground" are HOMES/TRAVEL TRAILERS used interchangeably. The intent is that man-made alterations of the 11. Fill in the make, year of manufacture, grade, such as a declining driveway model number, and serial number. into a building or a dugout entrance to a basement, do not represent 12. Enter the dimensions, excluding any ground level. permanent addition or extension to the manufactured (mobile) home or travel 5. If "OTHER" is checked in Question 5b, a trailer. brief description of the source must be provided. 13. Check YES if permanent additions or extensions are present; otherwise, check 6. If the answer to Question 6a is NO, NO. If YES, enter dimensions. Question 6b should be disregarded. 14. If OTHER is checked, describe the 7. If the answer to Question 7a is NO, anchoring system. Questions 7b, 7c, 7d, and 7e should be ignored. 15. Check the appropriate box for how the manufactured (mobile) home was installed. SECTION II—ELEVATED BUILDINGS 16. Check YES if the manufactured (mobile) If the building is a manufactured (mobile) home is located in a manufactured (mobile) home/travel trailer that has been elevated, home park or subdivision; otherwise, check complete this section in addition to Sections I NO. and III. VI. MAILING INSTRUCTIONS 8. Check the type of foundation used for the building. After completing all sections on the Application, attach all required certifications or other 9. If YES is checked, check the appropriate documents to the applicant's check, draft, or item(s). money order, payable to the NFIP for the Total Prepaid Amount. 10. Refer to page LFG 1 to verify that the area below the elevated floor satisfies the A credit card payment by VISA, MasterCard, or definition of an enclosed area. American Express will also be acceptable if a APP 8 May 1, 2010 = Page 28 = disclaimer form, signed by the insured, is will be placed in a pending file until the submitted with the Flood Insurance Application. completed or corrected information is provided The disclaimer will state that cancellation of a by the producer. For the NFIP direct business, if policy due to a billing dispute will be permitted the missing information is not provided, a policy only for a billing error or fraud. If the credit card will be issued using Tentative Rates. If information is taken over the telephone by the insufficient information is available to tentatively producer, the producer may sign the rate the policy, the flood insurance will be authorization form on behalf of the payor only rejected and the premium remittance refunded. after having read the disclaimer to the payor. For NFIP direct business, in the case of incom- plete applications, the NFIP Servicing Agent will Mail the original copy of the Application with the send the producer a transmittal document and a Total Prepaid Amount to the NFIP. Distribute letter requesting the incomplete or missing copies of the Application to the agency file, the information. Copies of this letter will be provided applicant, and the mortgagee. A copy of the to the named insured and mortgagee(s). The Application and a copy of the premium payment producer should provide the additional or are sufficient to satisfy the mortgagee's proof-of- corrected information to the NFIP Servicing purchase requirements. Agent along with the transmittal document. After receipt of the Application and total prepaid Since coverage cannot be conferred in excess amount, the NFIP will process the Application of the coverage that can be purchased for the and issue the policy. The policy contract and amount presented (received by the NFIP), it is declarations page will be mailed to the insured. important that underpayment errors be corrected Copies of the declaration page will be mailed to immediately. In the case of an underpayment, the producer and mortgagee(s). when both building and contents coverage have been requested, the coverage reduction will be VII. HANDLING OF INCOMPLETE OR prorated between building and contents in INCORRECT APPLICATIONS accordance with NFIP rules. The ratio of building to contents coverage for the full requested If an Application is not complete, or if the coverage will be used to determine the portion of information presented on the Application is not the submitted premium available to purchase correct, the Application will not be processed but building and contents coverage. APP 9 May 1, 2010 = Page 29 = This page intentionally left blank. APP 10 October 1, 2009 = Page 30 = APP 11 October 1, 2009 = Page 31 = APP 12 May 1, 2010 = Page 32 = RATING This section contains information, including rate Examples of some rating situations are shown tables, required to accurately rate a flood on pages RATE 49 through RATE 63. insurance policy. Information and rates for the Preferred Risk Policy (PRP) and Residential A premium table for single family Pre-FIRM Condominium Building Association Policy buildings located in Special Flood Hazard Areas (RCBAP) are found in their respective sections. (SFHAs) is located on page RATE 11. These premiums were calculated using Rate Table 2. The detailed drawings, and accompanying text This premium table is included in this manual to and tables, in the Lowest Floor Guide section help the agent more easily quote premiums for are to be used as a guide for identifying the buildings that do not require elevation lowest floor for rating buildings. This guide will certification. assist in developing the proper rate for the building. I. AMOUNT OF INSURANCE AVAILABLE REGULAR PROGRAM EMERGENCY Basic Additional Total Insurance Insurance Insurance PROGRAM Limits Limits Limits BUILDING COVERAGE $ 35,000 * $ 60,000 $190,000 $250,000 Single Family Dwelling $ 35,000 * $ 60,000 $190,000 $250,000 2-4 Family Dwelling $100,000** $175,000 $ 75,000 $250,000 Other Residential $100,000** $175,000 $325,000 $500,000 Non-Residential CONTENTS COVERAGE $ 10,000 $ 25,000 $ 75,000 $100,000 Residential $100,000 $150,000 $350,000 $500,000 Non-Residential * In Alaska, Guam, Hawaii, and U.S. Virgin Islands, the amount available is $50,000. ** In Alaska, Guam, Hawaii, and U.S. Virgin Islands, the amount available is $150,000. NOTE: For RCBAP, refer to CONDO Section for basic insurance limits and maximum coverage available. II. RATE TABLES Rate tables are provided for the Emergency $100 of coverage. Table 6 provides Program and for the Regular Program according precalculated Pre-FIRM premiums for various to Pre-FIRM, Post-FIRM, and zone coverage limits. See Table 7 for Federal Policy classifications. Tables 1-5 show annual rates per Fee and Probation Surcharge. TABLE 1. EMERGENCY PROGRAM RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) Building Contents Residential .76 .96 Non-Residential .83 1.62 RATE 1 October 1, 2009 = Page 33 = = Page 34 = TABLE 3A. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) FIRM ZONES A99, B, C, X OCCUPANCY Single Family 2-4 Family Other Residential Non-Residential Building Contents Building Contents Building Contents Building Contents No Basement/Enclosure .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 With Basement .89 / .30 1.36 / .43 .89 / .30 .95 / .30 .95 / .30 With Enclosure .89 / .34 1.36 / .49 .89 / .34 .95 / .34 .95 / .34 Elevated on Crawlspace .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 TYPE BUILDING Non-Elevated with .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 Subgrade Crawlspace 1 Manufactured (Mobile) Home .78 / .38 1.20 / .37 .95 / .39 5 Basement & Above 1.53 / .56 1.53 / .56 1.58 / .61 6 Enclosure & Above 1.53 / .65 1.53 / .65 1.58 / .73 Lowest Floor Only - Above 1.20 / .59 1.20 / .59 .97 / .43 Ground Level Lowest Floor Above Ground 1.20 / .37 1.20 / .37 .97 / .31 Level and Higher Floors CONTENTS LOCATION Above Ground Level - More .35 / .12 .35 / .12 .22 / .12 than One Full Floor 1 Manufactured (Mobile) Home .85 / .53 FIRM ZONE D OCCUPANCY Single Family 2-4 Family Other Residential Non-Residential Building Contents Building Contents Building Contents Building Contents No Basement/Enclosure 1.11 / .38 1.11 / .69 1.11 / .38 1.20 / .69 1.20 / .69 With Basement *** *** *** *** *** With Enclosure *** *** *** *** *** Elevated on Crawlspace 1.11 / .38 1.11 / .69 1.11 / .38 1.20 / .69 1.20 / .69 TYPE BUILDING Non-Elevated with 1.11 / .38 1.11 / .69 1.11 / .38 1.20 / .69 1.20 / .69 Subgrade Crawlspace 1 Manufactured (Mobile) Home 1.45 / .75 1.31 / .80 2.49 / .93 5 Basement & Above *** *** *** 6 Enclosure & Above *** *** *** Lowest Floor Only - Above 1.11 / .69 1.11 / .69 1.95 / .62 Ground Level Lowest Floor Above Ground 1.11 / .47 1.11 / .47 1.95 / .59 Level and Higher Floors CONTENTS LOCATION Above Ground Level - More .35 / .12 .35 / .12 .24 / .12 than One Full Floor 1 Manufactured (Mobile) Home 1.95 / .62 2 FIRM ZONES AO, AH (No Basement/Enclosure/Crawlspace/Subgrade Crawlspace Buildings Only) Building Contents 1-4 Family Other Res Residential Non- OCCUPANCY & Non-Res Residential 3 With Certification of Compliance .28 / .08 .23 / .08 .37 / .13 .23 / .13 4 Without Certification of Compliance or Elevation Certificate .93 / .21 1.01 / .36 1.17 / .24 1.97 / .31 1 The definition of Manufactured (Mobile) Home includes travel trailers. See page APP 3. 2 Zones AO, AH Buildings With Basement/Enclosure/Crawlspace/Subgrade Crawlspace: Submit for Rating 3 With Certification of Complianc rates are to be used when the Elevation Certificate shows that the lowest floor is equal to or greater than the community's elevation requirement. 4 out Certification of Compliance rates are to be used only on Post-FIRM structures without an Elevation Certificate or when the Elevation Certificate shows that the lowest floor elevation of a Post-FIRM structure is less than the commu elevation requirement. 5 Includes subgrade crawlspace. 6 Includes crawlspace. *** SUBMIT FOR RATING RATE 3 October 1, 2009 = Page 35 = TABLE 3B. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) FIRM ZONES AE, A1-A30 -- BUILDING RATES One Floor More than One Floor More than One Floor Manufactured No Basement/Enclosure/ No Basement/Enclosure/ With Basement/ 2 4 4 4 (Mobile) Home Crawlspace Crawlspace Enclosure/Crawlspace Elevation of 1-4 Family Other 1-4 Family Other 1-4 Family Other Single Non- Lowest Floor Residential Residential Residential Family Residential Above or & Non- & Non- & Non- 1 Below BFE Residential Residential Residential +4 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .24/ .08 .20 / .08 .24 / .08 .20 / .08 +3 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .25 / .08 .22 / .08 +2 .38 / .08 .25 / .08 .25 / .08 .20 / .08 .25 / .08 .20 / .08 .43 / .08 .34 / .08 +1 .68 / .09 .45 / .10 .46 / .08 .28 / .08 .30 / .08 .25 / .08 .88 / .09 .72 / .08 0 1.42 / .11 1.31 / .12 1.03 / .10 .79 / .15 .73 / .09 .59 / .16 2.25 / .11 1.83 / .09 3 -1 3.79 / 1.39 5.38 / 1.35 3.33 / 1.21 3.64 / .62 1.89 / .67 1.74 / .70 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES AE, A1-A30 -- CONTENTS RATES Lowest Floor Lowest Floor Only More than One Floor Above Ground Level Above Ground Level With Manufactured & Higher Floors 2 (No Basement/Enclosure/ (No Basement/Enclosure/ Basement/Enclosure/ (Mobile) Home 4 4 Crawlspace ) 4 Crawlspace Elevation of Crawlspace ) Lowest Floor Above or Residential Non- Residential Non- Residential Non- Single Non- 1 Below BFE Residential Residential Residential Family Residential +4 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 +3 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 +2 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .31 / .14 +1 .52 / .12 .32 / .18 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .55 / .14 .49 / .19 0 1.24 / .12 .78 / .39 .69 / .12 .53 / .24 .41 / .12 .32 / .12 1.14 / .15 1.13 / .19 3 -1 3.74 / .75 2.41 / 1.10 2.11 / .58 1.61 / .70 .60 / .14 1.06 / .14 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES AE, A1-A30 -- CONTENTS RATES Elevation of Above Ground Level Lowest Floor More than One Full Floor Above or Single Family 2-4 Family Other Residential Non-Residential 1 Below BFE +4 .35 / .12 .35 / .12 .22 / .12 +3 .35 / .12 .35 / .12 .22 / .12 +2 .35 / .12 .35 / .12 .22 / .12 +1 .35 / .12 .35 / .12 .22 / .12 0 .35 / .12 .35 / .12 .22 / .12 -1 .35 / .12 .35 / .12 .22 / .12 -2 .35 / .12 .37 / .12 .24 / .12 1 If Lowest Floor is 1 because of attached garage, submit application for special consideration. Rate may be lower . 2 The definition of Manufactured (Mobile) Home includes travel trailers. See page APP 3 . 3 Use Submit-for-Rate guidelines if either the enclosure below the lowest elevated floor of an elevated building or the crawlspace (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. 4 Includes subgrade crawlspace. *** SUBMIT FOR RATING RATE 4 May 1, 2010 = Page 36 = TABLE 3C. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) UNNUMBERED ZONE A -- WITHOUT 1,6 BASEMENT/ENCLOSURE/CRAWLSPACE BUILDING RATES CONTENTS RATES Occupancy Occupancy Elevation 2 Difference to 1-4 Family Other & Non- Residential Non- TYPE OF ELEVATION 2 nearest foot Residential Residential CERTIFICATE +5 or more .35 / .10 .47 / .15 .61 / .12 .64 / .12 +2 to +4 1.08 / .13 .99 / .20 .86 / .17 .97 / .23 NO ESTIMATED 3 +1 2.07 / .63 2.23 / .74 1.52 / .56 1.45 / .71 BASE FLOOD ELEVATION 0 or below *** *** *** *** +2 or more .40 / .08 .33 / .09 .50 / .12 .48 / .12 0 to +1 1.05 / .12 .90 / .18 .84 / .16 .83 / .21 WITH THE ESTIMATED 4 -1 3.45 / 1.29 4.37 / 1.01 2.68 / .69 2.18 / 1.01 BASE FLOOD ELEVATION -2 or below *** *** *** *** No Elevation 5 Certificate 4.02 / 1.41 5.45 / 1.68 3.33 / .99 3.21 / 1.34 No Elevation Certificate 1 Zone A building with basement/enclosure/crawlspace/subgrade crawlspace 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, enclosure, or crawlspace, Elevation Certificate is optional. 6 Pre-FIRM buildings with basement/enclosure/crawlspace/subgrade crawlspace may use this table if the rates are more favorable to the insured. *** SUBMIT FOR RATING RATE 5 October 1, 2009 = Page 37 = TABLE 3D. REGULAR PROGRAM POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) 1 FIRM ZONES '75-81, V1-V30, VE BUILDING RATES One Floor, No More than One Floor, More than One Floor, Manufactured (Mobile) 2 Basement/Encl/ No Basement/Encl/ With Basement/Encl/ Home 5 5 5 Crawlspace Crawlspace Crawlspace Elevation of 1-4 Family Other 1-4 Family Other 1-4 Family Other Single Non- Lowest Floor Residential & Residential Residential Family Residential Above or Non- & Non- & Non- Below BFE Residential Residential Residential 3 0 2.54 / .46 3.08 / 1.20 2.06 / .46 2.23 / 1.12 1.78 / .46 1.99 / .91 3.82 / .38 5.46 / .34 4 -1 5.44 / 2.79 8.12 / 4.48 4.98 / 2.79 6.99 / 3.41 3.53 / 2.53 3.70 / 3.46 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES '75-81, V1-V30, VE CONTENTS RATES Lowest Floor Lowest Floor Only -- Above Ground Level More than One Floor Manufactured (Mobile) 2 Above Ground Level & Higher Floors (No With Home (No Basement/Encl/ Basement/Encl/ Basement/Enclosure/ 5 5 5 Elevation of Crawlspace ) Crawlspace ) Crawlspace Lowest Floor Residential Non- Residential Non- Residential Non- Single Non- Above or Residential Residential Residential Family Residential Below BFE 3 0 3.96 / .55 3.50 / 2.56 2.57 / .61 2.44 / 1.53 1.45 / .55 1.45 / .55 3.81 / .61 3.97 / 3.27 4 -1 8.68 / 4.22 8.52 / 7.43 5.12 / 3.27 5.84 / 4.63 1.71 / .55 5.21 / .55 *** *** -2 *** *** *** *** *** *** *** *** FIRM ZONES '75-81, V1-V30, VE CONTENTS RATES Elevation of Above Ground Level Lowest Floor More than One Full Floor Above or Single Family 2-4 Family Other Residential Non-Residential Below BFE 3 0 .56 / .25 .56 / .25 .42 / .25 4 -1 .56 / .25 .56 / .25 .42 / .25 -2 .56 / .25 .56 / .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- 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. 5 Includes subgrade crawlspace. ***SUBMIT FOR RATING FIRM ZONES '75-'81, UNNUMBERED V ZONE SUBMIT FOR RATING RATE 6 May 1, 2010 = Page 38 = TABLE 3E. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE 1 1981 POST-FIRM V1-V30, VE ZONE RATES Elevation of the 3 Elevated Buildings Free of Obstruction lowest floor above or below BFE adjusted for Contents Building 2 wave height Replacement Cost Replacement Cost Replacement Cost 4 4 4 Ratio .75 or More Ratio .50 to .74 Ratio Under .50 Residential Non-Residential +4 or more .41 .41 .66 .88 1.34 +3 .41 .41 .80 1.08 1.62 +2 .59 .63 1.03 1.38 2.07 +1 1.08 1.16 1.58 2.11 2.95 0 1.66 1.78 2.03 2.72 3.82 -1 2.40 2.47 2.69 3.55 4.62 -2 3.33 3.51 3.54 4.64 5.92 -3 4.57 4.85 4.56 6.10 7.73 -4 or below *** *** *** *** *** 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- Zone rate table if the rates are more favorable to the insured. See instructions on page RATE 23 for V Zone Optional Rating. 2 Wave height adjustment is not required in those cases where the Flood Insurance Rate Map indicates that the map includes wave height. 3 Free of Obstruction The space below the lowest elevated floor must be completely free of obstructions or any attachment to the building, or may have: (1) Insect screening, provided that no additional supports are required for the screening; or (2) Wooden or plastic lattice with at least 40 percent of its area open and made of material no thicker than ˝ inch; or (3) Wooden or plastic slats or shutters with at least 40 percent of their area open and made of material no thicker than 1 inch. Any of these systems must be designed and installed to collapse under stress without jeopardizing the structural support of the building, so that the impact on the building of abnormally high tides or wind-driven water is minimized. Any machinery or equipment below the lowest elevated floor must be at or above the BFE. See page RATE 20 for more details. 4 These percentages represent building replacement cost ratios, which are determined by dividing the amount of building coverage being purchased by the replacement cost. See pages RATE 20-21 for more details. *** SUBMIT FOR RATING 1981 POST-FIRM V1-V30, VE ZONE Non-Elevated Buildings SUBMIT FOR RATING 1981 POST-FIRM UNNUMBERED V ZONE SUBMIT FOR RATING RATE 7 May 1, 2010 = Page 39 = TABLE 3F. REGULAR PROGRAM -- POST-FIRM CONSTRUCTION RATES ANNUAL RATES PER $100 OF COVERAGE 1 2 , 1981 POST-FIRM V1-V30, VE ZONE RATES 6 Elevation of the Elevated Buildings With Obstruction lowest floor above or below Contents BFE adjusted for Building 3 wave height Replacement Cost Replacement Cost Replacement Cost 5 5 5 Residential Non-Residential Ratio .75 or More Ratio .50 to .74 Ratio Under .50 +4 or more .53 .53 1.46 1.95 2.90 +3 .54 .54 1.63 2.15 3.28 +2 .70 .70 1.91 2.49 3.81 +1 1.25 1.33 2.34 3.14 4.55 0 1.79 1.88 2.76 3.78 5.13 6 -1 2.47 2.61 3.29 4.37 5.88 6 -2 3.43 3.66 4.09 5.38 6.99 6 -3 4.68 4.98 5.27 6.86 8.82 6 -4 or below *** *** *** *** *** 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- 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 Rates provided are only for elevated buildings, except those elevated on solid perimeter foundation walls. For buildings elevated on solid perimeter foundation walls, and for non-elevated buildings, use the Specific Rating Guidelines document. 3 Wave height adjustment is not required in those cases where the Flood Insurance Rate Map indicates that the map includes wave height. 4 With Obstruction The space below has an area of less than 300 square feet with breakaway solid walls or contains equipment below the BFE. If the space below has an area of 300 square feet or more, or if any portion of the space below the elevated floor is enclosed with non-breakaway walls, submit for rating. If the enclosure is at or above the BF, F rate table on the preceding page. The elevation of the bottom enclosure floor is the lowest floor for rating (LFE). See page RATE 20 for more details. 5 These percentages represent building replacement cost ratios, which are determined by dividing the amount of building coverage being purchased by the replacement cost. See pages RATE 20-21 for more details. 6 For buildings with obstruction, 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 1981 POST-FIRM UNNUMBERED V ZONE SUBMIT FOR RATING RATE 8 May 1, 2010 = Page 40 = TABLE 4. REGULAR PROGRAM FIRM ZONE AR AND AR DUAL ZONES RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) 1, 2 PRE-FIRM NOT ELEVATION-RATED RATES OCCUPANCY Single Family 2-4 Family Other Residential Non-Residential Building Contents Building Contents Building Contents Building Contents No Basement/Enclosure .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 With Basement .89 / .30 1.36 / .43 .89 / .30 .95 / .30 .95 / .30 With Enclosure .89 / .34 1.36 / .49 .89 / .34 .95 / .34 .95 / .34 Elevated on Crawlspace .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 TYPE BUILDING Non-Elevated with .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 Subgrade Crawlspace 3 Manufactured (Mobile) Home .78 / .38 1.20 / .37 .95 / .39 Basement & Above 1.53 / .56 1.53 / .56 1.58 / .61 Enclosure & Above 1.53 / .65 1.53 / .65 1.58 / .73 Lowest Floor Only - Above 1.20 / .59 1.20 / .59 .97 / .43 Ground Level Lowest Floor Above Ground 1.20 / .37 1.20 / .37 .97 / .31 Level and Higher Floors CONTENTS LOCATION Above Ground Level - More .35 / .12 .35 / .12 .22 / .12 than One Full Floor 3 Manufactured (Mobile) Home .85 / .53 1 Start of construction or substantial improvement on or before 12/31/74, or before the effective date of the initial Flood Insurance Rate Map (FIRM). 2 Base Deductible is $2,000. 3 The definition of Manufactured (Mobile) Home includes travel trailers. See Page APP 3. 1 POST-FIRM NOT ELEVATION-RATED RATES OCCUPANCY Single Family 2-4 Family Other Residential Non-Residential Building Contents Building Contents Building Contents Building Contents No Basement/Enclosure .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 With Basement .89 / .30 1.36 / .43 .89 / .30 .95 / .30 .95 / .30 With Enclosure .89 / .34 1.36 / .49 .89 / .34 .95 / .34 .95 / .34 Elevated on Crawlspace .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 TYPE BUILDING Non-Elevated with .78 / .21 1.20 / .37 .78 / .21 .74 / .21 .74 / .21 Subgrade Crawlspace 2 Manufactured (Mobile) Home .78 / .38 1.20 / .37 .95 / .39 Basement & Above 1.53 / .56 1.53 / .56 1.58 / .61 Enclosure & Above 1.53 / .65 1.53 / .65 1.58 / .73 Lowest Floor Only - Above 1.20 / .59 1.20 / .59 .97 / .43 Ground Level Lowest Floor Above Ground 1.20 / .37 1.20 / .37 .97 / .31 Level and Higher Floors CONTENTS LOCATION Above Ground Level - More .35 / .12 .35 / .12 .22 / .12 than One Full Floor 2 Manufactured (Mobile) Home .85 / .53 1 Base Deductible is $1,000. 