Major Flood Updates: Changes, Increases and More

Major Flood Updates

In the next 2 weeks, there are several major updates in regards to the National Flood Insurance Program:

Program Expiration on March 23rd

               The NFIP, once again, is set to expire at midnight on Friday, March 23rd.   The NFIP continues to be tied to the Congressional Budget.  If there is a government shutdown, the NFIP also shuts down.  This will continue to be an issue as Congress intends to only pass short term extensions for the foreseeable future.  Unlike past extensions, this will be our ONLY update until March 23rd.  So please be vigilant.  


FEMA has issued guidance for insurance companies on how to handle writing new flood policies, policy renewals, and claims during a flood program expiration.  The MCC has created consumer guidance for you as an insured to know what to do before, during and after a flood program expiration.  Overall, our guidance outlines that: 

-If you have a flood policy renewing after March 23rd, and within the next few weeks, PAY IT NOW        

-If you are planning to close on a home after March 23rd, PAY FOR THE POLICY NOW.  If paid before the program expires, the policy will still go effective on the closing during a program expiration.

 -If your policy is in force before the program expires, and you experience a claim, your claim will be handled as usual. .                 

You can download the full guidance HERE

April 1st Changes

Every April and October 1st, the NFIP issues administrative changes.  Every April 1st is when FEMA implements flood insurance premium annual increases.

 While there are some smaller changes on April 1st, premium increases are the largest change.  We have included here a table of the average change per zone.  Note that overall, the average flood policy will increase by about 8%.  You can download the full memo HERE

Recovering from the Nor’easters

With three storms in a row, many are struggling to get back on their feet.  We remind you again that you can find all sorts of flood related documents, including our recovery guide, HERE on our new downloads page.  NEW: We recently developed a section for information on flood claims.  Click HERE to see!