National Flood Insurance Program Questions & Answers

National Flood Insurance Program (NFIP) - Answer Was created by the federal government to fill the gap left by private insurance industry and is administered by the Federal Insurance and Mitigation Administration (FIMA), a part of the Federal Emergency Management Agency (FEMA) 3 Main components - Answer Insurance Floodplain management Floodplain mapping Federal government passed Flood Disaster Protection Act of 1973 which mandated flood insurance - Answer 1. Flood insurance is required in certain flood prone areas as a condition for receiving loans through or backed by federal government 2. Fail to purchase flood insurance within 1 year will not be eligible for full disaster relief funding. National flood insurance is sold & serviced directly through the NFIP or through a write your own (WYO) insurance program - Answer Private insurers participate in a WYO write & service policies on a no risk bearing basis through a special arrangement with Federal Insurance Administration (FIA). Eligibility - Answer Must live in a community that has met the minimum floodplain management guidelines Must have 2 solid walls and a roof, be principally above ground, and not entirely over water Upon purchase of a flood policy - Answer 1 30 days waiting period is in place beginning from the time of application and premium payment Can be waive in certain circumstances surrounding new or revised loans, map revisions or if a loan exists on a property that should have obtained but did not Definition - Answer General and temporary condition of partial or complete inundation of 2 or more acres of normally dry land area, or of 2 or more properties.