2 The definition of Manufactured (Mobile) Home includes travel trailers. See page APP 3. RATE 9 October 1, 2009 = Page 41 = TABLE 5. REGULAR PROGRAM PRE-FIRM AND POST-FIRM ELEVATION-RATED RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) FIRM ZONES AR and AR Dual Zones BUILDING RATES One Floor, No More than One Floor, More than One Floor, Manufactured Basement/Encl/ No Basement/Encl/ With Basement/Encl/ 1 4 4 4 (Mobile) Home Crawlspace Crawlspace Crawlspace Elevation of 1-4 Family Other 1-4 Family Other 1-4 Family Other Single Non- Lowest Floor Residential Residential Residential Family Residential Above or & Non- & Non- & Non- Below BFE Residential Residential Residential +4 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .24 / .08 .20 / .08 +3 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .24 / .08 .20 / .08 .25 / .08 .22 / .08 +2 .38 / .08 .25 / .08 .25 / .08 .20 / .08 .25 / .08 .20 / .08 .43 / .08 .34 / .08 +1 .68 / .08 .45 / .10 .46 / .08 .28 / .08 .30 / .08 .25 / .08 .78 / .38 .72 / .08 0 .78 / .21 .74 / .21 .78 / .21 .81 / .15 .74 / .09 .59 / .16 .78 / .38 .95 / .39 2 2 -1 See Footnote FIRM ZONES AR and AR Dual Zones -- CONTENTS RATES Lowest Floor Lowest Floor Only More than One Floor Above Ground Level Above Ground Level With Manufactured & Higher Floors (No 1 (No Basement/Encl/ Basement/Enclosure/ (Mobile) Home 4 Basement/Encl/ 4 Crawlspace ) 4 Crawlspace Elevation of Crawlspace ) Lowest Floor Above or Residential Non- Residential Non- Residential Non- Single Non- Below BFE Residential Residential Residential Family Residential +4 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 +3 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 +2 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .38 / .12 .31 / .14 +1 .52 / .12 .32 / .18 .38 / .12 .22 / .12 .38 / .12 .22 / .12 .55 / .14 .49 / .19 0 1.24 / .12 .78 / .39 .69 / .12 .53 / .24 .41 / .12 .32 / .12 1.14 / .15 .77 / .48 2 2 -1 See Footnote FIRM ZONES AR and AR Dual Zones -- CONTENTS RATES Elevation of Above Ground Level Lowest Floor More than One Full Floor Above or Below BFE Single Family 2-4 Family Other Residential Non-Residential +4 .35 / .12 .35 / .12 .22 / .12 +3 .35 / .12 .35 / .12 .22 / .12 +2 .35 / .12 .35 / .12 .22 / .12 +1 .35 / .12 .35 / .12 .22 / .12 0 .35 / .12 .35 / .12 .22 / .12 3 -1 .35 / .12 .35 / .12 .22 / .12 3 -2 .35 / .12 .37 / .12 .24 / .12 1 The definition of Manufactured (Mobile) Home includes travel trailers. See page APP 3. 2 Use Table 4 Pre-FIRM and Post-FIRM Not Elevation-Rated AR and AR Dual Zones Rate Table. 3 These rates are only applicable to Contents-only policies. 4 Includes subgrade crawlspace. RATE 10 May 1, 2010 = Page 42 = TABLE 6. PRECALCULATED PRE-FIRM PREMIUM TABLE FOR SINGLE-FAMILY DWELLINGS 1 2 PREMIUM EXCLUDING ICC 3 AMOUNT OF AND FEDERAL POLICY FEE INSURANCE A, AE, A1-A30, AH, AO, D V, VE, V1-V30 w/bsmt w/o bsmt w/bsmt w/o bsmt BUILDING $ 20,000 $ 162 $ 152 $ 212 $ 198 $ 30,000 $ 243 $ 228 $ 318 $ 297 $ 40,000 $ 324 $ 304 $ 424 $ 396 $ 50,000 $ 405 $ 380 $ 530 $ 495 $ 60,000 $ 486 $ 456 $ 636 $ 594 $ 70,000 $ 569 $ 512 $ 856 $ 741 $ 80,000 $ 652 $ 568 $1,076 $ 888 $ 90,000 $ 735 $ 624 $1,296 $1,035 $100,000 $ 818 $ 680 $1,516 $1,182 $125,000 $1,026 $ 820 $2,066 $1,550 $150,000 $1,233 $ 960 $2,616 $1,917 $175,000 $1,441 $1,100 $3,166 $2,285 $200,000 $1,648 $1,240 $3,716 $2,652 $225,000 $1,855 $1,380 $4,266 $3,020 4 $250,000 $2,063 $1,520 $4,816 $3,387 CONTENTS $ 5,000 $ 48 $ 48 $ 62 $ 62 $ 10,000 $ 96 $ 96 $ 123 $ 123 $ 15,000 $144 $144 $ 185 $ 185 $ 20,000 $192 $192 $ 246 $ 246 $ 25,000 $240 $240 $ 308 $ 308 $ 30,000 $283 $292 $ 415 $ 435 $ 40,000 $369 $395 $ 629 $ 689 $ 50,000 $455 $498 $ 843 $ 943 $ 60,000 $541 $601 $1,057 $1,197 $ 70,000 $627 $704 $1,271 $1,451 $ 80,000 $790 $807 $1,485 $1,705 $ 90,000 $799 $910 $1,699 $1,959 $100,000 $885 $1,013 $1,913 $2,213 1 Premium before applying any CRS credits or optional deductible factors. 2 For building coverage amounts of $230,000 and less, add $75 to the building premium selected from the table above to cover ICC cost, except for D zones. For D zones add $6. For building coverage amounts above $230,000, see Footnote 4 below. 3 Add $40 to the premium selected from the table above to cover Federal Policy Fee. 4 Add $60 to cover the ICC cost for the $250,000 building limit, except for D zones. For D zones add $4. RATE 11 May 1, 2010 = Page 43 = TABLE 7. FEDERAL POLICY FEE AND PROBATION SURCHARGE TABLE PROBATION 1 FEDERAL POLICY FEE SURCHARGE $40 $50 1 For the Preferred Risk Policy, the Federal Policy Fee is $20.00. III. DEDUCTIBLES purchase separate $1,000 deductibles for building and contents coverages, for an As shown in Table 8A below, the NFIP standard additional premium. The deductible factors deductible is either $1,000 or $2,000. The insured provided on pages RATE 13 and CONDO 22 may choose a deductible amount different from must be used to calculate the deductible the standard $1,000 for Post-FIRM or the surcharge. standard $2,000 for structures in the Emergency Program and those rated using Pre- FIRM rates in B. Changes in Deductible Amount Zones A, AO, AH, A1-A30, AE, VO, V1-V30, VE, V, AR, and AR Dual Zones (AR/AE, AR/AH, The amount of the deductible may be increased AR/AO, AR/A1-A30, AR/A). The optional during the policy term by submitting a completed deductible amount may be applied to policies General Change Endorsement form. The insuring properties in either Emergency Program deductible amount may be reduced through the or Regular Program communities. Refer to page submission of a new Application at the time of CONDO 22 for Residential Condominium Building renewal. This procedure does not require the Association Policy optional deductibles. completion of the entire Flood Insurance Application. Deductibles cannot be reduced mid A. Buy-Back Deductibles term unless required by the mortgagee and written authorization is provided by the Policyholders who wish to reduce their mortgagee. A 30-day waiting period will be deductibles from the standard deductibles of applied to reduce the deductible. $2,000 for Pre-FIRM SFHA risks may opt to TABLE 8A. STANDARD DEDUCTIBLES REGULAR PROGRAM Pre-FIRM with EMERGENCY Optional Post-FIRM PROGRAM Flood Zone Pre-FIRM Elevation Rating Post-FIRM $2,000 B, C, X, A99, D $1,000 $1,000 A, AO, AH, A1-A30, AE, $2,000 $1,000 $1,000 VO, V1-V30, VE, V, AR, AR/AE, AR/AH, AR/AO, AR/A1-A30, AR/A RATE 12 May 1, 2010 = Page 44 = 3. Replacement Cost Ratio policies cannot be endorsed to increase coverage limits, or renewed for another policy The replacement cost ratio is needed to term, until the required actuarial rating select the proper rate for insurance on information and full premium payment are buildings in 1981 Post-FIRM Construction received. V, V1-V30, and VE Zones on or after October 1, 1981. The estimated building Tentative rates are generally higher than the replacement cost is used in conjunction rates published in this manual (ranging from $2 with the amount of the building insurance to $10 per $100 of coverage). When tentative desired to determine the insurance-to- rates are applied, a Declarations Page and a replacement-cost ratio. Tentative Rate Letter will be forwarded to the policyholder, producer, and mortgagee (if any), Replacement cost is defined as the amount requesting the necessary information so that the of money required to replace or repair the proper rate can be determined. (Refer to page insured building in the event of loss or LFP 3 in the Leased Federal Property Section damage, without a deduction for for tentative rates.) depreciation. The replacement cost ratio is determined by dividing the amount of If a loss occurs on a tentatively rated property, building coverage by the replacement cost payment will be limited by the amount of of the building. coverage that the initially submitted premium will purchase using the correct actuarial rating If the replacement cost of the building information. exceeds the maximum statutory building limit, use the replacement cost, not the B. Alternative Rates maximum statutory building limit, in When a building is Pre-FIRM and the FIRM zone calculating the ratio. For example, if the is unknown, an alternative rating procedure can building replacement cost is $1,000,000 be used only if the building is located in a and the amount of building coverage community that does not have any V Zones. In requested is the maximum statutory these cases, the NFIP will presume that the building limit of $250,000, the rate is .25, so building is located in a Special Flood Hazard Area, and the FIRM zone should be shown as Zone AA. AA is not a valid flood zone Place the rate in the appropriate box on the designation; rather, it is a rating method used Application and continue with the premium when the flood zone is unknown. The rates for calculation. FIRM Zone A for Pre-FIRM properties should then be used to compute the premium. 4. Elevation Information The alternative rating procedure is also used by The lowest floor elevation must be the NFIP for renewal of policies in communities identified for buildings in Zones V, V1-V30, that have converted from the Emergency and VE. Note that the lowest floor Program to the Regular Program during a elevation is measured at the bottom of the policy's term. Again, this procedure can be used lowest floor beam or slab, whichever is only when the community has no V Zones. In appropriate. these cases, the NFIP assigns an AS Zone designation, which is not a valid flood zone The BFE, including wave height, must be designation, but rather a rating method, and identified for any building located in Zones uses the Pre-FIRM Zone A rates to compute the V1-V30 and VE. premium. XIV. SPECIAL RATING SITUATIONS In both of the above situations, the producer should determine the actual FIRM zone and A. Tentative Rates submit a General Change Endorsement to correct the FIRM zone and premium. All Tentative rates are used to issue policies when corrections should be made as soon as possible producers fail to provide the required actuarial within the initial policy term after an AA or AS rating information. With tentative rates, a policy Zone designation has been made. If the correct will be generated with coverage limits based on flood zone is not provided, no Renewal Premium the actual premium received. Tentatively rated Notice will be issued. RATE 21 October 1, 2009 = Page 45 = C. Ma Gadfae Re--Effect of Map solely for parking, storage, or building Revisions on Flood Insurance Rates access. A community will occasionally make structural For A zones, proper openings are required improvements (dams, levees, etc.) to reduce the (see pages LFG 1 and 2 for guidance for potential effects of flooding; experience new proper openings). development aggravating the flooding situation, For V zones, the enclosures must be thereby expanding the floodplain; revise constructed with breakaway walls (see pages geographical boundaries resulting in the LFG 2 and 2a for guidance). designation of additional flood hazard areas; or provide information to better delineate the BFE a. Examples--Post-FIRM Construction and/or flood insurance risk zones. When these A building was constructed in 1980. situations occur, the FIRM is revised and Coverage was purchased at the time of republished. construction. The FIRM zone in effect The implementation of a new FIRM raises the question--HOW DOES THE NEW MAP AFFECT FLOOD INSURANCE RATES? was +1, and the policy was rated using a +1 elevation difference. 1. Grandfather Rules This policy was written and continuously To recognize policyholders who have built in renewed for 3 years. In 1983 a new compliance with the FIRM and/or remained map for the community was issued. loyal customers of the NFIP by maintaining continuous coverage, the Federal Emergency The property remained in an A1 Zone. , Because the lowest floor did not to benefit in the rating for that building. For change, the elevation difference was -1. such buildings, the insured would have the Since the building was built in option of using the current rating criteria for compliance and was not altered in any that property or having the premium rate way, the policy can be rated using a +1 determined by using the BFE and/or flood elevation difference. zone on the FIRM (old map) in effect when A building was constructed in 1980. The the building was originally constructed (for FIRM zone in effect was A. In 1983 the those built in compliance) or when coverage map was revised, which placed the was first obtained (for those with continuous building in a VE zone. Since continuous coverage). This results in a cost savings to coverage existed and the building was insureds when the new map resulting from a not altered, the policyholder can map revision would result in a higher continue to use Zone A in determining premium rate. the rate. The conditions that must be met for an b. Example--Pre-FIRM Construction insured to be eligible to receive the rating At the time flood insurance coverage was map revision (new map) becomes effective applied for, the building was located in are described below. Zone A99. A new map designated the zone as AE. The policy may continue to 2. General Rule of Rating be rated using Zone A99 rates on the old Always use the new map if it will provide a map as long as there is no interruption in more favorable premium (lower rate). coverage. 3. Existing Business--Renewal Policies 4. New Business--Applications for Coverage Policies written to cover either Post-FIRM or a. Post-FIRM Construction Pre-FIRM construction may be renewed and rated based on the FIRM and/or BFE in effect NOTE: These rules apply to buildings in all when the policy was initially rated as long as zones, including Zone D. the coverage is continuous and the building If a new policy is applied for, the rates has not been altered to make the lowest can be based on the FIRM zone and finished floor level lower than the BFE on that the BFE on the old map in effect on the FIRM. For elevated buildings, the lowest date the building was constructed finished floor must be at or above the BFE. provided that: The enclosures must be unfinished and used RATE 22 May 1, 2010 = Page 46 = The building was built in compliance Example: with the map in effect at the time of A building was constructed in November construction. For elevated buildings, 1974 and the FIRM date was May 3, 1973. the lowest finished floor must be at or above the BFE. The enclosures must location as Zone C. Ten years later in be unfinished and used solely for 1984, a new map placed the building in an parking, storage, or building access. A zone. Flood insurance coverage was For A zones, proper openings are applied for after the map was revised. To required (see pages LFG 1 and 2 for use the old map showing Zone C as the guidance for proper openings). rating zone, proper documentation must be submitted. For V zones, the enclosures must be constructed with breakaway walls (see D. Post-81 V Zone Optional Rating pages LFG 2 and 2a for guidance). The building has not been altered in This optional rating is available for new and any way that has resulted in a lowest renewal policies and endorsements with floor, for rating purposes, lower than effective dates on or after October 1, 1997. the BFE on that FIRM (e.g., enclosing Policies for 1975 through 1981 Post-FIRM and the area below an elevated building). Pre-FIRM buildings in Zones VE and V1-V30 are allowed to use the Post- The building has not been (Tables 3E or 3F) if the rates are more favorable substantially improved. to the insured. In order to qualify, the following The property owner or producer must criteria must be met: provide proper documentation to the 1. The policy must be rated using the BFE WYO company or NFIP Servicing printed on the FIRM panel that includes wave Agent. The documentation must show: height. The effective date of the FIRM panel the date of the FIRM; the zone on that must be on or after 10/1/81. FIRM in which the property is located; the BFE, if any, for that zone; a copy of 2. The building rates are determined based on the map panel showing the location of the ratio of the estimated building the building; and the rating element that replacement cost and the amount of is to be grandfathered. A letter from a insurance purchased. community official verifying this 3. The building must be elevated free of information, or an Elevation Certificate, obstruction or with obstruction less than 300 also is acceptable. square feet. All machinery and equipment Example: located below the BFE are considered obstructions. A building was constructed in 1980 and, according to the FIRM in effect at that E. Policies Requiring Re-Rating time, was located in Zone AE. No insurance policy was purchased until The following conditions require that the policies 1990. At that time remapping had be rated using the new map: occurred and the zone had been 1. If an elevation-rated building is altered, changed to a more hazardous area, making the lowest floor for rating purposes Zone VE. The new policy can use Zone below the BFE. AE as the rating zone if the required documentation is provided. Example: b. Pre-FIRM Construction An elevated building is located in an AE Zone at the time of construction. The Lowest Floor Because there was no FIRM in effect on () the date of construction, most Pre-FIRM The Lowest Floor rating was a +8 elevation differential. The map was revised, changing limited exceptions are those communities enclose the area beneath the elevated floor with initial FIRM dates prior to December and use it as a living area. This changed the , , applies to Pre-FIRM construction only if must be used and the building is rated as -2. the date of construction was on or before December 31, 1974, and was also on or after the FIRM date. RATE 23 May 1, 2010 = Page 47 = 2. If a Pre-FIRM or Post-FIRM building is the policy came up for renewal in December, substantially improved, the building must be repair of the building had barely begun. The re-rated using the FIRM in effect at the time policy may be renewed under its pre-flood that the substantial improvement occurred. rating. A newer FIRM can always be used if it will result in a more favorable rating. F. Submit-for-Rate Example: Certain properties at high flood risk, because of peculiarities in their exposure to flooding, A building was constructed in 1972 and, do not lend themselves to preprogrammed when flood insurance was applied for in rates. These risks require an in-depth 1976, was found to be located in Zone C. underwriting analysis and must be submitted The FIRM was revised in 1984. The building to the NFIP for an individual (specific) rate. As was substantially improved in 1985. Due to with other lines of property insurance, the the improvement, the building must now be underwriter requires documentation to re-rated as Post-FIRM construction using evaluate those risk characteristics that make the 1984 map, or the most recent map can up the basis for a proper rate. be used if it will result in a more favorable rating. The NFIP's two-fold goal of establishing sound actuarial rates and obtaining information for If ineligible for renewal as a Preferred Risk enforcing floodplain management requires that Policy because of a map change, the risk the following documentation be supplied for risks must be rewritten as a Standard Flood that fall within the submit-for-rate category: Insurance Policy. 1. Completed NFIP Flood Insurance 3. If a Pre-FIRM or Post-FIRM building has Application. been declared substantially damaged by a 2. Completed current Elevation Certificate. local community official, the agent must verify that the repair and/or reconstruction of 3. Variance issued by the local community the building has been made before the stating that permission was granted to policy can be re-rated using the FIRM in construct the building. If no variance was effect at the time of the substantial granted, a statement to that effect signed improvement. by the applicant or the applicant's representative is required. In the event that the repair and/or reconstruction have not been made, the 4. Recent photographs of the building (front writing company may renew the policy using and back), or a blueprint (layout of the the proper rating prior to the loss. The building) if the building is under agent/insured must notify the writing construction. company when the actual repair is completed so the policy can be re-rated 5. The square footage of any enclosure(s) or usign the correct FIRM. crawl spaces(s) below the elevated floor, the use of the enclosure/crawl space, a list Example : of machinery and equipment, and the approximate value of each item located in A building was constructed in 1986. Late the enclosure/crawl space. that year, when the building was purchased and flood insurance was applied for, the 6. If the area below the elevated floor is building was found to be located in Zone enclosed using masonry walls and these A15. The FIRM was revised in February walls are represented as being breakaway 2005. In August 2005, a major hurricane walls in V Zones, a signed letter of caused severe flooding and wind damage in verification from a local building official, an the county in which the building is located. engineer, or an architect. The community declared the building 7. A statement from the applicant or the substantially damaged by flood. However, applicant's representative that the because of widespread devastation enclosure was built at the time that the throughout the area, the property owner had building was originally constructed, or at a difficulty finding a repair contractor. When later date (give date). RATE 24 May 1, 2009 = Page 48 = XIX. RATING EXAMPLES TABLE OF CONTENTS EXAMPLE PAGE Example 1 Emergency Program, Standard Deductible ....................................................... RATE 50 Example 2 Regular Program, Pre-FIRM Construction, $2,000/$1,000 Deductible Option, Zone B ................................................................................. RATE 51 Example 3 Regular Program, Pre-FIRM Construction, $1,000 Deductible Option (Surcharge), Zone AE ........................................................................................ RATE 52 Example 4 Regular Program, Pre-FIRM Construction, $3,000/$2,000 Deductible Option, Zone A15 ............................................................................. RATE 53 Example 5 Regular Program, Post-FIRM, Elevation Rated, $5,000/$5,000 Deductible Option, Zone AE .............................................................................. RATE 54 Example 6 Regular Program, 1975-81 Post-FIRM V1-V30, Elevation Rated, Zone V13 ... RATE 55 , Example 7 Regular Program, Post-1981 VE or V1-V30, with Enclosure, Zone VE ............ RATE 56 Example 8 Regular Program, Post-FIRM Construction, Contents-Only Policy, Zone A17 . RATE 57 Example 9 Regular Program, Post-FIRM, Elevation Rated, $5,000/$5,000 Deductible Option, Zone AO .............................................................................. RATE 58 Example 10 Regular Program, Post-FIRM, Elevation Rated, $1,000/$1,000 Deductible Option, Zone AO (With Certification of Compliance) ....................... RATE 59 Example 11 Regular Program, Post-FIRM, Elevation Rated, $3,000/$2,000 Deductible Option, Zone AH .............................................................................. RATE 60 Example 12 Regular Program, Post-FIRM, Elevation Rated, $1,000/$1,000 Deductible Option, Zone AH (With Certification of Compliance) ....................... RATE 61 Example 13 Regular Program, Post-FIRM, Elevation Rated, $1,000/$1,000 Deductible Option, Zone A (with Estimated BFE).............................................. RATE 62 Example 14 Regular Program, Post-FIRM, Elevation Rated, $1,000/$1000 Deductible Option, Zone A (without Estimated BFE) ........................................ RATE 63 RATE 49 October 1, 2009 = Page 49 = EXAMPLE 1 EMERGENCY PROGRAM, STANDARD DEDUCTIBLE Data Essential To Determine Appropriate Rates and Premium: Emergency Program Flood Zone: N/A Occupancy: Single-Family Dwelling # of Floors: 1 Floor Basement/Enclosure: None Deductible: $2,000/$2,000 Deductible Factor: 1.000 Contents Location: Lowest Floor Above Ground Level Date of Construction: Pre-FIRM Elevation Difference: N/A Flood Proofed Yes/No: No Building Coverage: $35,000 Contents: $10,000 ICC Premium: N/A CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .76 Contents: .96 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 35,000 .76 266 0 35,000 266 BUILDING 10,000 .96 96 0 10,000 96 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 362 OPTION: ICC PREMIUM MANUAL SUBMIT FOR RATING SUBTOTAL 362 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 362 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 402 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $266 / Contents: $96 2. Apply Deductible Factor: Building: 1.000 x $266 = $266 / Contents: 1.000 x $96 = $96 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $362 5. Add ICC Premium: N/A 6. Subtract CRS Discount: N/A 7. Subtotal: $362 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $402 RATE 50 May 1, 2010 = Page 50 = EXAMPLE 2 REGULAR PROGRAM, PRE-FIRM CONSTRUCTION, $2,000/$1,000 DEDUCTIBLE OPTION, ZONE B Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: B Occupancy: Single-Family Dwelling # of Floors: 2 Floors Basement/Enclosure: None Deductible: $2,000/$1,000 Deductible Factor: 0.95 Contents Location: Lowest Floor Above Ground Level and Higher Floors Date of Construction: Pre-FIRM Elevation Difference: N/A Flood Proofed Yes/No: No Building Coverage: $150,000 Contents Coverage: $60,000 ICC Premium: $6 CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .78/.21 Contents: 1.20/.37 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .78 468 90,000 .21 189 -33 150,000 624 BUILDING 25,000 1.20 300 35,000 .37 130 -22 60,000 408 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 1,032 OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 1,038 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 1,038 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 1,078 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $657 / Contents: $430 2. Apply Deductible Factor: Building: 0.95 x $657 = $624 / Contents: 0.95 x $430 = $408 3. Premium Decrease: Building: $657 - $624 = $33 / Contents: $430 - 408 = $22 4. Subtotal: $1,032 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $1,038 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $1,078 RATE 51 May 1, 2010 = Page 51 = EXAMPLE 3 REGULAR PROGRAM, PRE-FIRM CONSTRUCTION, $1000 DEDUCTIBLE OPTION (SURCHARGE), ZONE AE Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: AE Occupancy: Single-Family Dwelling # of Floors: 2 Floors Basement/Enclosure: Enclosure Deductible: $1000/$1000 Deductible Factor: 1.100 Contents Location: Enclosure and Above Date of Construction: Pre-FIRM Elevation Difference: N/A Flood Proofed Yes/No: No Building Coverage: $150,000 Contents Coverage: $60,000 ICC Premium: $75 CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .81/1.01 Contents: .96/1.03 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .81 486 90,000 1.01 909 +140 150,000 1,535 BUILDING 25,000 .96 240 35,000 1.03 361 +60 60,000 661 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 2,196 OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 2,271 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 2,271 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 2,311 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $1,395 / Contents: $601 2. Apply Deductible Factor: Building: 1.100 x $1,395 = $ 1,535 / Contents: 1.100 x $601 = $661 3. Premium Increase: Building: $1,535 - $1,395 = $140 / Contents: $661 - $601 = $60 4. Subtotal: $2,196 5. Add ICC Premium: $75 6. Subtract CRS Discount: N/A 7. Subtotal: $ 2,271 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $2,311 RATE 52 May 1, 2010 = Page 52 = EXAMPLE 4 REGULAR PROGRAM, PRE-FIRM CONSTRUCTION, $3,000/$2,000 DEDUCTIBLE OPTION, ZONE A15 Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: A15 Occupancy: Single-Family Dwelling # of Floors: 3 Floors Basement/Enclosure: Basement Deductible: $3,000/$2,000 Building and Contents Deductible Factor: .950 Contents Location: Basement and Above Date of Construction: Pre-FIRM Elevation Difference: N/A Flood Proofed Yes/No: No Building Coverage: $250,000 Contents Coverage: $100,000 ICC Premium: $60 CRS Rating: 4 CRS Discount: 30% Determined Rates : Building: .81/.83 Contents: .96/.86 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .81 486 190,000 .83 1,577 -103 250,000 1,960 BUILDING 25,000 .96 240 75,000 .86 645 -44 100,000 841 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 2,801 OPTION: ICC PREMIUM 60 MANUAL SUBMIT FOR RATING SUBTOTAL 2,861 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 30% -858 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 2,003 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 2,043 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $2,063 / Contents: $885 2. Apply Deductible Factor: Building: .950 x $2,063 = $1,960/ Contents: .950 x $885 = $841 3. Premium Reduction: Building: $2,063 - $1,960 = $103 / Contents: $885 - $841 = $44 4. Subtotal: $2,801 5. Add ICC Premium: $60 6. Subtract CRS Discount: -$858 (30%) 7. Subtotal: $2,003 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $2,043 RATE 53 May 1, 2010 = Page 53 = EXAMPLE 5 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $5,000/$5,000 DEDUCTIBLE OPTION, ZONE AE Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: AE Occupancy: Non-Residential # of Floors: 2 Floors Basement/Enclosure: None Deductible: $5,000/$5,000 Deductible Factor: .890 Contents Location: Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: +4 Flood Proofed Yes/No: No Building Coverage: $500,000 Contents Coverage: $500,000 ICC Premium: $4 CRS Rating: 5 CRS Discount: 25% Determined Rates : Building: .20/.08 Contents: .22/.12 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 175,000 .20 350 325,000 .08 260 -67 500,000 543 BUILDING 150,000 .22 330 350,000 .12 420 -82 500,000 668 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 1,211 OPTION: ICC PREMIUM 4 MANUAL SUBMIT FOR RATING SUBTOTAL 1,215 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 25% -304 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 911 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 951 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $610 / Contents: $750 2. Apply Deductible Factor: Building: .890 x $610 = $543 / Contents: .890 x $750 = $668 3. Premium Reduction: Building: $610 - $543 = $67 / Contents: $750 - $668 = $82 4. Subtotal: $1,211 5. Add ICC Premium: $4 6. Subtract CRS Discount: -$304 (25%) 7. Subtotal: $911 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $951 RATE 54 May 1, 2010 = Page 54 = 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: $1,000/$1,000 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: 2.06/.46 Contents: 2.57/.61 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 2.06 1,236 90,000 .46 414 0 150,000 1,650 BUILDING 25,000 2.57 643 75,000 .61 458 0 100,000 1,101 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 2,751 OPTION: ICC PREMIUM 35 MANUAL SUBMIT FOR RATING SUBTOTAL 2,786 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 10% -279 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 2,507 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 2,547 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $1,650 / Contents: $1,101 2. Apply Deductible Factor: Building: 1.000 x $1,650 = $1,650/Contents:1.000 x $1,101 = $1,101 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $2,751 5. Add ICC Premium: $35 6. Subtract CRS Discount: -$279 (10%) 7. Subtotal: $2,507 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $2,547 RATE 55 May 1, 2010 = Page 55 = 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: .850 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: N/A Determined Rates : Building: 3.29 / 3.29 Contents: 2.47 / 2.47 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 3.29 1,974 190,000 3.29 6,251 -1,234 250,000 6,991 BUILDING 25,000 2.47 618 75,000 2.47 1,853 -371 100,000 2,100 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 9,091 OPTION: ICC PREMIUM 14 MANUAL SUBMIT FOR RATING SUBTOTAL 9,105 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 9,105 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 9,145 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $8,225 / Contents: $2,471 2. Apply Deductible Factor: Building: .850 x $8,250 = $6,991 / Contents: .850 x $2,471 = $2,100 3. Premium Reduction: Building: $8,225 - $6,991 = $1,234 / Contents: $2,471 - $2,100 = $371 4. Subtotal: $9,091 5. Add ICC Premium: $14 6. Subtract CRS Discount: N/A 7. Subtotal: $9,105 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $9,145 RATE 56 May 1, 2010 = Page 56 = EXAMPLE 8 REGULAR PROGRAM, POST-FIRM CONSTRUCTION, CONTENTS-ONLY POLICY, ZONE A17 Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: A17 Occupancy: 2- ( ) # of Floors: 2 Floors Basement/Enclosure: None Deductible: $1,000 Deductible Factor: 1.000 Contents Location: Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: +2 Flood Proofed Yes/No: No Building Coverage: N/A Contents Coverage: $100,000 ICC Premium: N/A CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: N/A Contents: .35/.12 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 0 BUILDING 25,000 .35 88 75,000 .12 90 0 100,000 178 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 178 OPTION: ICC PREMIUM MANUAL SUBMIT FOR RATING SUBTOTAL 178 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 178 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 218 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: N/A / Contents: $178 2. Apply Deductible Factor: Building: N/A / Contents: 1.000 x $178 = $178 3. Premium Reduction/Increase: Building: N/A / Contents: $0 4. Subtotal: $178 5. Add ICC Premium: N/A 6. Subtract CRS Discount: N/A 7. Subtotal: $178 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $218 RATE 57 May 1, 2010 = Page 57 = EXAMPLE 9 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $5,000/$5,000 DEDUCTIBLE OPTION, ZONE AO Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: AO Occupancy: Non-Residential # of Floors: 2 Floors Basement/Enclosure: None Deductible: $5,000/$5,000 Deductible Factor: .890 Contents Location: Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: -1 Flood Proofed Yes/No: No Building Coverage: $500,000 Contents Coverage: $500,000 ICC Premium: $4 CRS Rating: 5 CRS Discount: N/A Determined Rates : Building: 1.01/.36 Contents: 1.97/.31 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 175,000 1.01 1,768 325,000 .36 1,170 -323 500,000 2,615 BUILDING 150,000 1.97 2,955 350,000 .31 1,085 -444 500,000 3,596 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 6,211 OPTION: ICC PREMIUM 4 MANUAL SUBMIT FOR RATING SUBTOTAL 6,215 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 6,215 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 6,255 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $2,938 / Contents: $4,040 2. Apply Deductible Factor: Building: .890 x $2,938 = $2,615 / Contents: .890 x $4,040 = $3,596 3. Premium Reduction: Building: $2,938 - $2,615 = $323 / Contents: $4,040 - $3,596 = $444 4. Subtotal: $6,211 5. Add ICC Premium: $4 6. Subtract CRS Discount: N/A 7. Subtotal: $6,215 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $6,255 RATE 58 May 1, 2010 = Page 58 = EXAMPLE 10 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $1,000/$1,000 DEDUCTIBLE OPTION, ZONE AO (WITH CERTIFICATION OF COMPLIANCE) 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: $1,000/$1,000 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: .28/.08 Contents: .37/.13 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .28 168 190,000 .08 152 0 250,000 320 BUILDING 25,000 .37 93 75,000 .13 98 0 100,000 191 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 511 OPTION: ICC PREMIUM 4 MANUAL SUBMIT FOR RATING SUBTOTAL 515 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 515 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 555 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $320 / Contents: $191 2. Apply Deductible Factor: Building: 1.000 x $320 = $320 / Contents: 1.000 x $191 = $191 3. Premium Reduction/Increase: Building: $0 / Contents: = $0 4. Subtotal: $511 5. Add ICC Premium: $4 6. Subtract CRS Discount: N/A 7. Subtotal: $515 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $555 RATE 59 May 1, 2010 = Page 59 = 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: Single-Family Dwelling # 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: .93/.21 Contents: 1.17/.24 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .93 558 190,000 .21 399 -120 250,000 837 BUILDING 25,000 1.17 293 0 .24 0 -37 25,000 256 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 1,093 OPTION: ICC PREMIUM 4 MANUAL SUBMIT FOR RATING SUBTOTAL 1,097 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT _____% PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 1,097 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 1,137 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $957 / Contents: $293 2. Apply Deductible Factor: Building: .875 x $957 = $837 / Contents: .875 x $293 = $256 3. Premium Reduction: Building: $957 - $837 = $120 / Contents = $293 - $256 = $37 4. Subtotal: $1,093 5. Add ICC Premium: $4 6. Subtract CRS Discount: N/A 7. Subtotal: $1,097 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $1,137 RATE 60 May 1, 2010 = Page 60 = EXAMPLE 12 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $1,000/$1,000 DEDUCTIBLE OPTION, ZONE AH (WITH CERTIFICATION OF COMPLIANCE) Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: AH (With Certification of Compliance) Occupancy: 2-4 Family Dwelling # of Floors: 2 Floors Basement/Enclosure: None Deductible: $1,000/$1,000 Deductible Factor: 1.000 Contents Location: Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: +3 Flood Proofed Yes/No: No Building Coverage: $200,000 Contents Coverage: $40,000 ICC Premium: $6 CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .28/.08 Contents: .37/.13 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .28 168 140,000 .08 112 0 200,000 280 BUILDING 25,000 .37 93 15,000 .13 20 0 40,000 113 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 393 OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 399 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 399 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 439 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $280 / Contents: $113 2. Apply Deductible Factor: Building: 1.000 x $280 = $280 / Contents: 1.000 x $113 = $113 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $393 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $399 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $439 RATE 61 May 1, 2010 = Page 61 = EXAMPLE 13 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $1,000/$1,000 DEDUCTIBLE OPTION, ZONE A (WITH ESTIMATED BFE) Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: A Occupancy: 2-4 Family Dwelling # of Floors: 2 Floors Basement/Enclosure: None Deductible: $1000/$1000 Deductible Factor: 1.000 Contents Location: Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: +6 (with Estimated BFE) Flood Proofed Yes/No: No Building Coverage: $140,000 Contents Coverage: $70,000 ICC Premium: $6 CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .40/.08 Contents: .50/.12 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .40 240 80,000 .08 64 0 140,000 304 BUILDING 25,000 .50 125 45,000 .12 54 0 70,000 179 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 483 OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 489 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 489 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 529 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $304 / Contents: $179 2. Apply Deductible Factor: Building: 1.000 x $304 = $304 / Contents: 1.000 x $179 = $179 3. Premium Reduction/Increase: Building: $0 / Contents = $0 4. Subtotal: $483 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $489 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $529 RATE 62 May 1, 2010 = Page 62 = EXAMPLE 14 REGULAR PROGRAM, POST-FIRM, ELEVATION RATED, $1000/$1000 DEDUCTIBLE OPTION, ZONE A (WITHOUT ESTIMATED BFE) Data Essential To Determine Appropriate Rates and Premium: Regular Program Flood Zone: A Occupancy: Single-Family Dwelling # of Floors: 2 Floors Basement/Enclosure: None Deductible: $1000/$1000 Deductible Factor: 1.000 Contents Location: Lowest Floor Above Ground Level and Higher Floors Date of Construction: Post-FIRM Elevation Difference: +5 (without Estimated BFE) Flood Proofed Yes/No: No Building Coverage: $135,000 Contents Coverage: $60,000 ICC Premium: $6 CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .35/.10 Contents: .61/.12 BASIC LIMITS ADDITIONAL LIMITS BASIC AND (REGULAR PROGRAM ONLY) DEDUCTIBLE ADDITIONAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL TOTAL INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF PREMIUM INCREASE INSURANCE 60,000 .35 210 75,000 .10 75 0 135,000 285 BUILDING 25,000 .61 153 35,000 .12 42 0 60,000 195 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) PAYMENT ANNUAL SUBTOTAL 480 OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 486 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 486 MORTGAGE PORTFOLIO PROTECTION PROGRAM 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 40 APPLICABLE FEDERAL LAW. TOTAL PREPAID AMOUNT 526 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $285 / Contents: $195 2. Apply Deductible Factor: Building: 1.000 x $300 = $300 / Contents: 1.000 x $195 = $195 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $480 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $486 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $40 10. Total Prepaid Amount: $526 RATE 63 May 1, 2010 = Page 63 = = Page 64 = CONDOMINIUMS Important Notice to Agents: Boards of Directors of condominium associations typically are responsible under their by-laws for maintaining all forms of property insurance necessary to protect the common property of the association against all hazards to which that property is exposed for the insurable value/replacement cost of those common elements. This responsibility would typically include providing adequate flood insurance protection for all common property located in Special Flood Hazard Areas. Such by-law requirements could make the individual members of the boards of directors of such associations personally liable for insurance errors or omissions, including those relating to flood insurance. I. METHODS OF INSURING CONDOMINIUMS An individual unit may be separately insured under the Dwelling Form, if purchased by the There are four methods of insuring condominiums association in the name of the "owner of under the National Flood Insurance Program record unit number (#) and (name of) (NFIP). Each method has its own eligibility Association as their interests may appear," requirements for condominium type. up to the limits of insurance for a single family dwelling. A. Residential Condominium: Association Coverage on Building and An individual unit owned by the association Contents may be separately insured under the Dwelling Form, if purchased by the A condominium association is the corporate entity condominium association. The single family responsible for the management and operation of limits of insurance apply. a condominium. Membership is made up of the condominium unit owners. A condominium A policy on a condominium unit will be issued association may purchase insurance coverage on naming the unit owner and the association, as a residential building and its contents under the their interests may appear. Coverage under a unit Residential Condominium Building Association owner's policy applies first to the individually Policy (RCBAP). The RCBAP covers only a owned building elements and improvements to residential condominium building in a Regular the unit and then to the damage of the building's Program community. If the named insured is common elements that are the unit owner's listed as other than a condominium association, responsibility. the agent must provide legal documentation to confirm that the insured is a condominium In the event of a loss, the claim payment to an association. individual unit owner may not exceed the maximum allowable in the Program. B. Residential Condominium: C. Non-residential (Commercial) Condominium: Contents Building and Contents A condominium unit in a townhouse, rowhouse, high-rise or low-rise building is considered to be a Non-residential (commercial) condominium single family residence. An individual dwelling buildings and their commonly owned contents unit in a condominium building may be insured in may be insured in the name of the Association any one of three ways: under the General Property Form. The "Non- residential" limits apply. An individual unit and its contents may be separately insured under the Dwelling Form, Individual residential condominium units in non- in the name of the unit owner, at the limits of residential condominium buildings are not insurance for a single family dwelling. eligible for building coverage. CONDO 1 May 1, 2010 = Page 65 = D. Non-residential (Commercial) Condominium: Unit Owner's Coverage (Contents) The owner of a non-residential condominium unit may purchase only contents coverage for that unit. Building coverage may not be purchased in the name of the unit owner. In the event of a loss, up to 10 percent of the stated amount of contents coverage can be applied to losses to condominium interior walls, floors, and ceilings. The 10 percent is not an additional amount of insurance. CONDO 2 May 1, 2010 = Page 66 = TABLE 1. CONDOMINIUM UNDERWRITING GUIDELINES POLICY INSURED PROPERTY ELIGIBILITY REPLACEMENT ICC COVERAGE LIMITS ASSESSMENT FEDERAL FORM COVERED REQUIREMENTS COVERAGE COVERAGE POLICY FEE RCBAP RESIDENTIAL CONDOMINIUM BUILDING COMMUNITY MUST BE IN YES YES MAXIMUM LIMITS: NO # UNITS CONDOMINIUM REGULAR PROGRAM INDIVIDUALLY OWNED UNITS WITHIN 1 $40 ASSOCIATION AND BUILDING THE BUILDING INDIVIDUAL UNIT RESIDENTIAL CONDOMINIUM REPLACEMENT COST, 2-4 $80/POLICY OWNERS IMPROVEMENTS WITHIN UNIT BUILDINGS INCLUDING OR THE TOTAL 5-10 $200/POLICY HOMEOWNER NUMBER OF UNITS X ADDITIONS AND EXTENSIONS ASSOCIATIONS (HOA) AND $250,000, WHICHEVER 11-20 $440/POLICY ATTACHED OR CONNECTED TO THE TIMESHARES IN THE IS LESS 21 + $840/POLICY INSURED BUILDING CONDOMINIUM FORM OF OWNERSHIP CONTENTS FIXTURES, MACHINERY AND ACTUAL CASH VALUE EQUIPMENT WITHIN BUILDING AT LEAST 75% OF FLOOR (ACV) OF COMMONLY CONTENTS OWNED BY THE AREA MUST BE RESIDENTIAL OWNED CONTENTS ASSOCIATION TO A MAXIMUM OF BUILDINGS INCLUDE $100,000 PER TOWNHOUSES, BUILDING. ROWHOUSES, LOW-RISE, HIGH-RISE, AND DETACHED SINGLE FAMILY CONDOMINIUM BUILDINGS GENERAL CONDOMINIUM CONDOMINIUM BUILDING CONDOMINIUM BUILDING IN NO YES EMERGENCY PROG. NO $40.00 PROPERTY ASSOCIATION AND A REGULAR PROGRAM (ACV MAXIMUM INDIVIDUALLY OWNED UNITS WITHIN FORM INDIVIDUAL UNIT COMMUNITY WITH LESS LIMITS): THE BUILDING OWNERS THAN 75% OF ITS FLOOR IMPROVEMENTS WITHIN UNIT AREA IN RESIDENTIAL USE. RESIDENTIAL: BUILDING $100,000 ADDITIONS AND EXTENSIONS CONTENTS $10,000 CONDO 3 ATTACHED OR CONNECTED TO THE RESIDENTIAL CONDOMINIUM INSURED BUILDING NON-RESIDENTIAL: BUILDING IN AN EMERGENCY BUILDING $100,000 FIXTURES, MACHINERY AND PROGRAM COMMUNITY CONTENTS $100,000 EQUIPMENT WITHIN BUILDING CONTENTS OWNED BY THE REGULAR PROGRAM ASSOCIATION (ACV MAXIMUM LIMITS): NON-RESIDENTIAL COMMON BUILDING ELEMENTS AND THEIR BUILDING $500,000 CONTENTS CONTENTS $500,000 1 2 DWELLING CONDOMINIUM ALL RESIDENTIAL YES NO EMERGENCY PROG. YES $40.00 BUILDING ELEMENTS FORM ASSOCIATION CONDOMINIUM UNITS (MAXIMUM LIMITS): AND/OR INDIVIDUALLY OWNED CONTENTS INDIVIDUAL UNIT EMERGENCY AND REGULAR BUILDING $35,000 OWNERS PROGRAMS ARE ELIGIBLE CONTENTS $10,000 REGULAR PROGRAM (MAXIMUM LIMITS): BUILDING $250,000 CONTENTS $100,000 GENERAL INDIVIDUAL UNIT NON-RESIDENTIAL CONDO UNITS COMMERCIAL NO NO EMERGENCY PROG.: NO $40.00 PROPERTY OWNERS AND (ONLY CONTENTS ARE AVAILABLE) CONTENTS ONLY $100,000 MAXIMUM FORM TENANTS EMERGENCY AND REGULAR REGULAR PROGRAM: PROGRAMS ARE ELIGIBLE $500,000 MAXIMUM Footnote: These are basic guidelines for condominium associations and unit owners. Please refer to appropriate section of the Flood Insurance Manual for specific details. 1 Subject to replacement cost provisions in policy. 2 ICC coverage does not apply to the Emergency Program, individually owned condominium units insured under Dwelling or General Property Forms, Contents-only Policies, and Group Flood Insurance Policies. May 1, 2010 = Page 67 = TABLE 2. CONDOMINIUM RATING CHART LOW-RISE RESIDENTIAL CONDOMINIUMS SINGLE UNIT BUILDING OR TOWNHOUSE/ROWHOUSE TYPE BUILDING WITH SEPARATE ENTRANCE FOR EACH UNIT 1 3 4 PURCHASER OF POLICY Building Occupancy Building Contents Type of Rate Table Policy Form 1 2 Indicator Indicator Coverage 5 UNIT OWNER SINGLE FAMILY SINGLE UNIT HOUSEHOLD RC SINGLE FAMILY DWELLING ASSOCIATION 5 (ASSOCIATION-OWNED SINGLE FAMILY SINGLE UNIT HOUSEHOLD RC SINGLE FAMILY DWELLING SINGLE UNIT ONLY) DETERMINED BY THE ASSOCIATION NUMBER OF UNITS , I.E., LOW-RISE HOUSEHOLD RC RCBAP LOW-RISE RCBAP (ENTIRE BUILDING) SINGLE FAMILY, 2-4 FAMILY, OTHER RESIDENTIAL MULTI-UNIT BUILDING 2 TO 4 UNITS PER BUILDING REGARDLESS OF NUMBER OF FLOORS (NON-TOWNHOUSE) 1 3 4 PURCHASER OF POLICY Building Occupancy Building Contents Type of Rate Table Policy Form 1 2 Indicator Indicator Coverage SINGLE FAMILY FOR 5 BUILDING; 2-4 CONDO 4 UNIT OWNER 2-4 SINGLE UNIT HOUSEHOLD RC DWELLING FAMILY FOR CONTENTS SINGLE FAMILY FOR ASSOCIATION 5 BUILDING; 2-4 (ASSOCIATION-OWNED 2-4 SINGLE UNIT HOUSEHOLD RC DWELLING FAMILY FOR SINGLE UNIT ONLY) CONTENTS ASSOCIATION 2-4 LOW-RISE HOUSEHOLD RC RCBAP LOW-RISE RCBAP (ENTIRE BUILDING) MULTI-UNIT BUILDING 5 OR MORE UNITS PER BUILDING LESS THAN THREE FLOORS 1 3 4 PURCHASER OF POLICY Building Occupancy Building Contents Type of Rate Table Policy Form 1 2 Indicator Indicator Coverage SINGLE FAMILY FOR BUILDING; 5 UNIT OWNER OTHER RESIDENTIAL SINGLE UNIT HOUSEHOLD RC OTHER DWELLING RESIDENTIAL FOR CONTENTS SINGLE FAMILY ASSOCIATION FOR BUILDING; 5 (ASSOCIATION-OWNED OTHER RESIDENTIAL SINGLE UNIT HOUSEHOLD RC OTHER DWELLING SINGLE UNIT ONLY) RESIDENTIAL FOR CONTENTS ASSOCIATION OTHER RESIDENTIAL LOW-RISE HOUSEHOLD RC RCBAP LOW-RISE RCBAP (ENTIRE BUILDING) May 1, 2010 1 When there is a mixture of residential and commercial usage within a single building, please refer to the GR Section of the Flood Insurance Manual. 2 , Flood Insurance Manual . 3 All building rates are based on the lowest floor of the building. 4 RCBAP must be used to insure residential condominium buildings owned by the association that are in a Regular Program community and in which at least 75% of the total floor area within the building is residential. Use General Property Form if ineligible under RCBAP. 5 Replacement Cost if the RC eligibility requirements are met (building only). = Page 68 = () HIGH-RISE RESIDENTIAL CONDOMINIUMS 6 MULTI-UNIT BUILDING 5 OR MORE UNITS PER BUILDING THREE OR MORE FLOORS 1 3 4 PURCHASER OF POLICY Building Occupancy Building Contents Type of Rate Table Policy Form 1 2 Indicator Indicator Coverage SINGLE FAMILY FOR 5 BUILDING; OTHER UNIT OWNER OTHER RESIDENTIAL SINGLE UNIT HOUSEHOLD RC DWELLING RESIDENTIAL FOR CONTENTS SINGLE FAMILY FOR ASSOCIATION 5 BUILDING; OTHER (ASSOCIATION-OWNED OTHER RESIDENTIAL SINGLE UNIT HOUSEHOLD RC DWELLING RESIDENTIAL FOR SINGLE UNIT ONLY) CONTENTS ASSOCIATION OTHER RESIDENTIAL HIGH-RISE HOUSEHOLD RC RCBAP HIGH-RISE RCBAP (ENTIRE BUILDING) NON-RESIDENTIAL CONDOMINIUMS 1 3 4 PURCHASER OF POLICY Building Occupancy Building Contents Type of Rate Table Policy Form CONDO 5 1 2 Indicator Indicator Coverage SINGLE UNIT (BUILDING GENERAL UNIT OWNER NON-RESIDENTIAL BUSINESS ACV NON-RESIDENTIAL COVERAGE NOT PROPERTY AVAILABLE) GENERAL ASSOCIATION NON-RESIDENTIAL LOW-RISE BUSINESS ACV NON-RESIDENTIAL PROPERTY May 1, 2010 1 When there is a mixture of residential and commercial usage within a single building, please refer to the GR Section of the Flood Insurance Manual . 2 , Flood Insurance Manual . 3 All building rates are based on the lowest floor of the building. 4 RCBAP must be used to insure residential condominium buildings owned by the association that are in a Regular Program community and in which at least 75% of the total floor area within the building is residential. Use General Property Form if ineligible under RCBAP. 5 Replacement Cost if the RC eligibility requirements are met (building only). 6 Enclosure, even if it is the lowest floor for rating, cannot be counted as a floor for the purpose of classifying the building as a high rise. = Page 69 = RESIDENTIAL CONDOMINIUM BUILDING ASSOCIATION POLICY If, during a policy term, the risk fails to meet the II. POLICY FORM eligibility requirements, it will be ineligible for renewal as an RCBAP. The policy form used for the residential condominium buildings owned by a condominium The NFIP has grouped condominium buildings association is the Residential Condominium into two different types, low- and high-rise, Building Association Policy (RCBAP). because of the difference in the exposures to the risk that typically exists. Low-rise buildings III. ELIGIBILITY REQUIREMENTS generally have a greater percentage of the value of the building at risk than high-rise buildings, thus A. General Building Eligibility requiring higher premiums for the first dollars of coverage. The availability of the optional In order for a condominium building to be eligible deductibles for the low-rise buildings, however, under the RCBAP form, the building must be allows the association to buy back some of the owned by a condominium association, which the risk, thereby reducing the overall cost of the NFIP defines as the entity made up of the unit coverage. owners responsible for the maintenance and operation of: For rating purposes: 1. common elements owned in undivided shares High-rise buildings contain five or more units by unit owners; and and at least three floors excluding enclosure, even if it is the lowest floor for rating. 2. other real property in which the unit owners have use rights; Low-rise buildings have less than five units regardless of the number of floors, or five or where membership in the entity is a required more units with less than three floors, condition of unit ownership. including the basement. The RCBAP is required for all buildings owned by Townhouse/rowhouse buildings are always a condominium association containing one or considered as low-rise buildings for rating more residential units and in which at least 75 purposes, no matter how many units or floors percent of the total floor area within the building is they have. residential without regard to the number of units or number of floors. The RCBAP is available for See the Definitions section for a complete high-rise and low-rise residential condominium definition of high-rise and low-rise buildings. buildings, including townhouse/rowhouse and The individual unit owners continue to have an detached single-family condominium buildings in option to purchase an SFIP Dwelling Form. the Regular Program only. (See pages CONDO 4 and 5.) B. Condominium Building in the Course of Construction Only buildings having a condominium form of ownership are eligible for the RCBAP. If the The NFIP rules allow the issuance of an SFIP to named insured is listed as other than a cover a building in the course of construction condominium association, the agent must provide before the building is walled and roofed. These legal documentation to confirm that the insured is rules provide lenders an option to require flood a condominium association. A homeowners insurance coverage at the time that the association (HOA) may differ from a development loan is made to comply with the condominium form of ownership. Cooperative mandatory purchase requirement outlined in the ownership buildings are not eligible. Timeshare Flood Disaster Protection Act of 1973, as buildings having condominium form of ownership amended. The policy is issued and rated based in jurisdictions where title is vested in individual on the construction designs and intended use of unit owners are eligible provided all other criteria the building. are met. In order for a condominium building in the course Residential condominium buildings that are being of construction to be eligible under the RCBAP used as a hotel or motel, or are being rented form, the building must be owned by a (either short- or long-term), must be insured on condominium association. the RCBAP. CONDO 6 May 1, 2010 = Page 70 = As noted on page GR 4, buildings in the course of For condominium unit owners who have construction that have yet to be walled and roofed insured their personal property under the are eligible for coverage except when Dwelling Form or General Property Form, construction has been halted for more than 90 coverage extends to interior walls, floor, and days and/or if the lowest floor used for rating ceiling (if not covered under the condominium purposes is below the Base Flood Elevation ) 10 (BFE). Materials or supplies intended for use in the personal property limit of liability. Use of such construction, alteration, or repair are not this coverage is at the option of the insured insurable unless they are contained within an and reduces the personal property limit of enclosed building on the premises or adjacent to liability. the premises. C. Replacement Cost IV. COVERAGE . , he A. Property Covered s building coverage is on a Replacement Cost valuation basis. Replacement Cost Value The entire building is covered under one policy, means the cost to replace property with the same including both the common as well as individually kind of material and construction without owned building elements within the units, deduction for depreciation. A condominium unit improvements within the units, and contents Dwelling Form policy provides owned in common. Contents owned by individual Replacement Cost coverage on the building if unit owners should be insured under an individual eligibility requirements are met. unit owner's Dwelling Form. D. Coinsurance B. Coverage Limits e penalty is applied to Building coverage purchased under the RCBAP building coverage only. To the extent that the will be on a Replacement Cost basis. insured has not purchased insurance in an amount equal to the lesser of 80 percent or more The maximum amount of building coverage that of the full replacement cost of the building at the can be purchased on a high-rise or low-rise time of loss or the maximum amount of insurance condominium is the Replacement Cost Value of under the NFIP, the insured will not be the building or the total number of units in the reimbursed fully for a loss. Building coverage condominium building times $250,000, whichever purchased under individual Dwelling Forms is less. cannot be added to RCBAP coverage in order to avoid the coinsurance penalty. The amount of The maximum allowable contents coverage is the loss in this case will be determined by using the Actual Cash Value of the commonly owned following formula: contents up to a maximum of $100,000 per building. Insurance Carried X Amount of Loss = Limit of Recovery Insurance Required Basic Limit Amount: Where the penalty applies, building loss under the RCBAP will be adjusted based on the The building basic limit amount of insurance Replacement Cost Coverage with a coinsurance for a detached building housing a single penalty. Building loss under the Dwelling Form will family unit owned by the condominium be adjusted on an Actual Cash Value (ACV) basis association is $60,000. if the Replacement Cost provision is not met. The cost of bringing the building into compliance with For residential townhouse/rowhouse and low- local codes (law and ordinance) is not included in rise condominiums, the building basic limit the calculation of replacement cost. amount of insurance is $60,000 multiplied by the number of units in the building. E. Assessment Coverage For high-rise condominiums, the building The RCBAP does not provide assessment coverage. basic amount of insurance is $175,000. Assessment coverage is available only under the The contents basic limit amount of insurance Dwelling Form subject to the conditions and is $25,000. exclusions found in Section III. Property Covered, CONDO 7 May 1, 2010 = Page 71 = Coverage C, paragraph 3 Condominium Loss VI. TENTATIVE RATES AND SCHEDULED Assessments. The Dwelling Form will respond, BUILDINGS up to the building coverage limit, to assessments against unit owners for damages to common Tentative Rates cannot be applied to the RCBAP. areas of any building owned by the condominium The Scheduled Building Policy is not available for association, even if the building is not insured, the RCBAP. provided that: (1) each of the unit owners comprising the membership of the association is VII. COMMISSIONS (DIRECT BUSINESS ONLY) assessed by reason of the same cause; and (2) the assessment arises out of a direct physical The commission, 15 percent, will be reduced to 5 loss by or from flood to the condominium building percent on only that portion of the premium that at the time of the loss. Assessment coverage has exceeds the figure resulting from multiplying the a maximum combined total limit of $250,000 total number of units times $2,000. times the number of units. This combined total limit covers loss to the unit and any assessment VIII. CANCELLATION OR ENDORSEMENT OF by the association. UNIT OWNERS' DWELLING POLICIES Assessment coverage cannot be used to meet Unit own the 80-percent coinsurance provision of the mid-term for the reasons mentioned in the RCBAP, and does not apply to ICC coverage or Cancellation/Nullification section of the manual. to coverage for closed basin lakes. To cancel building coverage while retaining contents coverage on a unit owner's policy, , . submit a General Change Endorsement form. In GR 13 and Section III. the event of a cancellation: .. , , . The commission on a unit owner's policy will be retained, in full, by the producer, V. DEDUCTIBLES AND FEES The Federal Policy Fee and Probation Sur- A. Deductibles charge will be refunded on a pro rata basis, and The loss deductible shall apply separately to each The premium refund will be calculated on a building and personal property covered loss pro rata basis. including any appurtenant structure loss. The Standard Deductible is $2,000 for a residential An existing Dwelling Policy or RCBAP may be condominium building, located in a Regular Program endorsed to increase amounts of coverage in Community in Special Flood Hazard Areas, i.e., accordance with Endorsement rules. They may Zones A, AO, AH, A1-A30, AE, AR, AR dual zones not be endorsed mid-term to reduce coverage. (AR/AE, AR/AH, AR/AO, AR/A1-A30, AR/A), V, V1-V30, or VE, where the rates available for IX. APPLICATION FORM buildings built before the effective date of the initial Flood Insurance Rate Map (FIRM), Pre- The producer should complete the entire Flood FIRM rates, are used to compute the premium. Insurance Application according to the directions in the Application section of this manual and For all policies rated other than those described above, e.g., those rated as Post-FIRM and those attach two new photographs of the building, one rated in Zones A99, B, C, D, or X, the Standard of which clearly shows the location of the lowest Deductible is $1,000. floor used for rating the risk. Optional deductible amounts are available under A. Type of Building the RCBAP. , B. Federal Policy Fee Insurance Application must indicate the total number of units in the building and whether the The Federal Policy Fees for the RCBAP are: building is a high rise or low rise. 1 unit - $ 40.00 per policy High-rise (vertical) condominium buildings are 2-4 units - $ 80.00 per policy defined as containing at least five units, and 5-10 units - $ 200.00 per policy having at least three floors. Note that an 11-20 units - $ 440.00 per policy enclosure below an elevated floor building, even if 21 or more - $ 840.00 per policy CONDO 8 May 1, 2010 = Page 72 = it is the lowest floor for rating purposes, cannot be The building Basic Limit amount of counted as a floor to classify the building as a insurance for high-rise condominium high-rise condominium building. buildings is up to a maximum of $175,000. Low-rise condominium buildings are defined as The building Basic Limit amount of insurance having less than five units and/or less than three for low-rise condominium buildings is floors. In addition, low-rise also includes all $60,000 multiplied by the number of units in townhouses/rowhouses regardless of the number the building. The total amount of coverage of floors or units, and all detached single family desired on the entire building must not buildings. exceed $250,000 (Regular Program limit) times the total number of units (residential For a Dwelling Form used to insure a and non-residential) in the building. condominium unit, or for a Condominium Association Policy, see the Application section of 2. Contents this manual. Since the Program type must be Regular, B. Replacement Cost Value enter the amount of insurance for contents, Basic and Additional Limits. Enter full Basic For an RCBAP, use normal company practice to Limits before any Additional Limits. estimate the Replacement Cost Value (RCV) and Contents coverage is only for those contents items that are commonly owned. Application. Include the cost of the building For the Basic Limits amount of insurance, foundation when determining the RCV. Attach up to a maximum of $25,000 may be filled the appropriate valuation to the Application. in. For the Additional Limits, up to a total of $75,000 may be filled in. The total amount Acceptable documentation of a building's RCV is of insurance available for contents coverage a recent property inspection report that states the cannot exceed $100,000. building's value on an RCV basis. The cost of the building's foundation must be included in D. Rates and Fees determining the RCV. The cost of bringing the building into compliance with local codes (law and 1. To determine rates, see the RCBAP Rate ordinance) is not to be included in the calculation Tables on the following pages. Enter the of the building's replacement cost. To maintain rate for building and for contents and reasonable accuracy of the RCV for the building, compute the annual premium. If an optional the agent must update this information at least deductible has been selected for building every 3 years. and/or contents, see page CONDO 22. C. Coverage 2. Enter the total premium for building and contents, adjusted for any premium change Ensure tha because of an optional deductible being the Application accurately reflects the desired selected. The total premium will be amount of building and contents coverage. calculated as if the building were one unit. If only building insurance is to be purchased, 3. Add the total premium for building and inform the applicant of the availability of contents contents and enter the Annual Subtotal. insurance for contents that are commonly owned. It is recommended that the applicant 4. Add the ICC premium. initial the contents coverage section if no contents insurance is requested. (This will make 5. Calculate the CRS discount, if applicable. the applicant aware that the policy will not provide payment for contents losses.) 6. Subtract the CRS discount, if applicable. 1. Building 7. Add the $50.00 Probation Surcharge, if applicable. Enter the amount of insurance for building, Basic and Additional Limits. Enter full Basic 8. Add the Federal Policy Fee to determine Limits before entering any Additional Limits. the Total Prepaid Amount. CONDO 9 May 1, 2010 = Page 73 = TABLE 3A. RCBAP HIGH-RISE CONDOMINIUM RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) BUILDING 1 BUILDING REGULAR PROGRAM PRE-FIRM REGULAR PROGRAM TYPE POST-FIRM A, A1-A30, AE, AO, AH, D V, VE A99, B, C, X A99, B, C, X D No Basement/Enclosure .85/.21 1.08/ .51 1.06/.05 1.06/.05 1.16/.24 With Basement .90/.28 1.15/1.08 1.29/.07 1.29/.07 SUBMIT FOR With Enclosure .90/.21 1.15/ .53 1.12/.05 1.12/.05 RATE Elevated on Crawlspace .85/.21 1.08/ .51 1.06/.05 1.06/.05 1.16/.24 Non-Elevated with .85/.21 1.08/ .51 1.06/.05 1.06/.05 1.16/.24 Subgrade Crawlspace CONTENTS 1 CONTENTS REGULAR PROGRAM PRE-FIRM REGULAR PROGRAM LOCATION POST-FIRM A, A1-A30, AE, AO, AH, D V, VE A99, B, C, X A99, B, C, X D Basement/Subgrade .96/ .86 1.23/2.14 1.53/.56 1.53/.56 Crawlspace and above SUBMIT FOR RATE Enclosure/Crawlspace .96/1.03 1.23/2.53 1.53/.65 1.53/.65 and above Lowest floor only- above ground level .96/1.03 1.23/2.53 1.20/.59 1.20/.59 1.11/.70 Lowest floor above ground level and higher floors .96/ .71 1.23/2.23 1.20./.34 1.20/.34 1.11/.48 Above ground level more than 1 full floor .35/.13 .47/.32 .35/.12 .35/.12 .35/.12 BUILDINGA1-A30, AE POST-FIRM · 3 OR MORE FLOORS 3 OR MORE FLOORS 3 3 ELEVATION NO BASEMENT/ENCLOSURE/CRAWLSPACE WITH BSMNT/ENCL/CRAWLSPACE +4 .33/.03 .33/.03 +3 .35/.03 .34/.03 +2 .40/.03 .36/.03 +1 .72/.04 .53/.04 0 1.28/.05 1.15/.05 2 -1 5.26/.15 2.98/.12 -2 S U B M I T F O R R A T E CONTENTSA1-A30, AE POST-FIRM · LOWEST FLOOR LOWEST FLOOR ABOVE GROUND LEVEL BASEMENT/ ABOVE ONLY- ABOVE GROUND LEVEL AND I H GHER ENCLOSURE/ GROUND LEVEL 3 CRAWLSPACE (NO BSMNT/ENCLOSURE/ (NO BSMNT/ENCL/ MORE THAN 3 3 ELEVATION CRAWLSPACE ) CRAWLSPACE ) AND ABOVE 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 .52/.12 .38/.12 .38/.12 .35/.12 0 1.24/.12 .69/.12 .41/.12 .35/.12 2 -1 3.74/.75 2.11/.58 .60/.14 .35/.12 -2 S U B M I T F O R R A T E .35/.12 1 Start of construction or substantial improvement on or before 12/31/74, or before the effective date of the initial Flood Insurance Rate Map (FIRM). If FIRM Zone is unknown, use rates for Zones A, AE, AO, AH, D. 2 Use Submit-for-Rate guidelines if either the enclosure below the lowest elevated floor of an elevated building or the crawlspace (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. 3 Includes subgrade crawlspace. CONDO 10 May 1, 2010 = Page 74 = TABLE 3D. RCBAP HIGH-RISE CONDOMINIUM RATES ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) 1 2 REGULAR PROGRAM 1975-1981 POST-FIRM CONSTRUCTION FIRM ZONES V1-V30, VE BUILDING RATES BUILDING TYPE ELEVATION OF LOWEST 3 OR MORE FLOORS 3 OR MORE FLOORS WITH FLOOR ABOVE OR BELOW NO BASEMENT/ENCLOSURE/ BASEMENT/ENCLOSURE / 5 5 BFE CRAWLSPACE CRAWLSPACE 3 0 2.76/.14 2.63/.14 4 -1 8.08/.58 4.24/.43 -2 *** *** 1975-1981 POST-FIRM CONSTRUCTION FIRM ZONES V1-V30, VE CONTENTS RATES CONTENTS LOCATION ELEVATION OF LOWEST FLOOR ONLY ABOVE - LOWEST FLOOR LOWEST FLOOR ABOVE GROUND GROUND LEVEL (NO ABOVE GROUND LEVEL BASEMENT/ ABOVE OR LEVEL MORE - BASEMENT/ AND HIGHER FLOORS (NO ENCLOSURE/ 5 BELOW BFE ENCLOSURE/ BASEMENT/ENCLOSURE/ CRAWLSPACE THAN ONE 5 5 FULL FLOOR CRAWL SPACE ) CRAWLSPACE ) AND ABOVE 3 0 4.09/.57 2.68/.63 1.50/.70 .56/.26 4 -1 9.01/4.37 5.32/3.37 1.77/.70 .56/.26 -2 *** *** *** *** 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 For 1981 Post-FIRM construction rating, refer to pages CONDO 19-20. 3 These rates are to be used if the lowest floor of the building is at or above the BFE. 4 Use Submit-for-Rate guidelines if the enclosure below the lowest floor of an elevated building, which is used for rating, is 1 or more feet below BFE. 5 Includes subgrade crawlspace. *** SUBMIT FOR RATING . REGULAR PROGRAM 1975-1981 POST-FIRM CONSTRUCTION UNNUMBERED V ZONE ELEVATED BUILDINGS SUBMIT FOR RATING CONDO 13 May 1, 2010 = Page 75 = TABLE 4A. RCBAP LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) 1 REGULAR PROGRAM PRE-FIRM CONSTRUCTION RATES F I R M Z O N E S: A, A1-A30, AE, AO, AH, D V, VE A99, B, C, X BUILDING CONTENTS BUILDING CONTENTS BUILDING CONTENTS NO BASEMENT/ENCLOSURE .70/.54 .96/1.03 .93/1.45 1.23/2.69 .74/.21 1.20/.37 WITH BASEMENT .75/.67 .96/.86 1.00/2.52 1.23/2.53 .81/.30 1.36/.46 BUILDING WITH ENCLOSURE .75/.79 .96/.89 1.00/2.74 1.23/2.75 .81/.34 1.36/.54 TYPE ELEVATED ON CRAWLSPACE .70/.54 .96/1.03 .93/1.45 1.23/2.69 .74/.21 1.20/.37 NON-ELEVATED WITH .70/.54 .96/1.03 .93/1.45 1.23/2.69 .74/.21 1.20/.37 SUBGRADE CRAWLSPACE REGULAR PROGRAM POST-FIRM CONSTRUCTION RATES F I R M Z O N E S: A99, B, C, X D BUILDING CONTENTS BUILDING CONTENTS NO BASEMENT/ENCLOSURE .74/.21 1.20/.37 1.03/.39 1.11/.70 WITH BASEMENT .81/.30 1.36/.46 *** *** WITH ENCLOSURE BUILDING .81/.34 1.36/.54 *** *** TYPE ELEVATED ON CRAWLSPACE .74/.21 1.20/.37 1.03/.39 1.11/.70 NON-ELEVATED WITH .74/.21 1.20/.37 1.03/.39 1.11/.70 SUBGRADE CRAWLSPACE 2 F I R M Z O N E S: AO, AH (NO BASEMENT/ENCLOSURE/CRAWLSPACE BUILDINGS ONLY ) BUILDING CONTENTS 3 WITH CERTIFICATION OF COMPLIANCE .21/.08 .38/.13 WITHOUT CERTIFICATION OF COMPLIANCE .86/.21 1.18/.24 4 OR WITHOUT ELEVATION CERTIFICATE 1 Start of construction or substantial improvement on or before 12/31/74, or before the effective date of the initial Flood Insurance Rate Map (FIRM). If FIRM Zone is unknown, use rates for Zones A, AE, AO, AH, D. 2 Zones AO, AH BUILDINGS WITH BASEMENT/ENCLOSURE/CRAWLSPACE/SUBGRADE CRAWLSPACE: Submit for Rating. 3 With Certification of Complia to be used when the Elevation Certificate shows that the lowest floor elevation is equal to or greater than the community elevation requirement. 4 Without Certification of Complia are to be used only on Post-FIRM structures without an Elevation Certificate or when the Elevation Certificate shows that the lowest floor elevation of a Post-FIRM structure is less than the community elevation requirement. *** SUBMIT FOR RATING CONDO 14 May 1, 2010 = Page 76 = TABLE 4D. RCBAP LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) AR AND AR DUAL ZONES REGULAR 1,2 PROGRAM PRE-FIRM AND 3 POST-FIRM NOT ELEVATION-RATED RATES BUILDING TYPE BUILDING CONTENTS NO BASEMENT/ENCLOSURE .74/.21 1.20/.37 WITH BASEMENT .81/.30 1.36/.46 WITH ENCLOSURE .81/.34 1.36/.54 ELEVATED ON CRAWLSPACE .74/.21 1.20/.37 NON-ELEVATED WITH .74/.21 1.20/.37 SUBGRADE CRAWLSPACE REGULAR PROGRAM PRE-FIRM AND POST-FIRM ELEVATION-RATED RATES BUILDING RATES BUILDING TYPE ELEVATION OF LOWEST ONE FLOOR MORE THAN ONE FLOOR MORE THAN ONE FLOOR WITH FLOOR ABOVE OR NO BASEMENT/ENCLOSURE/ NO BASEMENT/ENCLOSURE/ BASEMENT/ENCLOSURE/ 5 BELOW BFE CRAWLSPACE 5 CRAWLSPACE 5 CRAWLSPACE +4 .18/.08 .18/.08 .18/.08 +3 .18/.08 .18/.08 .18/.08 +2 .27/.08 .18/.08 .18/.08 +1 .49/.08 .28/.08 .23/.08 0 .74/.21 .71/.09 .55/.09 4 -1 See Footnote CONTENTS RATES CONTENTS LOCATION LOWEST FLOOR ABOVE ELEVATION OF LOWEST LOWEST FLOOR ONLY - GROUND LEVEL AND FLOOR ABOVE OR ABOVE GROUND LEVEL HIGHER FLOORS BASEMENT/ENCLOSURE/ ABOVE GROUND LEVEL- BELOW BFE (NO BASEMENT/ (NO BASEMENT/ENCLOSURE/ CRAWLSPACE 5 MORE THAN ONE FULL 5 5 ENCLOSURE/CRAWLSPACE ) CRAWLSPACE ) AND ABOVE 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 .52/.12 .38/.12 .38/.12 .35/.12 0 1.24/.12 .69/.12 .41/.12 .35/.12 4 -1 See Footnote 1 Start of construction or substantial improvement on or before 12/31/74, or before the effective date of the initial Flood Insurance Rate Map (FIRM). 2 Base deductible is $2,000. 3 Base deductible is $1,000. 4 Use Pre-FIRM Not Elevation-Rated AR and AR Dual Zones Rate Table above. 5 Includes subgrade crawlspace. CONDO 17 October 1, 2009 = Page 77 = TABLE 4E. RCBAP LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE (Basic/Additional) 1 2 REGULAR PROGRAM 1975-1981 POST-FIRM CONSTRUCTION FIRM ZONES V1-V30, VE BUILDING RATES BUILDING TYPE ELEVATION OF LOWEST ONE FLOOR MORE THAN ONE FLOOR NO MORE THAN ONE FLOOR WITH FLOOR ABOVE OR NO BASEMENT/ENCLOSURE/ BASEMENT/ENCLOSURE/ BASEMENT/ENCLOSURE/ 5 5 BELOW BFE CRAWLSPACE 5 CRAWLSPACE CRAWLSPACE 3 0 2.47/.46 1.98/.46 1.71/.46 4 -1 5.42/2.83 4.96/2.83 3.54/2.57 -2 *** *** *** 1 REGULAR PROGRAM 1975-1981 POST-FIRM CONSTRUCTION FIRM ZONES V1-V30, VE CONTENTS RATES CONTENTS LOCATION LOWEST FLOOR ONLY - LOWEST FLOOR ABOVE GROUND ELEVATION OF LOWEST ABOVE GROUND LEVEL (NO LEVEL AND HIGHER FLOORS (NO BASEMENT/ENCLOSURE/ ABOVE GROUND FLOOR ABOVE OR BASEMENT/ENCLOSURE/ BASEMENT/ENCLOSURE/ CRAWLSPACE 5 LEVEL - MORE THAN 5 BELOW BFE CRAWLSPACE ) CRAWLSPACE ) 5 AND ABOVE ONE FULL FLOOR 3 0 4.09/.57 2.68/.63 1.50/.70 .56/.26 4 -1 9.01/4.37 5.32/3.37 1.77/.70 .56/.26 -2 *** *** *** .56/.26 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- 1 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 For 1981 Post-FIRM construction rating, refer to pages CONDO 19 and 20. 3 These rates are to be used if the lowest floor of the building is at or above the BFE. 4 Use Submit-for-Rate guidelines if the enclosure below the lowest floor of an elevated building, which is used for rating, is 1 or more feet below BFE. 5 Includes subgrade crawlspace. *** SUBMIT FOR RATING . REGULAR PROGRAM 1975-1981 POST-FIRM CONSTRUCTION UNNUMBERED V ZONE ELEVATED BUILDINGS SUBMIT FOR RATING CONDO 18 May 1, 2010 = Page 78 = TABLE 5A. RCBAP HIGH-RISE AND LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE 1 1981 POST-FIRM V1-V30, VE ZONE RATES 2 Elevated Buildings Free of Obstruction Below the Beam Supporting the Bu west Floor Elevation of the bottom of the floor beam of the lowest floor above or Building Contents below Base Flood Rate Rate Elevation adjusted for wave height at building 3 site +4 or more .65 .53 +3 .79 .54 +2 1.03 .73 +1 1.58 1.25 0 2.02 1.87 - 1 2.68 2.59 - 2 3.52 3.53 - 3 4.54 4.78 - 4 or lower *** *** Rates above are only for elevated buildings. Use Specific Rating Guidelines for non-elevated buildings. 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-1 Zone rate table if the rates are more favorable to the insured. See instructions on page RATE 23 for V Zone Optional Rating. 2 Free of Obstruction — The space below the lowest elevated floor must be completely free of obstructions or any attachment to the building, or may have: (1) Insect screening, provided that no additional supports are required for the screening; or (2) Wooden or plastic lattice with at least 40 percent of its area open and made of material no thicker than ˝ inch; or (3) Wooden or plastic slats or shutters with at least 40 percent of their area open and made of material no thicker than 1 inch. Any of these systems must be designed and installed to collapse under stress without jeopardizing the structural support of the building, so that the impact on the building of abnormally high tides or wind-driven water is minimized. Any machinery or equipment below the lowest elevated floor must be at or above the BFE. See page RATE 20 for more details. 3 Wave height adjustment is not required in those cases where the Flood Insurance Rate Map indicates that the map includes wave height. *** SUBMIT FOR RATING CONDO 19 May 1, 2010 = Page 79 = TABLE 5B. RCBAP HIGH-RISE AND LOW-RISE CONDOMINIUM RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE 1,2 1981 POST-FIRM V1-V30, VE ZONE RATES 3 Elevated Buildings With Obstruction Below the Beam Supporting the Bu west Floor Elevation of the bottom of the floor beam of the lowest floor above or Building Contents below Base Flood Rate Rate Elevation adjusted for wave height at building 4 site +4 or more 1.16 .67 +3 1.29 .68 +2 1.53 .86 +1 2.06 1.38 0 2.51 2.00 5 -1 3.11 2.72 5 -2 3.95 3.66 5 -3 4.97 4.91 5 - 4 or lower *** *** 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 Rates provided are only for elevated buildings, except those elevated on solid perimeter foundation walls. For buildings elevated on solid perimeter foundation walls, and for non-elevated buildings, use the Specific Rating Guidelines document. 3 With ObstructionThe space below has an area of less than 300 square feet with breakaway solid walls or contains equipment below the BFE. If the space below has an area of 300 square feet or more, or if any portion of the space below the elevated floor is enclosed with non-breakaway walls, submit for rating. If the enclosure is at or above the , ate table on the preceding page. The elevation of the bottom enclosure floor is the lowest floor for rating (LFE). See page RATE 20 for details. 4 Wave height adjustment is not required in those cases where the Flood Insurance Rate Map indicates that the map includes wave height. 5 For buildings with obstruction, use Submit-for-Rate guidelines if the enclosure below the lowest elevated floor of an elevated, which is used for rating, is 1 or more feet below BFE. *** SUBMIT FOR RATING . TABLE 5C. RCBAP HIGH-RISE AND LOW-RISE BUILDING RATES (Including Townhouse/Rowhouse) ANNUAL RATES PER $100 OF COVERAGE 1981 POST-FIRM V ZONE RATES SUBMIT FOR RATING CONDO 20 May 1, 2010 = Page 80 = X. CONDOMINIUM RATING EXAMPLES TABLE OF CONTENTS EXAMPLE PAGE Example 1 Pre-FIRM, Low-rise, with Enclosure, Coinsurance Penalty, Zone A ................ CONDO 24 Example 2 Pre-FIRM, Low-rise, No Basement/Enclosure, Zone AE ................................. CONDO 25 Example 3 Post-FIRM, Low-rise, Coinsurance Penalty, Zone AE ..................................... CONDO 26 Example 4 Post-FIRM, Low-rise, Standard Deductible, Zone AE ...................................... CONDO 27 Example 5 Pre-FIRM, High-rise, Standard Deductible, Coinsurance Penalty, Zone A ...... CONDO 28 Example 6 Pre-FIRM, High-rise, Basement, Maximum Discount, Zone AE ....................... CONDO 29 Example 7 Post-FIRM, High-rise, Standard Deductible, Zone AE ..................................... CONDO 30 Example 8 Pre-FIRM, High-rise, Enclosure, Maximum Discount, Coinsurance Penalty, Zone AE .............................................................................................. CONDO 31 CONDO 23 October 1, 2009 = Page 81 = CONDOMINIUM RATING EXAMPLE 1 Pre-FIRM, Low-rise, with Enclosure, Coinsurance Penalty, Zone A Regular Program Building Coverage: $140,000 Contents Coverage: $100,000 Condominium Type: Low-rise Flood Zone: A Occupancy: Other Residential # of Units: 6 Date of Construction: Pre-FIRM Building Type: 3 Floors Including Enclosure Deductible: $2,000/$2,000 Deductible Factor: 1.000 Replacement Cost: $600,000 Elevation Difference: N/A 80% Coinsurance Amount: $480,000 ICC Premium: $75 ($30,000 Coverage) CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .75/.79 Contents: .96/.89 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 140,000 .75 1,050 0 .79 0 140,000 1,050 BUILDING 25,000 .96 240 75,000 .89 668 100,000 908 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 1,958 PAYMENT OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 2,033 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 2,033 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 200 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE(MM/DD/YY) TOTAL PREPAID AMOUNT 2,233 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $1,050 / Contents: $908 2. Apply Deductible Factor: Building: 1.000 x $1,050 = $1,050 / Contents: 1.000 x $908 = $908 3. Premium Reduction: Building: $0 / Contents: 0 4. Subtotal: 1,958 5. Add ICC Premium: $75 6. Subtract CRS Discount: N/A 7. Subtotal: 2,033 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $200 10. Total Prepaid Amount: $2,233 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Claim Payment is determined as follows: (Insurance Carried) 140,000 x (Amount of Loss) 100,000 = (Limit of Recovery) 29,167 - Less Deductible (Insurance Required) 480,000 (Coinsurance Penalty applies because minimum insurance amount of $480,000 was not met.) CONDO 24 May 1, 2010 = Page 82 = CONDOMINIUM RATING EXAMPLE 2 PRE-FIRM, LOW-RISE, NO BASEMENT/ENCLOSURE, ZONE AE Regular Program Building Coverage: $480,000 Contents Coverage: $50, 000 Condominium Type: Low-rise Flood Zone: AE Occupancy: Other Residential # of Units: 6 Date of Construction: Pre-FIRM Building Type: 1 Floor, No Basement Deductible: $2,000/$2,000 Deductible Factor: 1.000 Replacement Cost: $600,000 Elevation Difference: N/A 80% Coinsurance Amount: $480,000 ICC Premium: $75 ($30,000 Coverage) CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .70/.54 Contents: .96/1.03 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 360,000 .70 2,520 120,000 .54 648 480,000 3,168 BUILDING 25,000 .96 240 25,000 1.03 258 50,000 498 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 3,666 PAYMENT OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 3,741 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 3,741 MORTGAGE PORTFOLIO PROTECTION PROGRAM PROBATION SURCHARGE THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 200 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 3,941 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $3,168 / Contents: $540 2. Apply Deductible Factor: Building: 1.00 x $3,168 = $3,168 / Contents: 1.00 x $540 = $540 3. Premium Reduction: Building: $0 / Contents: $0 4. Subtotal: $3,666 5. Add ICC Premium: $75 6. Subtract CRS Discount: N/A 7. Subtotal: $3,741 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $200 10. Total Prepaid Amount: $3,941 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Coinsurance Penalty does not apply since minimum insurance amount of 80% was met. CONDO 25 May 1, 2010 = Page 83 = CONDOMINIUM RATING EXAMPLE 3 POST-FIRM, LOW-RISE, COINSURANCE PENALTY, ZONE AE Regular Program Building Coverage: $750,000 Contents Coverage: $100,000 Condominium Type: Low-rise Flood Zone: AE Occupancy: Other Residential # of Units: 14 Date of Construction: Post-FIRM Building Type: 2 Floors, No Basement/Enclosure Deductible: $1,000/$1,000 Deductible Factor: 1.000 Replacement Cost: $1,120,000 Elevation Difference: +1 80% Coinsurance Amount: $896,000 ICC Premium: $6 ($30,000 Coverage) CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .28/.08 Contents: .38/.12 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 750,000 .28 2,100 0 .08 0 0 750,000 2,100 BUILDING 25,000 .38 95 75,000 .12 90 0 100,000 185 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 2,285 PAYMENT OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 2,291 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 2,291 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE FEDERAL LAW. FEDERAL POLICY FEE 440 SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 2,731 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $2,100 / Contents: $185 2. Apply Deductible Factor: Building: 1.000 x $2,100 = $2,100 / Contents: 1.000 x $185 = $185 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $2,285 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $2,291 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $440 10. Total Prepaid Amount: $2,731 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Claim Payment is determined as follows: (Insurance Carried) 750,000 x (Amount of Loss) 300,000 = (Limit of Recovery) 251,116 - Less Deductible (Insurance Required) 896,000 (Coinsurance Penalty applies because minimum insurance amount of $896,000 was not met.) CONDO 26 May 1, 2010 = Page 84 = CONDOMINIUM RATING EXAMPLE 4 POST-FIRM, LOW-RISE, STANDARD DEDUCTIBLE, ZONE AE Regular Program Building Coverage: $600,000 Contents Coverage: $15,000 Condominium Type: Low-rise Flood Zone: AE Occupancy: Other Residential # of Units: 6 Date of Construction: Post-FIRM Building Type: 3 Floors, Townhouse, No Basement/Enclosure Deductible: $1,000/$1,000 Deductible Factor: 1.000 Replacement Cost: $600,000 Elevation Difference: +2 80% Coinsurance Amount: $480,000 ICC Premium: $6 ($30,000 Coverage) CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .18/.08 Contents: .38/.12 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 360,000 .18 648 240,000 .08 192 0 600,000 840 BUILDING 15,000 .38 57 0 .12 0 0 15,000 57 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 897 PAYMENT OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 903 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 903 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 200 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 1,103 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $840 / Contents: $57 2. Apply Deductible Factor: Building: 1.000 x $840 = $840 / Contents: 1.000 x $57 = $57 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $897 5. Add ICC Premium: $6 6. Subtract CRS Discount: N/A 7. Subtotal: $903 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $200 10. Total Prepaid Amount: $1,103 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Coinsurance Penalty does not apply since the minimum insurance amount of 80% was met. CONDO 27 May 1, 2010 = Page 85 = CONDOMINIUM RATING EXAMPLE 5 PRE-FIRM, HIGH-RISE, STANDARD DEDUCTIBLE, COINSURANCE PENALTY, ZONE A Regular Program Building Coverage: $1,110,000 Contents Coverage: $100,000 Condominium Type: High-rise Flood Zone: A Occupancy: Other Residential # of Units: 50 Date of Construction: Pre-FIRM Building Type: 3 or More Floors, No Basement/Enclosure Deductible: $2,000/$2,000 Deductible Factor: 1.000 Replacement Cost: $1,500,000 Elevation Difference: N/A 80% Coinsurance Amount: $1,200,000 ICC Premium: $75 ($30,000 Coverage) CRS Rating: 5 CRS Discount: 25% Determined Rates : Building: .85/.21 Contents: .96/.71 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 175,000 .85 1,488 935,000 .21 1,964 0 1,110,000 3,452 BUILDING 25,000 .96 240 75,000 .71 533 0 100,000 773 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 4,225 PAYMENT OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 4,300 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 25% -1,075 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 3,225 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 840 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 4,065 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $3,452 / Contents: $773 2. Apply Deductible Factor: Building: 1.000 x $3,452 = $3,452 / Contents: 1.000 x $773 = $773 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $4,225 5. Add ICC Premium: $75 6. Subtract CRS Discount: - $1,075 (25%) 7. Subtotal: $3,225 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $840 10. Total Prepaid Amount: $4,065 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Claim Payment is determined as follows: (Insurance Carried) 1,110,000 x (Amount of Loss) 200,000 = (Limit of Recovery) 185,000 - Less Deductible (Insurance Required) 1,200,000 (Coinsurance Penalty applies because minimum insurance amount of $1,200,000 was not met.) CONDO 28 May 1, 2010 = Page 86 = CONDOMINIUM RATING EXAMPLE 6 PRE-FIRM, HIGH-RISE, BASEMENT, MAXIMUM DISCOUNT, ZONE AE Regular Program Building Coverage: $3,000,000 Contents Coverage: $100,000 Condominium Type: High-rise Flood Zone: AE Occupancy: Other Residential # of Units: 50 Date of Construction: Pre-FIRM Building Type: 3 or More Floors, including Basement Deductible: $5,000/$5,000 Deductible Factor: .940 (Maximum Total Discount of $221 applies) Replacement Cost: $3,750,000 Elevation Difference: N/A 80% Coinsurance Amount: $3,000,000 ICC Premium: $75 ($30,000 Coverage) CRS Rating: 8 CRS Discount: 10% Determined Rates : Building: .90/.28 Contents: .96/.86 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 175,000 .90 1,575 2,825,000 .28 7,910 -221 3,000,000 9,264 BUILDING 25,000 .96 240 75,000 .86 645 0 100,000 885 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 10,149 PAYMENT OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 10,224 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 10% -1,022 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 9,202 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 840 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 10,042 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $9,485 / Contents: $885 2. Apply Deductible Factor: Building: .940 x $9,485 = $8,916 / Contents: 1.000 x $885 = $885 3. Premium Reduction: Building: $221 (maximum discount since $9,485 - $8,916 = $569 exceeds the maximum) / Contents: $0 4. Subtotal: $10,149 5. Add ICC Premium: $75 6. Subtract CRS Discount: -$1,022 (10%) 7. Subtotal: $9,202 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $840 10. Total Prepaid Amount: $10,042 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Coinsurance Penalty does not apply since the minimum insurance amount of 80% was met. NOTE: The NFIP accepts premium only in whole dollars. If the discount for an optional deductible does not result in a whole dollar premium, round up if 50˘ or more; round down if less. Always submit gross premium. CONDO 29 May 1, 2010 = Page 87 = CONDOMINIUM RATING EXAMPLE 7 POST-FIRM, HIGH-RISE, STANDARD DEDUCTIBLE, ZONE AE Regular Program Building Coverage: $12,000,000 Contents Coverage: $15,000 Condominium Type: High-rise Flood Zone: AE Occupancy: Other Residential # of Units: 100 Date of Construction: Post-FIRM Building Type: 3 or More Floors, No Basement/Enclosure Deductible: $1,000/$1,000 Deductible Factor: 1.000 Replacement Cost: $15,000,000 Elevation Difference: 0 80% Coinsurance Amount: $12,000,000 ICC Premium: $6 ($30,000 Coverage) CRS Rating: 9 CRS Discount: 5% Determined Rates : Building: 1.28/.05 Contents: .69/.12 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL AMOUNT PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ OF INSURANCE INCREASE 175,000 1.28 2,240 11,825,000 .05 5,913 0 12,000,000 8,153 BUILDING 15,000 .69 104 0 .12 0 0 15,000 104 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 8,257 PAYMENT OPTION: ICC PREMIUM 6 MANUAL SUBMIT FOR RATING SUBTOTAL 8,263 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT 5% -413 PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 7,850 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 840 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 8,690 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $8,153 / Contents: $104 2. Apply Deductible Factor: Building: 1.000 x $8,153 = $8,153 / Contents: 1.000 x $104 = $104 3. Premium Reduction/Increase: Building: $0 / Contents: $0 4. Subtotal: $8,257 5. Add ICC Premium: $6 6. Subtract CRS Discount: - $413 (5%) 7. Subtotal: $7,850 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $840 10. Total Prepaid Amount: $8,690 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Coinsurance Penalty does not apply since the minimum insurance amount of 80% was met. NOTE: The NFIP accepts premium only in whole dollars. If the discount for an optional deductible does not result in a whole dollar premium, round up if 50˘ or more; round down if less. Always submit gross premium. CONDO 30 May 1, 2010 = Page 88 = CONDOMINIUM RATING EXAMPLE 8 PRE-FIRM, HIGH-RISE, ENCLOSURE, MAXIMUM DISCOUNT, COINSURANCE PENALTY, ZONE AE Regular Program Building Coverage: $4,000,000 Contents Coverage: $100,000 Condominium Type: High-rise Flood Zone: AE Occupancy: Other Residential # of Units: 200 Date of Construction: Pre-FIRM Building Type: 3 or More Floors, Including Enclosure Deductible: $3,000/$3,000 Deductible Factor: .980 (Maximum Total Discount of $111 applies) Replacement Cost: $18,000,000 Elevation Difference: N/A 80% Coinsurance Amount: $14,400,000 ICC Premium: $75 ($30,000 Coverage) CRS Rating: N/A CRS Discount: N/A Determined Rates : Building: .90/.21 Contents: .96/1.03 ADDITIONAL LIMITS BASIC AND BASIC LIMITS DEDUCTIBLE (REGULAR PROGRAM ONLY) ADDITIONAL TOTAL COVERAGE AMOUNT OF ANNUAL AMOUNT OF ANNUAL PREM. TOTAL PREMIUM INSURANCE RATE PREMIUM INSURANCE RATE PREMIUM REDUCTION/ AMOUNT OF INCREASE INSURANCE 175,000 .90 1,575 3,825,000 .21 8,033 -111 4,000,000 9,497 BUILDING 25,000 .96 240 75,000 1.03 773 0 100,000 1,013 CONTENTS RATE TYPE: (ONE BUILDING PER POLICY BLANKET COVERAGE NOT PERMITTED) ANNUAL SUBTOTAL 10,510 PAYMENT OPTION: ICC PREMIUM 75 MANUAL SUBMIT FOR RATING SUBTOTAL 10,585 ALTERNATIVE V-ZONE RISK RATING FORM CREDIT CARD CRS PREMIUM DISCOUNT % PROVISIONAL RATING LEASED FEDERAL PROPERTY OTHER: SUBTOTAL 10,585 MORTGAGE PORTFOLIO PROTECTION PROGRAM THE ABOVE STATEMENTS ARE CORRECT TO THE BEST OF MY KNOWLEDGE. I UNDERSTAND THAT PROBATION SURCHARGE ANY FALSE STATEMENTS MAY BE PUNISHABLE BY FINE OR IMPRISONMENT UNDER APPLICABLE 840 FEDERAL LAW. FEDERAL POLICY FEE SIGNATURE OF INSURANCE AGENT/BROKER DATE (MM/DD/YY) TOTAL PREPAID AMOUNT 11,425 Premium Calculation: 1. Multiply Rate x $100 of Coverage: Building: $9,608 / Contents: $1,013 2. Apply Deductible Factor: Building: .980 x $9,608 = $9,416 / Contents: .980 x $1,013 = $993 3. Premium Reduction: Building: $111 (maximum discount since $9,608 - $9,416 = $192 exceeds the maximum) / Contents: $0 4. Subtotal: $10,510 5. Add ICC Premium: $75 6. Subtract CRS Discount: N/A 7. Subtotal: $10,585 8. Probation Surcharge: N/A 9. Add Federal Policy Fee: $840 10. Total Prepaid Amount: $11,425 CLAIMS ADJUSTMENT WITH COINSURANCE PROVISION Claim Payment is determined as follows: (Insurance Carried) 4,000,000 x (Amount of Loss) 1,000,000 = (Limit of Recovery) 277,778 - Less Deductible (Insurance Required) 14,400,000 (Coinsurance Penalty applies because minimum insurance amount of $14,400,000 was not met.) CONDO 31 May 1, 2010 = Page 89 = = Page 90 = PREFERRED RISK POLICY I. GENERAL DESCRIPTION Contents-only coverage is available for tenants and owners of all eligible occupancies, except The Preferred Risk Policy (PRP) offers low-cost when contents are located entirely in a coverage to owners and tenants of eligible basement. buildings located in the moderate-risk B, C, and X Zones in NFIP Regular Program C. Loss History communities . A building's eligibility for the PRP is based on For residential properties, the maximum the preceding requirements and on the coverage combination is $250,000 building and buildings flood loss histor. If one of the $100,000 contents. Up to $100,000 contents- following conditions exists within any 10-year only coverage is available. period, regardless of any change(s) in ownership of the building, then the building is For non-residential properties, the maximum not eligible for the PRP: coverage combination is $500,000 building and $500,000 contents. Up to $500,000 contents- 2 flood insurance claim payments, each only coverage is available. more than $1,000; or 3 or more flood insurance claim payments, Only one building can be insured per policy, and regardless of amount; or only one policy can be written on each building. 2 Federal flood disaster relief payments II. ELIGIBILITY REQUIREMENTS (including loans and grants), each more than $1,000; or A. Flood Zone 3 Federal flood disaster relief payments To be eligible for building/contents coverage or (including loans and grants), regardless of contents-only coverage under the PRP, the amount; or building must be in a B, C, or X Zone on the 1 flood insurance claim payment and 1 effective date of the policy. However, for the Federal flood disaster relief payment purpose of determining the flood zone, the agent (including loans and grants), each more than may use the FIRM in effect at the time of $1,000. application and presentment of premium. The flood map available at the time of the renewal In reviewing a buildings flood loss history for offer determines a buildings continued eligibilit PRP eligibility, be aware that: for the PRP. (See V. RENEWAL.) NFIP map grandfathering rules do not apply to the PRP. A flood insurance claim payment (building and/or contents) and a Federal flood B. Occupancy disaster relief payment (including loans and grants) for the same loss are considered a Combined building/contents amounts of single payment. insurance are available for owners of all eligible Federal flood disaster relief payments occupancy typesone- to four-family properties (including loans and grants) are considered (including individual condominium units in only if the building sustained flood damage. condominium buildings), other residential properties, and non-residential properties. THE PRP AT A GLANCE MAXIMUM LIMITS BY OCCUPANCY TYPE COVERAGE TYPE 1-4 Family Other Residential Non-Residential $250,000/ Combined Building/ $250,000/ $500,000/ Contents $100,000 $100,000 $500,000 Contents Only $100,000 $100,000 $500,000 PRP 1 October 1, 2008 = Page 91 = III. INELIGIBILITY signed and dated by a surveyor, engineer, architect, or local community official For help in determining eligibility/ineligibility A flood zone determination certification that of various condominium risks, use the PRP guarantees the accuracy of the information. Condominium Rating Chart on the next page. An agent writing through a Write Your Own Properties in Special Flood Hazard Areas or (WYO) company should contact that company in Emergency Program communities are not for guidance. eligible for the PRP. Multi-unit residential condominium buildings V. RENEWAL eligible under the Residential Condominium Building Association Policy are not eligible An eligible risk renews automatically without for the PRP. submission of a new application. If, during a policy term, the risk fails to meet the eligibility Individual residential condominium units in requirements, it cannot be renewed as a PRP. It non-residential condominium buildings are must be nonrenewed or rewritten as a standard not eligible for building coverage. rated policy. Individual non-residential condominium units Effective May 1, 2008, if there has been a map are not eligible for building coverage. change during the policy term that may affect Contents located entirely in a basement are the insured propert, proof of the properts not eligible for contents-only coverage. continued eligibility for the PRP must be However, contents located entirely in an provided for the policy to be renewed. See IV. enclosure are eligible. DOCUMENTATION. Condominium units are not eligible for VI. COVERAGE LIMITS Increased Cost of Compliance (ICC) coverage. The elevated building coverage limitation Buildings on Leased Federal Property provisions do not apply to the PRP. determined by the Administrator to be located on the river-facing side of any dike, VII. REPLACEMENT COST COVERAGE levee, or other riverine flood control structure, or seaward of any seawall or other Replacement cost coverage applies only if the coastal flood control structure are not building is the principal residence of the insured eligible for the PRP. and the building coverage chosen is at least 80 percent of the replacement cost of the building IV. DOCUMENTATION at the time of the loss, or the maximum coverage available under the NFIP. All Preferred Risk Policy new business applications must include documentation of VIII. DISCOUNTS/FEES/ICC PREMIUM eligibility for the PRP. Such applications must be accompanied by one of the following: No Community Rating System discount is associated with the PRP. A Letter of Map Amendment (LOMA) The $50.00 Community Probation Sur- A Letter of Map Revision (LOMR) charge is added, when applicable. A Letter of Determination Review (LODR) The Federal Policy Fee of $20.00 is included in the premium and is not subject to A copy of the most recent flood map marked commission. to show the exact location and flood zone of The ICC premium of $6.00 is included. the building A letter indicating the exact location and IX. DEDUCTIBLES flood zone of the building, and signed and dated by a local community official The standard deductible for PRPs is $1,000 each for building and contents, applied An Elevation Certificate indicating the exact separately. Optional deductibles are not location and flood zone of the building, and available for PRPs. PRP 2 May 1, 2010 = Page 92 = PREFERRED RISK POLICY CONDOMINIUM RATING CHART RESIDENTIAL SINGLE UNIT BUILDING OR TOWNHOUSE/ROWHOUSE TYPE BUILDING WITH SEPARATE ENTRANCE FOR EACH UNIT 11 Condo Unit PRP 2 PURCHASER OF POLICY Building Occupancy 1 Rate Table Policy Form Indicator Eligibility UNIT OWNER SINGLE FAMILY Yes Yes One- to Four-Family Residential DWELLING ASSOCIATION (ASSOCIATION-OWNED SINGLE FAMILY Yes Yes One- to Four-Family Residential DWELLING SINGLE UNIT ONLY) ASSOCIATION N/A N/A No N/A N/A (ENTIRE BUILDING) MULTI-UNIT RESIDENTIAL BUILDING 2 TO 4 UNITS PER BUILDING 1 Condo Unit PRP 2 PURCHASER OF POLICY Building Occupancy 1 Rate Table Policy Form Indicator Eligibility UNIT OWNER 2-4 Yes Yes One- to Four-Family Residential DWELLING ASSOCIATION (ASSOCIATION-OWNED 2-4 Yes Yes One- to Four-Family-Residential DWELLING SINGLE UNIT ONLY) ASSOCIATION N/A N/A No N/A N/A (ENTIRE BUILDING) PRP 3 MULTI-UNIT RESIDENTIAL BUILDING 5 OR MORE UNITS PER BUILDING 1 Condo Unit PRP 2 PURCHASER OF POLICY Building Occupancy 1 Rate Table Policy Form Indicator Eligibility UNIT OWNER OTHER RESIDENTIAL Yes Yes Other Residential DWELLING ASSOCIATION (ASSOCIATION-OWNED OTHER RESIDENTIAL Yes Yes Other Residential DWELLING SINGLE UNIT ONLY) ASSOCIATION N/A N/A No N/A N/A (ENTIRE BUILDING) NON-RESIDENTIAL BUILDING 1 Condo Unit PRP 2 PURCHASER OF POLICY Building Occupancy 1 Rate Table Policy Form Indicator Eligibility Yes (BUILDING COVERAGE NOT UNIT OWNER NON-RESIDENTIAL Yes Non-Residential Contents Only GENERAL PROPERTY AVAILABLE, ONLY CONTENTS) May 1, 2010 Yes (BUILDING One- to Four-Family Residential COVERAGE NOT UNIT OWNER SINGLE FAMILY Yes or DWELLING AVAILABLE, Other Residential if 5 or more units ONLY CONTENTS) Non-Residential Building and ASSOCIATION NON-RESIDENTIAL N/A Yes GENERAL PROPERTY Contents 1 When there is a mixture of residential and commercial usage within a single building, please refer to the GR Section of the Flood Insurance Manual . 2 All building rates are based on the lowest floor of the building. = Page 93 = PRP COVERAGES AVAILABLE EFFECTIVE MAY 1, 2010 ONE- TO FOUR-FAMILY RESIDENTIAL 1, 2, 3 BUILDING AND CONTENTS COVERAGE COMBINATIONS 5 6 With Basement or Enclosure Without Basement or Enclosure Building Contents Premium Building Contents Premium $ 20,000 $ 8,000 $144 $ 20,000 $ 8,000 $119 $ 30,000 $ 12,000 $175 $ 30,000 $ 12,000 $150 $ 50,000 $ 20,000 $226 $ 50,000 $ 20,000 $201 $ 75,000 $ 30,000 $267 $ 75,000 $ 30,000 $237 $100,000 $ 40,000 $294 $100,000 $ 40,000 $264 $125,000 $ 50,000 $314 $125,000 $ 50,000 $284 $150,000 $ 60,000 $333 $150,000 $ 60,000 $303 $200,000 $ 80,000 $368 $200,000 $ 80,000 $333 $250,000 $100,000 $395 $250,000 $100,000 $355 1, 2, 4 ALL RESIDENTIAL CONTENTS-ONLY COVERAGE Contents Above Ground Level More Than One Floor All Other Locations (Basement-Only Not Eligible) Contents Premium Contents Premium $ 8,000 $ 39 $ 8,000 $ 58 $ 12,000 $ 55 $ 12,000 $ 82 $ 20,000 $ 86 $ 20,000 $118 $ 30,000 $100 $ 30,000 $137 $ 40,000 $112 $ 40,000 $154 $ 50,000 $124 $ 50,000 $171 $ 60,000 $136 $ 60,000 $188 $ 80,000 $160 $ 80,000 $208 $100,000 $184 $100,000 $228 1, 2, 3 OTHER RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS 5 With Basement or Enclosure Contents $8,000 $12,000 $20,000 $30,000 $40,000 $50,000 $60,000 $80,000 $100,000 Coverage $ 20,000 $158 $172 $185 $198 $210 $221 $232 $242 $252 $ 30,000 $172 $186 $199 $212 $224 $235 $246 $256 $266 $ 50,000 $206 $220 $233 $246 $258 $269 $280 $290 $300 $ 75,000 $222 $236 $249 $262 $274 $285 $296 $306 $316 $100,000 $244 $258 $271 $284 $296 $307 $318 $328 $338 $125,000 $251 $265 $278 $291 $303 $314 $325 $335 $345 $150,000 $256 $270 $283 $296 $308 $319 $330 $340 $350 $200,000 $287 $301 $314 $327 $339 $350 $361 $371 $381 Building Coverage $250,000 $304 $318 $331 $344 $356 $367 $378 $388 $398 1, 2, 3 OTHER RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS 6 Without Basement or Enclosure Contents $8,000 $12,000 $20,000 $30,000 $40,000 $50,000 $60,000 $80,000 $100,000 Coverage $ 20,000 $130 $142 $153 $164 $174 $184 $193 $202 $210 $ 30,000 $148 $159 $170 $181 $191 $201 $210 $219 $227 $ 50,000 $183 $194 $205 $216 $226 $236 $245 $254 $262 $ 75,000 $203 $214 $225 $235 $245 $255 $264 $273 $281 $100,000 $221 $232 $243 $253 $263 $273 $282 $291 $299 $125,000 $230 $241 $252 $262 $272 $281 $290 $299 $307 $150,000 $237 $248 $259 $269 $279 $288 $297 $306 $314 $200,000 $265 $276 $287 $297 $307 $316 $325 $333 $341 Building Coverage $250,000 $280 $291 $302 $312 $322 $331 $340 $348 $356 1 Add the $50.00 Probation Surcharge, if applicable. 2 Premium includes Federal Policy Fee of $20.00. 3 Premium includes ICC premium of $6.00. Deduct this amount if the risk is a condominium unit. 4 U se this All Residential Contents-Onl Coverage premium table for individual residential condominium unit contents-only policies. 5 Do not use this section of the table for buildings with crawlspaces or subgrade crawlspaces. See footnote 6. 6 Use this section of the table for buildings with crawlspaces or subgrade crawlspaces. PRP 4 May 1, 2010 = Page 94 = PRP COVERAGES AVAILABLE EFFECTIVE MAY 1, 2010 () 1, 2, 3 NON-RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS 4 With Basement or Enclosure Contents $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 Coverage $ 50,000 $ 887 $1,146 $1,394 $1,630 $1,855 $2,069 $2,272 $2,463 $2,643 $2,812 $100,000 $1,261 $1,520 $1,767 $2,003 $2,228 $2,442 $2,645 $2,836 $3,016 $3,185 $150,000 $1,536 $1,795 $2,042 $2,278 $2,503 $2,717 $2,920 $3,111 $3,291 $3,460 $200,000 $1,685 $1,944 $2,191 $2,427 $2,652 $2,866 $3,069 $3,260 $3,440 $3,609 $250,000 $1,790 $2,049 $2,296 $2,532 $2,757 $2,971 $3,174 $3,365 $3,545 $3,714 $300,000 $1,906 $2,165 $2,412 $2,648 $2,873 $3,087 $3,290 $3,481 $3,661 $3,830 $350,000 $2,034 $2,293 $2,540 $2,776 $3,001 $3,215 $3,417 $3,608 $3,788 $3,957 Building Coverage $400,000 $2,118 $2,377 $2,624 $2,860 $3,085 $3,299 $3,501 $3,692 $3,872 $4,041 $450,000 $2,214 $2,473 $2,720 $2,956 $3,181 $3,395 $3,597 $3,788 $3,968 $4,137 $500,000 $2,319 $2,578 $2,825 $3,061 $3,286 $3,500 $3,702 $3,893 $4,073 $4,242 1, 2, 3 NON-RESIDENTIAL BUILDING AND CONTENTS COVERAGE COMBINATIONS 5 Without Basement or Enclosure Contents $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 Coverage $ 50,000 $ 557 $ 695 $ 827 $ 953 $1,073 $1,187 $1,295 $1,397 $1,493 $1,583 $100,000 $ 749 $ 887 $1,019 $1,145 $1,265 $1,379 $1,487 $1,589 $1,685 $1,775 $150,000 $ 892 $1,030 $1,162 $1,288 $1,408 $1,522 $1,630 $1,732 $1,828 $1,918 $200,000 $1,041 $1,179 $1,311 $1,437 $1,557 $1,671 $1,779 $1,881 $1,977 $2,067 $250,000 $1,141 $1,279 $1,411 $1,537 $1,657 $1,771 $1,879 $1,981 $2,077 $2,167 $300,000 $1,247 $1,385 $1,517 $1,643 $1,763 $1,877 $1,985 $2,087 $2,183 $2,273 $350,000 $1,304 $1,442 $1,574 $1,700 $1,820 $1,934 $2,042 $2,144 $2,240 $2,330 Building Coverage $400,000 $1,367 $1,505 $1,637 $1,763 $1,883 $1,997 $2,105 $2,207 $2,303 $2,393 $450,000 $1,436 $1,574 $1,706 $1,832 $1,952 $2,066 $2,174 $2,276 $2,372 $2,462 $500,000 $1,511 $1,649 $1,781 $1,907 $2,027 $2,141 $2,249 $2,351 $2,447 $2,537 1, 2 NON-RESIDENTIAL CONTENTS-ONLY COVERAGE Contents Above Ground Level More Than One Floor All Other Locations (Basement-Only Not Eligible) Contents Premium Contents Premium $ 50,000 $152 $ 50,000 $ 337 $100,000 $227 $100,000 $ 507 $150,000 $302 $150,000 $ 677 $200,000 $377 $200,000 $ 847 $250,000 $452 $250,000 $1,017 $300,000 $527 $300,000 $1,187 $350,000 $602 $350,000 $1,357 $400,000 $677 $400,000 $1,527 $450,000 $752 $450,000 $1,697 $500,000 $827 $500,000 $1,867 1 Add the $50.00 Probation Surcharge, if applicable. 2 Premium includes Federal Policy Fee of $20.00. 3 Premium includes ICC premium of $6.00. Deduct this amount if the risk is a condominium unit. 4 Do not use this section of the table for buildings with crawlspaces or subgrade crawlspaces. See footnote 5. 5 Use this section of the table for buildings with crawlspaces or subgrade crawlspaces. PRP 5 May 1, 2010 = Page 95 = X. ENDORSEMENTS The policy may be canceled/rewritten using Cancellation Reason Code 24 under the The PRP may be endorsed to: following conditions: Increase coverage mid-term, subject to the The request to cancel/rewrite the standard coverage limits in effect when the policy was policy must be received during the policy issued or renewed. See page END 5 for an term or within 6 months of the policy example. expiration date. Correct misratings, such as incorrect The standard policy has no open claim or building description or community number. closed paid claim on the policy terms being canceled. XI. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MISRATING The property meets all other PRP eligibility requirements. A policy written as a Standard B, C, or X Zone The building and/or contents coverage on the policy and later found to be eligible for a PRP new PRP must be equal either to the building may be endorsed or rewritten as a PRP for only limit and/or contents limit issued under the the current policy term. standard policy, or to the next higher limit available under the PRP if there is no PRP When the risk has been rated with other than B, option equal to the standard policy building C, or X Zone rates, but is later found to be in a and/or contents limit. B, C, or X Zone and eligible for a PRP, the writing company will be allowed to endorse or XIII. CONVERSION OF PRP TO STANDARD cancel/rewrite up to 6 years. RATED POLICY The policy may be canceled/rewritten using Cancellation Reason Code 22 if both of the A Preferred Risk Policy must be canceled and following conditions are met: rewritten to a standard rated policy if the risk no longer meets the PRP eligibility requirements. The request to endorse or cancel/rewrite the policy is received during the current policy The building and/or contents coverage on the term. new standard policy must be equal to the building limit and/or contents limit issued under The policy has no open claim or closed paid the PRP. If new coverage is desired, the policy claim on the policy term being canceled. should be endorsed with a 30-day waiting period applied. The new PRP building and/or contents coverage will be equal either to the building limit issued XIV. COMPLETING THE FLOOD INSURANCE under the Standard B, C, or X Zone policy or the PREFERRED RISK POLICY APPLICATION next higher limit available under the PRP if there is no PRP option equal to the Standard B, C, or A. Policy Status X Zone building limit. For a standard contents- only policy, the contents coverage will be equal In the upper right corner of the form, check the to the limit issued under the standard policy or appropriate box to indicate if the application is the next higher limit. If building coverage is for a NEW policy or a RENEWAL of an existing desired, the policy should be endorsed for policy. If the application is for a renewal, enter building and contents coverage with a 30-day the current NFIP policy number. waiting period applied. B. Policy Term XII. CONVERSION OF STANDARD RATED POLICY TO PRP DUE TO MAP The PRP is available only for 1-year terms. REVISION, LOMA, OR LOMR 1. Check the appropriate box to indicate who A standard rated policy may be canceled and should receive the renewal bill. If BILL FIRST rewritten as a PRP as a result of a map revision, MORTGAGEE is checked, complete "First LOMA, or LOMR if the effective date of the map Mortgagee" section. If BILL SECOND change was on or after February 1, 2005. MORTGAGEE, BILL LOSS PAYEE, or BILL OTHER is checked, provide mailing instructions in "Second Mortgagee or Other" section. PRP 6 May 1, 2010 = Page 96 = 2. Enter the policy effective date and policy 2. If more than one additional mortgagee or expiration date (month-day-year). The disaster assistance agency exists, provide effective date of the policy is determined by the requested information on the producer's adding the appropriate waiting period to the letterhead. date of application in the "Signature" section. Above these dates, check the appropriate H. Property Location box to indicate whether the waiting period is 1. Check YES if the location of the property STANDARD 30-DAY or LOAN being insured is the same as the address TRANSACTIONNO WAITING. Refer to the entered in the "Insureds Mailing Address" General Rules section, pages GR 8-9, for section. Leave the rest of this section blank the applicable waiting period. unless there is more than one building at the property location. C. Agent Information Enter the agent's (producer's) name, agency 2. If more than one building is at the location name and number, address, city, state, ZIP of the insured property, use this section to Code, telephone number, fax number, and Tax specifically identify the building to be I.D. Number. insured. Briefly describe the building or submit a sketch showing the location of D. insured buildings to assist the NFIP in matching the policy number to the specific 1. Enter the name, mailing address, city, building insured. state, ZIP Code, and telephone number of the insured. 3. If NO, provide the address or location of the property to be insured. 2. If the insured's mailing address is a post office box or a rural route number, or if the 4. If the insured's mailing address is a post address of the property to be insured is office box or rural route number, give the different from the mailing address, street address, legal description, or complete the "Property Location" section of geographic location of the property. the application. I. Community E. Disaster Assistance 1. Enter the name of the county or parish 1. Check YES if flood insurance is being where the property is located. required for disaster assistance. Enter the insured's Case File Number, Disaster 2. Enter the community identification number, Assistance Number, or Tax I.D. Number on map panel number, and revision suffix for the line for CASE FILE NUMBER. the community where the property is located. Use the FIRM in effect and that 2. In the "Second Mortgagee or Other" block, has been published at the time of identify the government (disaster) agency, presentment of premium and completion of and enter the complete name and mailing application. Community number and status address of the disaster agency. may be obtained by calling the writing 3. If NO is checked, no other information is company, consulting a local community required. official, or referencing the NFIP Community Status Book online at www.fema.gov/fema/csb.shtm . F. First Mortgagee 3. Enter the Flood Insurance Rate Map zone. Enter the name, mailing address, city, state, ZIP Code, telephone number, and fax number of the 4. Identify the information source. first mortgagee. Enter the loan number. 5. Check YES if the building is located on G. Second Mortgagee or Other federal land; otherwise, check NO. 1. Identify additional mortgagees by checking NOTE: If the property is federally leased, the appropriate box and entering the loan refer to the Leased Federal number, mortgagee's name, mailing ad- Property Section for guidance. dress, telephone number, and fax number. PRP 7 October 1, 2009 = Page 97 = J. Building and Contents L. Premium Complete all required information in this section. 1. Enter the coverage selected, and the premium, from the appropriate table on 1. Check building occupancy: Single Family, pages PRP 4-5. 2-4 Family, Other Residential, or Non- 2. Add the $50.00 Probation Surcharge, if Residential (incl. Hotel/Motel). applicable. Deduct $6.00 if this is an 2. Enter date of construction. application for a condominium unit. 3. Check building type. If the building has a M. Signature basement, enclosure, crawlspace, or subgrade crawlspace, count the basement, The producer must sign the Preferred Risk enclosure, crawlspace, or subgrade Policy Application and is responsible for the crawlspace as a floor. If the building type is completeness and accuracy of the information a manufactured (mobile) home/travel trailer provided on it. Enter the date of application on foundation, enter the make, model, and (month/day/year). The waiting period is added to serial number in the block at the bottom of this date to determine the policy effective date of this section. the policy listed in the Policy Term section. A 4. Check YES, if the building is under a check or money order for the Total Prepaid Condominium Form of Ownership; otherwise Amount, payable to the NFIP, must accompany check NO. (A homeowners association [HOA] the application. may differ from a condominium form of ownership.) Electronics transactions are permitted if the business process includes authentication of 5. Check location of buildings contents. signatures and dates of receipt of premium. (Contents located entirely in a basement WYO companies are responsible for determining are not eligible for contents-only coverage.) the business practices and transaction 6. Check YES if the building is the insured's authentication methods they will use to ensure principal residence; otherwise, check NO. the security and integrity of such transactions. 7. Using normal company practice, estimate the replacement cost value and enter the A credit card payment by VISA, MasterCard, or value in the space provided. Include the American Express will also be acceptable if a cost of the building foundation when disclaimer form, signed by the insured, is determining the replacement cost value. submitted with the Preferred Risk Policy Application. The disclaimer will state that 8. Indicate whether the building has a cancellation of a policy due to a billing dispute Basement, Enclosure, Crawlspace, or will be permitted only for a billing error or fraud. If Subgrade Crawlspace. the credit card information is taken over the telephone by the producer, the producer may K. Notice sign the authorization form on behalf of the payor If the answer to either question A or question B only after having read the disclaimer to the is YES, this risk is not eligible for the Preferred payor. Risk Policy. PRP 8 May 1, 2010 = Page 98 = INDEX A CISTERNS .................................................... GR 4, 6, DEF 2 CLAIMS ...................................................................... CL 1-5 ABOVE GROUND BUILDING, PRINCIPALLY ... GR 3, DEF 7 Appealing a Claim................................................... CL 1-3 ACT ....................................................... REF 1, GR 7, DEF 1 Filing a Claim ............................................................. CL 1 ACTUAL CASH VALUE (ACV) .................................... DEF 1 Increased Cost of Compliance (ICC) Claims ........... CL 4-5 ADDITIONS AND EXTENSIONS Insured's Responsibilities........................................ CL 1-3 (TO BUILDING) ............................................ GR 5, RATE 16 Producer's Responsibilities ..................................... CL 3,4 ADJUSTER CONTROL OFFICE ........................CL 3, DEF 1 Single Adjuster Program ............................. CL 3-4, DEF 8 ALTERNATIVE RATES ............... RATE 21, END 1-2, DEF 1 Training ..................................................................... CL 4 ANCHORED ................................................... GR 3-4, DEF 1 CLAIMS COORDINATING OFFICE (CCO) ........ CL 4, DEF 2 APPLICATION ........................................... GR 15, APP 1-12, CLOSED BASIN LAKE...................................... CN 7, DEF 2 CONDO 8-9, PRP 7-10, DEF 1 COASTAL BARRIER .................................................. DEF 2 Binder or Certificate of Insurance .................. GR 8, DEF 1 COASTAL BARRIER RESOURCES Flood Insurance Application Form ................... APP 11-12 SYSTEM (CBRS) .................................... CBRS 1-12, DEF 2 Incomplete/Incorrect Applications ............................ APP 9 Coastal Barrier Improvement Act Mailing Instructions ................................. GR 8, 14, APP 8 of 1990 (CBIA) ....................................... CBRS 1, DEF 2 APPURTENANT STRUCTURE ......................... GR 3, DEF 1 Coastal Barrier Resources Act ASSESSMENT COVERAGE ............ GR 13, 14, CONDO 7-8 of 1982 (CBRA) .......................... GR 1, CBRS 1, DEF 2 ASSIGNMENT OF POLICY .............. GR 15, MPPP 6, DEF 1 List of CBRS Communities ............................... CBRS 3-12 COASTAL HIGH HAZARD AREA .......... RATE 30-31, DEF 2 B COINSURANCE ....................................... CONDO 7, DEF 2 COMMERCIAL CONTENTS ....................... GR 6, CONDO 2 BASE FLOOD.............................................................. DEF 1 ....... GR 15, CONDO 8, CN 8 BASE FLOOD DEPTH ................................. RATE 18, DEF 1 COMMON INTERIOR WALLS ...................................... GR 5 BASE FLOOD ELEVATION (BFE) ........ GR 15, RATE 17-23, COMMUNITY (See also PROBATION and MAP 2, 3, DEF 1 SUSPENSION) .................................. GR 1, APP 2-3, DEF 2 BASEMENT ............... APP 1, 3, RATE 25, CERT 3-6, DEF 1 Community Eligibility ................................................. GR 1 BINDER OR CERTIFICATE OF INSURANCE ... GR 8, DEF 1 Community Number .....................................APP 3, DEF 2 BLANKET INSURANCE .............................................. DEF 1 Community Status .................................................. APP 3 BOATHOUSES .............................................................. GR 4 Non-Participating Community ....................... GR 1, APP 3 BREAKAWAY WALLS ....................... GR 5, RATE 20, DEF 1 Participating Community ............................... GR 1, DEF 7 BUILDING ................................ GR 3-7, 6-7, APP 3-4, DEF 1 Regular Program Community .................................. DEF 8 Additions and Extensions ........................ GR 5, RATE 16 COMMUNITY RATING SYSTEM (CRS) .................... APP 7, Building Coverage Limits ....................................... RATE 1 CRS 1-28, DEF 2 Building in the Course of Construction ................... GR 4-5, CONDOMINIUM ASSOCIATION............ CONDO 1-2, DEF 2 APP 6, CONDO 6-7, DEF 2 CONDOMINIUMS ................................ CONDO 1-31, DEF 2 Buildings in More Than One Flood Zone ................ GR 14, CONSTRUCTION DATA .......................................... APP 5-6 RATE 17 CONTACT INFORMATION, NFIP ............................ REF 3-6 Building on Fill ........................................................... PR 2 CONTENTS ..................... GR 6, 7, 8, APP 4, RATE 1, 26-29 Building Over Water .............................................. GR 4, 7 CONTINUOUS LAKE FLOODING ................................. CN 7 Building Partially Underground .................................. GR 7 CONTRACT AGENT .................................... GR 15, DEF 2-3 Container-Type Building ............................................ GR 7 COOPERATIVES .......................................................... GR 6 Contents ...................... GR 6, 7, 8, APP 4, RATE 1, 26-29 COUNTYWIDE MAP ....................................... MAP 1, DEF 3 Elevated Building ................................... APP 1, 4, 5, 6, 8, COURSE OF CONSTRUCTION ................... GR 4-5, APP 5, RATE 19-21, DEF 3 CONDO 6-7, DEF 2 Floodproofed Building ...... RATE 31-32, CERT 3-4, DEF 4 COVERAGE................. GR 11-14, RATE 1-11, CONDO 7- 9, Manufactured (Mobile) Home/Travel Trailer .......... GR 3-4, PRP 1, 4-5, MPPP 3-4, END 1 APP 1, 4, 5, 8, RATE 15, 16, PR 1, DEF 3, 5, 9 Additional Coverage or Increase in Coverage ......... END 1 Section 1316 ................................................. GR 7, DEF 8 Amount of Insurance Available ............................. RATE 1 Single Building .............................................. GR 5, DEF 8 Building Coverage ........................... GR 3-6, 6-7, RATE 1, Start of Construction........................... RATE 15-16, DEF 9 CONDO 9, PRP 1, 5-6 Substantial Improvement ........ APP 5, RATE 15-16, DEF 9 Contents Coverage .................... GR 7, 8, APP 4, RATE 1, Types of Buildings ................... APP 1, 3-8, CONDO 6, 8-9 CONDO 9, PRP 1, 4-5 BUILDING DIAGRAMS 1-9 ..................LFG 4-7, CERT 23-25 Contents-Only Coverage ................. RATE 57, PRP 1, 4-5 BUILDING DRAWINGS .......................................... LFG 8-68 Limits of Coverage ................................... GR 12, RATE 1, BUILDING OCCUPANCY ...........................................GR 5-6 CONDO 7, 9, PRP 1, 4-5, MPPP 3-4 BUSINESS ANALYST, WYO ....................................... REF 2 Reduction or Reformation/Removal of Insurance ............... GR 12-13, END 1, MPPP 5, PR 1 C CRAWLSPACE .... RATE 25, LFG 2, CERT 2, CONDO 10-18 CREDIT CARD PAYMENT............. APP 7, REN 2, 8, MAP 4 CANCELLATION/NULLIFICATION ........... CONDO 8, PRP 6, CREDIT CARD PAYMENT FORM .......................... REN 2, 8 MPPP 6, CN 1-11, DEF 2, 6 Cancellation/Nullification Request Form ............. CN 10-11 D Form Completion ....................................................... CN 8 Processing Outcomes Table ..................................... CN 9 DATE OF CONSTRUCTION .................. APP 5, RATE 15-16 Valid Reason Codes for Cancellation/Nullification .. CN 1-7 DEF 3 Refunds ................................................................. CN 1-8 DECLARATIONS PAGE ........................... MPPP 4-5, DEF 3 CERTIFICATIONS ............................................... CERT 1-42 DEDUCTIBLE BUYBACK ........................... RATE 12, DEF 3 DEDUCTIBLE FACTORS ................... RATE 13, CONDO 22 IND 1 May 1, 2010 = Page 99 = DEDUCTIBLES .............................. GR 12, RATE 12, 13, 17, FLOOD HAZARD BOUNDARY MAP (FHBM) .............. GR 1, CONDO 8, 22, PRP 2, MPPP 5, END 2 MAP 1, 2, 4-6, 8, DEF 4 DEFINITIONS ......................................................... DEF 1-10 FLOOD INSURANCE CLAIMS OFFICE (FICO) ............ CL 3, DESCRIBED LOCATION ............................................. DEF 3 DEF 4 DIAGRAM NUMBER ................................................... DEF 3 FLOOD INSURANCE RATE MAP (FIRM) .................... GR 1, DIRECT PHYSICAL LOSS BY OR FROM FLOOD ...... DEF 3 CERT 2, MAP 1, 3, 4-6, 7, DEF 4 DIRECT PROGRAM ................................... REF 2, 3, GR 15, FLOOD ................ RATE 22-23, APP 8, CONDO 7 PRP 1, DEF 4 DISASTER ASSISTANCE ................. GR 3, APP 2, PRP 1, 7 FLOOD MAPS ............................................... GR 1, MAP 1-8 DOUBLEWIDE MANUFACTURED (MOBILE) Changing or Correcting a Flood Map ...................... MAP 3 HOME ........................................................... APP 1, DEF 3 Countywide Map ......................................... MAP 1, DEF 3 DUPLICATE POLICIES ............................................. CN 2, 5 FEMA Map Assistance Center ................................ MAP 3 DWELLING ................................................................. DEF 3 FEMA Map Service Center ..................... REF 4, MAP 4, 5 DWELLING FORM (See also STANDARD FLOOD ............................................................ MAP 4 INSURANCE POLICY) ..... GR 1, 2, CONDO 8, POL 1, 2-21 General Rule of Rating ....................................... RATE 22 Letter of Map Amendment (LOMA) ...................... CN 6-7, E .................................................................. MAP 3, DEF 5 Letter of Map Revision (LOMR) ........................... CN 6-7, EFFECTIVE DATE ...................................... GR 8-12, REN 2 ................................................................... MAP 3, DEF 5 ELEVATED BUILDING (See also LOWEST FLOOR GUIDE) ... Locating a Specific Property ................................ MAP 2-3 APP 1, 3, 4, 5, 6, 8, RATE 19-21, DEF 3 Map "Grandfather" Rules ....... RATE 22-23, PRP 1, DEF 4 ELEVATION CERTIFICATE ............... APP 5-6, LFG 2A, 3-7, Map Panel Number ................................................ MAP 1 CERT 1-3, 11-42 Map Revision ........................ PRP 2, 6, END 2, CN 3, 5-7, ELEVATION DIFFERENCE .......................... RATE 17-19, 31 MAP 3, 4, DEF 6 ELIGIBLE BUILDINGS ............................. GR 3-6, CONDO 6 Map Zones (Flood Zones) ...................................... MAP 2 ELIGIBLE COMMUNITY (See PARTICIPATING Ordering Information and Prices ...................... MAP 4, 5-6 COMMUNITY) Physical Map Revision .......................................... MAP 3 ELIGIBLE CONTENTS .................................................. GR 6 FLOOD RESPONSE OFFICE (FRO) .......................... DEF 4 EMERGENCY PROGRAM ..................GR 1, RATE 1, DEF 3 FLOOD VENTS (See PROPER OPENINGS) ENCLOSURE/ENCLOSED AREA (See also LOWEST FLOODPLAIN ............................................................. DEF 4 FLOOR GUIDE) ............................... APP 1, 3, RATE 19-20, FLOODPLAIN MANAGEMENT ................................... DEF 4 LFG 1-2A, 3, 5, 7, DEF 3 FLOODPROOFING . APP 6, RATE 31-32, CERT 3-10, DEF 4 ENDORSEMENT ...................................... GR 11, CONDO 8, FLOODPROOFING CERTIFICATE FOR PRP 6, MPPP 6, END 1-13, PR 1 NON-RESIDENTIAL STRUCTURES.................. CERT 9-10 Endorsement Processing Prior to Policy Renewal ... END 2-3 FLOODPROOFING CERTIFICATE, Endorsement Rules: Changing Deductibles ............END 2 RESIDENTIAL BASEMENT ................................. CERT 7-8 Endorsement Rules: Conversion of Standard Rated FORCED PLACEMENT (MANDATORY PURCHASE) .......... Policy to PRP Due to Misrating or Map Revision ...END 2 GR 2, MPPP 2, CN 3, DEF 5 Endorsement Rules: Correcting Property Address...END 2 FREEBOARD .............................................................. DEF 4 Endorsement Rules: Coverage Endorsements ........END 1 Endorsement Rules: Misrated Policy .......................END 2 G Endorsement Rules: Rating Endorsements ......... END 1-2 Endorsements During Renewal Cycle .....................REN 2 GARAGES ........................................................ GR 3, LFG 1 General Change Endorsement Form ............... END 13-14 GENERAL CHANGE ENDORSEMENT Preparation of Form ............................................ END 3-4 (See ENDORSEMENT) Rating Examples ............................................... END 5-12 GENERAL PROPERTY FORM (See also STANDARD Refund Processing .............................................. END 3-4 FLOOD INSURANCE POLICY) ........ GR 1, 2, POL 1, 22-40 ENGINEERED OPENINGS (See PROPER OPENINGS) GENERAL RULE OF RATING ................................ RATE 22 EQUIPMENT (See MACHINERY AND EQUIPMENT) GENERAL RULES ................................................... GR 1-15 EROSION .................................................................... DEF 3 GRADE ELEVATION .................................................. DEF 4 ERRORS, RATING .................................................. END 1-2 (See FLOOD MAP EVIDENCE OF INSURANCE......................................... GR 8 ) EXPENSE CONSTANT ............................................... DEF 3 GROUP FLOOD INSURANCE ......................... GR 3, DEF 4 F H FEDERAL LAND ........................................................... GR 1 HABITABLE AREA (See FINISHED AREA) FEDERAL POLICY FEE ..... RATE 12, 17, CONDO 8, PRP 2, HISTORIC BUILDING .............................. RATE 15, DEF 4-5 MPPP 5, DEF 3 HIGH-RISE BUILDING .............................. CONDO 6, DEF 4 FEMA .......................................................... REF 1, SRL 1-2, HOMELAND SECURITY, U.S. DEPARTMENT OF ... REF 1, DEF 3 DEF 1, 2, 3, 4, 5, 6, 7, 9, 10 FHBM (See FLOOD HAZARD BOUNDARY MAP) I FICO (See FLOOD INSURANCE CLAIMS OFFICE) FINANCIAL ASSISTANCE/SUBSIDY ICC (See INCREASED COST OF COMPLIANCE) ARRANGEMENT .................................... MPPP 2, 6, DEF 3 IMPROVEMENTS AND BETTERMENTS ....... GR 14, DEF 5 FINISHED (HABITABLE) AREA .................................. DEF 3 INCIDENTAL OCCUPANCY ...................................... GR 5-6 FINISHED BASEMENT ............................................... APP 1 INCREASED COST OF COMPLIANCE (ICC) FIRM (See FLOOD INSURANCE RATE MAP) COVERAGE ................... GR 12, RATE 14, 17, CONDO 21, FIRM ZONES ............................................................. MAP 2 MPPP 1, CL 4-5, DEF 5 FLOOD ........................................................................ DEF 4 INELIGIBLE COMMUNITY (See NON-PARTICIPATING FLOOD DISASTER PROTECTION COMMUNITY) ACT OF 1973 ..................................................... MPPP 1, 3 INELIGIBLE PROPERTY ........................................... GR 7-8 INFLATION FACTOR ................................. GR 11-12, REN 1 IND 2 May 1, 2010 = Page 100 = INSECT SCREENING (BELOW LOWEST ELEVATED NATURAL GRADE ...................................................... DEF 6 FLOOR) ......................................... RATE 7, 20, CONDO 19 NEW CONSTRUCTION .............................................. DEF 6 INSURANCE PRODUCTS, NFIP ................................GR 2-3 NFIP BUREAU AND STATISTICAL AGENT ....... REF 2, 5-6, SRL 1, DEF 6 L NFIP CONTACT INFORMATION ............................. REF 3-6 NFIP SERVICING AGENT ............... REF 2, 3, SRL 1, DEF 6 LAPSE IN COVERAGE ........................................... REN 1-2 NFIP SPECIAL DIRECT FACILITY (SDF) .................. REF 2, LATTICE (BELOW LOWEST ELEVATED FLOOR) ............... SRL 1-2, DEF 6 RATE 7, 20, 48, CONDO 19 NON-PARTICIPATING COMMUNITY ........................... GR 1 LETTER OF DETERMINATION REVIEW (LODR) ................. NON-PAYMENT ........................................................ CN 2-3 CN 5, DEF 5 NON-RESIDENTIAL .................... GR 6-8, CONDO 2, DEF 6 LETTER OF MAP AMENDMENT NORTH AMERICAN VERTICAL DATUM (NAVD) . (LOMA) ............ PRP 6, END 2, CN 1, 5-6, 7, MAP 3, DEF 5 CERT 2, DEF 6 LETTER OF MAP REVISION NOTICE OF LOSS ......................................................... CL 1 (LOMR)................... PRP 6, END 2, CN 6, 7, MAP 3, DEF 5 NULLIFICATION (See CANCELLATION/NULLIFICATION) LOSS ASSESSMENT COVERAGE ........ GR 13, CONDO 7-8 LOSS HISTORY .............................................. PRP 1, SRL 1 O LOSS IN PROGRESS ................................................. DEF 5 LOWEST ADJACENT GRADE .................................... DEF 5 OCCUPANCY CLASSIFICATION .................. GR 5-6, APP 3 LOWEST FLOOR ...... APP 6, RATE 17-23, LFG 1-68, DEF 5 OTHER INSURANCE ..................................... MPPP 6, CN 2 Building Diagrams 1-9 .....................LFG 4-7, CERT 23-25 OTHER RESIDENTIAL ..................................... GR 6, DEF 6 Building Drawings ............................................. LFG 8-68 OTHERWISE PROTECTED AREAS ...................... CBRS 1-2 Lowest Floor Determination .................................. LFG 1-7 OUT-AS-SHOWN DETERMINATION.... CN 3, MAP 3, DEF 7 Lowest Floor Elevation ........... APP 6, RATE 16-21, DEF 5 OVER WATER .......................................................... GR 4, 7 Use of Elevation Certificate ................................... LFG 2A LOWEST FLOOR GUIDE ....................................... LFG 1-68 P LOW-RISE BUILDING ........................... CONDO 6,9, DEF 5 LEASED FEDERAL PROPERTY ...................... APP 3, GR 1, PAPERWORK BURDEN DISCLOSURE LFP 1-6, PRP 2 NOTICE .................................................................... REF 7 PARTICIPATING COMMUNITY ........................ GR 1, DEF 7 PHOTOGRAPH REQUIREMENTS (FOR ELEVATION M CERTIFICATE) .................................................... CERT 1-2 MACHINERY AND EQUIPMENT ....................... RATE 19-20, PHYSICAL MAP REVISION (PMR) ............................. MAP 3 LFG 1, 2, CERT 3 POLICIES AVAILABLE .............................................. GR 1-2 MANDATORY PURCHASE (FORCED PLACEMENT)........... POLICY....................................................................... DEF 7 GR 2, MPPP 2, CN 3, DEF 5 POLICY RENEWALS ........ GR 11, PRP 2, MPPP 5, REN 1-8 MANUFACTURED (MOBILE) HOMES/ Credit Card Payment Form ................................. REN 1, 8 TRAVEL TRAILERS .................. GR 3-4, APP 1, 4, 8, PR 1, Endorsements During Renewal Cycle ..................... REN 2 DEF 3, 5, 9 Expiration Notice to Mortgagee ............................... REN 1 Date of Construction................................ APP 5, RATE 15 Final Notice ................................................. REN 2, 3, 6-7 Doublewide ................................................. APP 1, DEF 3 Insufficient Renewal Information ............................. REN 2 MANUFACTURED (MOBILE) HOME PARK OR Renewal Effective Date Determination .................... REN 2 SUBDIVISION ....................................................... DEF 5- 6 Renewal Notice ....................................... REN 1, 2, 3, 4-8 ( Severe Repetitive Loss Policies ............. REN 2, SRL 1-13 ) Waiting Period .................................................... REN 1, 2 MAPS (See FLOOD MAPS) POLICY TERM .................. GR 15, APP 1-2, PRP 7, MPPP 3 MEAN SEA LEVEL (See NATIONAL GEODETIC POLLUTANTS ............................................................ DEF 7 VERTICAL DATUM [NGVD]) PONDING HAZARD .................................................... DEF 7 MISCELLANEOUS RULES ......................................... GR 15 POST-FIRM BUILDING Application Submission ........................................... GR 15 (CONSTRUCTION) ..........................RATE 19, 20, 24, DEF 7 Assignment of Policy ............................................... GR 15 PRE-FIRM BUILDING .......................................... GR 15 (CONSTRUCTION) ..........................RATE 19, 23, 25, DEF 7 Contract Agent Rule ................................................ GR 15 PREFERRED RISK POLICY (PRP) ............................. GR 2, Delivery of Policy ..................................................... GR 15 PRP 1-10, DEF 7 Policy Term ............................................................. GR 15 Completing PRP Application Form ....................... PRP 6-8 MITIGATION, SEVERE REPETITIVE LOSS............. SRL 1-2 Condominium Rating Chart ..................................... PRP 3 MODULAR BUILDING ................................................. DEF 6 Conversion of PRP to Standard Rated Policy ......... PRP 6 MORTGAGE PORTFOLIO PROTECTION Conversion of Standard Rated Policy to PRP Due to PROGRAM (MPPP) ....................... GR 2, MPPP 1-6, DEF 6 Map Revision, LOMA, or LOMR ............................ PRP 6 MORTGAGEE .. APP 2, RATE 17, PRP 7, MPPP 1-6, REN 1 Conversion of Standard Rated Policy to PRP Due to MUDFLOW .................................................................. DEF 6 Misrating ............................................................... PRP 6 MULTI-FAMILY RESIDENCE (DWELLING) (See Coverage Limits ................................................... PRP 1-2 2-4 FAMILY RESIDENCE [DWELLING]) Coverage/Premium Tables .................................. PRP 4-5 MULTI-PROPERTY LETTER OF MAP AMENDMENT Deductibles ............................................................. PRP 2 (LOMA) OR LETTER OF MAP REVISION (LOMR) ..... CN 6 Discounts/Fees/ICC Premium ................................. PRP 2 Documentation ....................................................... PRP 2 N Eligibility Requirements....................................... PRP 1, 2 Endorsements ........................................................ PRP 6 NATIONAL FLOOD INSURANCE ACT OF 1968 (See ACT) General Description ................................................ PRP 1 NATIONAL FLOOD INSURANCE PROGRAM (NFIP) ........... Ineligibility ............................................................... PRP 2 REF 1, DEF 6 PRP Application Form ............................................ PRP 9 NATIONAL GEODETIC VERTICAL DATUM (NGVD) ............ Renewal ................................................................. PRP 2 LFG 2A, CERT 2, DEF 6 Replacement Cost Coverage .................................. PRP 2 IND 3 May 1, 2010 = Page 101 = PREMIUM ..........................................................RATE 16-20 Rating Steps .................................................. RATE 15-16 Credit Card Payment ........................... APP 7, 9, REN 2, 8 Re-Rating ...................................................... RATE 23-24 Credit Card Payment Form .................................. REN 2, 8 Special Rating Situations ................................... GR 14-15 Premium Calculation ......................................RATE 16-17 Submit-for-Rate .......................... GR 14, RATE 24-25, DEF 9 Premium Discounts ................................. APP 6, 7, CRS 1 Tentative Rates ........ GR 14, RATE 21, CONDO 8, DEF 9 Premium Payment ......................... APP 7, 9, RATE 16-17, V-Zone Optional Rating ...................................... RATE 23 CONDO 9, PRP 8, MPPP 4, REN 1-2 V-Zone Risk Factor Rating Form ................... RATE 35-48 Prepaid Amount (Total) ........................................... DEF 7 RCBAP (See RESIDENTIAL CONDOMINIUM BUILDING Prepaid Premium (Total) ......................................... DEF 7 ASSOCIATION POLICY) Presentment of Payment (Premium)........... GR 8-9, DEF 7 RECREATIONAL VEHICLE ........................................ DEF 1 Refunds .......................................... END 1-2, 3-4, CN 1-6 REFORMATION ............................ GR 12-13, MPPP 5, PR 1 PREPAID AMOUNT (TOTAL) ..................................... DEF 7 REFUNDS ........................................... END 1-2, 3-4, CN 1-7 PREPAID PREMIUM (TOTAL) ................................... DEF 7 REGIONAL OFFICES, NFIP .................................... REF 5-6 PRESENTMENT OF PAYMENT (PREMIUM) GR 8-9, DEF 7 REGULAR PROGRAM ....................... GR 1, RATE 1, DEF 8 PRINCIPAL RESIDENCE ............................................ DEF 7 RENEWALS (See POLICY RENEWALS) PRINCIPALLY ABOVE GROUND BUILDING .............. DEF 7 REPETITIVE LOSS ... GR 5, 11, REN 2, CN 7, SRL 1-13, DEF 8 PROBATION ..................................................... GR 1, DEF 7 REPLACEMENT COST .................. APP 4, RATE 21-22, 31, PROBATION SURCHARGE .............. GR 1, RATE 12, DEF 7 CONDO 7, PRP 2, DEF 8 PROOF OF INSURANCE .............................................. GR 8 RESIDENTIAL ...................................... GR 5-6, CONDO 1-2 PROOF OF LOSS ......................................................CL 1, 2 RESIDENTIAL BASEMENT FLOODPROOFING PROPER OPENINGS (FLOOD VENTS) .... LFG 1-2A, 3, 5, 7, CERTIFICATE ..................................................... CERT 7-8 DEF 7 RESIDENTIAL CONDOMINIUM BUILDING ......... CONDO 1, PROPERTY LOCATION ......................APP 2, PRP 7, END 3 DEF 8 PROPERTY REMOVED TO SAFETY EXPENSE ........ DEF 7 RESIDENTIAL CONDOMINIUM BUILDING ASSOCIATION PROVISIONAL RATING ..................... GR 14, PR 1-5, DEF 7 POLICY (RCBAP) (See also STANDARD FLOOD Completing the Provisional Rating Questionnaire: INSURANCE POLICY) ......... GR 1, 2, APP 4, CONDO 1-31, General Directions................................................... PR 2 POL 1, 42-61 Completing the Provisional Rating Questionnaire: Application Form ............................................ CONDO 8-9 Guidance for Determining Building Elevated on Fill .... PR 2 Assessment Coverage ................................... CONDO 7-8 Eligibility Requirements ............................................. PR 1 Building Type ................................................ CONDO 6, 8 General Description................................................... PR 1 Cancellation or Endorsement of Existing Notification Requirements ......................................... PR 1 ........................ CONDO 8 Provisional Rating Example ....................................... PR 4 Coinsurance ..................................................... CONDO 7 Provisional Rating Questionnaire .............................. PR 3 ................................... CONDO 8 Reformation: Endorsement Procedure ...................... PR 1 Condominium Building in the Course Reformation: Endorsement Alternative ...................... PR 1 of Construction ............................................ CONDO 6-7 Reformation: Limitations ............................................ PR 1 Coverage, Building ........................................ CONDO 8-9 Sample Notice to Accompany Coverage, Contents ....................................... CONDO 8-9 Provisionally Rated Policies .................................... PR 5 Coverage Limits ......................................... CONDO 7, 8-9 Deductibles ..................................................CONDO 8, 22 R Determining Rates and Fees ............................ CONDO 9 Eligibility Requirements..................................... CONDO 6 RATE TABLES ..................... RATE 1-14, 33, CONDO 10-22, Federal Policy Fee ............................................ CONDO 8 PRP 4-5, MPPP 1, PR 3, CRS 1 Property Covered .......................................... CONDO 6-7 RATING ........................... GR 12, RATE 1-63, CONDO 1-31, Rate Tables ............................................... CONDO 10-22 CERT 4, END 1-2 Rating Examples ....................................... CONDO 23-31 Alternative Rates .................................... RATE 21, END 2 Replacement Cost ........................................ CONDO 7, 8 Amount of Insurance Available .............................. RATE 1 Tentative Rates and Scheduled Buildings ......... CONDO 8 AR, AR Dual Zones ............................................. RATE 19 ROWHOUSES/TOWNHOUSES............................ CONDO 6 Buildings in More Than One Flood Zone .. GR 14, RATE 17 Condominiums ............................................. CONDO 1-31 S Contents Location ..........................................RATE 26-29 Crawlspace ......................................................... RATE 25 SCHEDULED BUILDING POLICY ................... GR 3, APP 1, Deductibles ................................. RATE 12, 13, CONDO 8 CONDO 8, DEF 8 Different Base Flood Elevations Reported .... GR 15, RATE 17 SCREENING, INSECT (BELOW LOWEST ELEVATED Effect of Map Revisions on Rates ...................RATE 22-23 FLOOR) .......................................... RATE 7, 20, CONDO 19 Elevation Difference .......................................RATE 17-19 SECTION 1316 ................................................. GR 7, DEF 8 FIRMs with Wave Heights ..............................RATE 30-31 SEPARATE BUILDING (See SINGLE BUILDING) ...RATE 21-23, PRP 1, DEF 4 SEVERE REPETITIVE LOSS PROPERTIES ............... GR 5, Flood Zone Discrepancies .......................GR 15, RATE 17 REN 2, CN 6, SRL 1-13, DEF 8 Floodproofed Buildings ...................................RATE 31-32 SFIP (See STANDARD FLOOD INSURANCE POLICY) General Rule of Rating ........................................ RATE 22 SHEAR WALLS ................................................ GR 5, DEF 8 Key Points for Rating ........................................... RATE 17 SHEET FLOW HAZARD ............................................. DEF 8 Multiple Elevation Certificates .............................. CERT 1 SILOS ....................................................................... GR 4, 6 Optional Elevation Rating ................. RATE 19, LFG 2, 2A SINGLE ADJUSTER PROGRAM .................... CL 3-4, DEF 8 Premium Calculation ......................................RATE 16-17 SINGLE BUILDING ........................................... GR 5, DEF 8 Provisional Rates ........................... GR 14, PR 1-5, DEF 7 SINGLE-FAMILY RESIDENCE (DWELLING) ............... GR 5, Rate Reduction .......................................................END 1 DEF 8 Rate Tables ...... RATE 1-14, 33, CONDO 10-22, PRP 4-5, SLATS OR SHUTTERS (BELOW LOWEST ELEVATED MPPP 1, PR 3, CRS 1 FLOOR) .......................................... RATE 7, 20, CONDO 19 Rating Error ......................................................... END 1-2 SOLID PERIMETER FOUNDATION WALLS ............... GR 5, Rating Examples ............... RATE 17-19, 22-23, 30, 49-63, RATE 20, DEF 8 CONDO 23-31, END 5-12, PR 4 IND 4 May 1, 2010 = Page 102 = SPECIAL CERTIFICATIONS ............................... CERT 1-47 T SPECIAL DIRECT FACILITY (See NFIP SPECIAL DIRECT FACILITY) TECHNICAL ASSISTANCE ........................................ REF 2 SPECIAL FLOOD HAZARD AREA (SFHA) .... MAP 2, DEF 8 TELEPHONE NUMBERS ......................................... REF 3-6 SPECIAL RATING SITUATIONS ...... GR 14-15, RATE 21-25 TENTATIVE RATES ..... GR 14, RATE 21, CONDO 8, DEF 9 Alternative Rates ................................................. RATE 21 TIMESHARES ............................................................... GR 7 Buildings in More Than One TOWNHOUSES/ROWHOUSES................ CONDO 6, PRP 9 Flood Zone ............................................GR 14, RATE 17 TRANSFER OF TITLE ................................................ GR 15 Crawlspace ......................................................... RATE 25 TRAVEL TRAILERS (See MANUFACTURED [MOBILE] Different Base Flood Elevations Reported .... GR 15, RATE 17 HOMES/TRAVEL TRAILERS) Flood Zone Discrepancies ............................. GR 15, RATE 17 2-4 FAMILY RESIDENCE (DWELLING) ......... GR 5-6, DEF 9 on Rates.......................................................RATE 21-23 U Policies Requiring Re-Rating ..........................RATE 23-24 Post- ......................... RATE 23 UNDERGROUND BUILDING ...................................... DEF 9 Provisional Rates ........................................ GR 14, DEF 7 UNFINISHED AREA ................................................... DEF 9 Submit-for-Rate ......................GR 14, RATE 24-25, DEF 9 UNFINISHED BASEMENT .......................................APP 1, 2 Tentative Rates ......... GR 14, RATE 21, CONDO 8, DEF 9 UNIT ........................................................................... DEF 9 STANDARD FLOOD INSURANCE POLICY (SFIP) .. GR 1, 2, V POL 1-61, DEF 8-9 Agreement .................................................. POL 3, 23, 43 VALUED POLICY........................................................ DEF 9 Claim Guidelines in Case of a Flood .......... POL 21, 40, 61 VARIANCE ................................................................. DEF 9 Coinsurance .......................................................... POL 52 VEHICLES AND EQUIPMENT ...................................... GR 6 Deductibles .......................................... POL 12, 32, 51-52 V-ZONE OPTIONAL RATING ................................. RATE 23 Definitions ...................................... POL 3-5, 23-25, 43-45 V-ZONE RISK FACTOR RATING FORM ........... RATE 35-48 Dwelling Form ........................................ POL 2-21, DEF 8 Exclusions .................................. POL 11-12, 31-32, 50-51 W General Conditions .................... POL 12-20, 32-38, 53-59 WAITING PERIOD .................. GR 8-12, MPPP 4, REN 1, 2, General Property Form ......................... POL 22-40, DEF 8 PR 1, DEF 10 Liberalization Clause ................................. POL 20, 39, 60 WALLED AND ROOFED ................................. GR 5, DEF 10 Property Covered ......................... POL 5-10, 25-30, 45-50 WALLS.............................. GR 5, RATE 20, LFG 1, 2, DEF 8 Property Not Covered ...................... POL 10-11, 30-31, 50 Breakaway Walls .......... GR 5, RATE 20, LFG 1, 2, DEF 1 Residential Condominium Building Association Common Interior Walls ............................................. GR 5 Policy .............................................. POL 42-61, DEF 8-9 Openings in Foundation Walls ................................. LFG 1 Summary of Significant Changes, December 2000............ Shear Walls .................................................. GR 5, DEF 8 POL 2, 22, 42 Solid Perimeter Foundation Walls ............... GR 5, RATE 8 What Law Governs .................................... POL 20, 39, 60 LFG 7, DEF 8 START OF CONSTRUCTION ..................................... DEF 9 WAVE HEIGHT ........................ APP 6, RATE 30-31, DEF 10 STOCK ........................................................................ DEF 9 Calculating Wave Height Adjustment .... RATE 30, DEF 10 SUBGRADE CRAWLSPACE ............. CONDO 10, 12, 12-17, WHOLE DOLLAR PREMIUM .................................. RATE 17 RATE 25 WIND LOSSES .............................................................. CL 4 SUBMIT-FOR-RATE ...................GR 14, RATE 24-25, DEF 9 WRITE YOUR OWN (WYO) PROGRAM .... REF 1-2, DEF 10 SUBSTANTIAL DAMAGE ..... GR 12, RATE 16, 23-24, DEF 9 SUBSTANTIAL IMPROVEMENT ................................ APP 5, RATE 15-16, 23, DEF 9 Z SUSPENSION ................................................... GR 1, DEF 9 ZONE (See also Map Zones under FLOOD MAPS) ... MAP 2, DEF 10 Discrepancies ......................................... GR 15, RATE 17 IND 5 May 1, 2010 = Page 103 = = Page 104 = = Page 105 = Map Service Center Media Mail P.O. Box 1038 U.S Postage Paid Jessup, MD 20794-1038 Permit #25 Jessup, MD 20794 MSC # 609 5/1/2010 = Page 106 =