While delighted to see an additional provider of Flood Insurance, there are questions. First, does the product truly duplicate basic NFIP levels of coverage? If not, then it’s an add-on…important but that is not the article’s implication. Second, since it is underwritten by Lloyd’s, it is a surplus lines product as stated in the article. As such, insurance agents should be mindful of the states’ declination requirements from admitted carriers before they can place business into the E&S market. There are no shortages of admitted carriers in the WYO program. There is also the question of licensing with this Florida agency possibly needing to have non-resident licenses in those states unless as an MGA they found a way to be exempt from that requirement. Do they have the legal authority to appoint retail producers for a surplus lines product without a NR license? Nice idea but lots of questions too.
You seem to know a lot about how flood works. Do you know if agents who initially apply for NFIP insurance with a WYO carrier actually “service” the policyholders after initially placing them? In other words, do the agents ask the policyholders (other than Preferred Risk Policyholders) for a new application each year? This could be especially important for risks in CBRS/OPA areas or Zone A areas for both rating and eligibility purposes.
Presumably a private program would not have these concerns.
Very valid points to be aware of Vince. Also, I wonder what they will insure as far as elevation goes. Philidelphia Ins has been advertising a flood insurance product lately, stating no Elevation Certificates necessary. Well, I pursued more info on that and was told by one of there reps that they don’t need the ECs because they won’t insure anything below the BFE (Base Flood Elevation). The real rating problem is with those below BFE not the ones that are at 0 or above.
I own Commercial real estate in ALASKA. Does anyone know where I can locate Private Flood Insurance since our Underwriters will only insure up to $500,000 for FEMA coverage and we need $1,800,000. We are prepared to cover over and above the $500,000 on our own to make it possible to sell our property. PLEASE HELP!!!!!!!! paul.morina@gmail.com
While delighted to see an additional provider of Flood Insurance, there are questions. First, does the product truly duplicate basic NFIP levels of coverage? If not, then it’s an add-on…important but that is not the article’s implication. Second, since it is underwritten by Lloyd’s, it is a surplus lines product as stated in the article. As such, insurance agents should be mindful of the states’ declination requirements from admitted carriers before they can place business into the E&S market. There are no shortages of admitted carriers in the WYO program. There is also the question of licensing with this Florida agency possibly needing to have non-resident licenses in those states unless as an MGA they found a way to be exempt from that requirement. Do they have the legal authority to appoint retail producers for a surplus lines product without a NR license? Nice idea but lots of questions too.
Vince,
You seem to know a lot about how flood works. Do you know if agents who initially apply for NFIP insurance with a WYO carrier actually “service” the policyholders after initially placing them? In other words, do the agents ask the policyholders (other than Preferred Risk Policyholders) for a new application each year? This could be especially important for risks in CBRS/OPA areas or Zone A areas for both rating and eligibility purposes.
Presumably a private program would not have these concerns.
Thanks for any light you can shed on this.
Very valid points to be aware of Vince. Also, I wonder what they will insure as far as elevation goes. Philidelphia Ins has been advertising a flood insurance product lately, stating no Elevation Certificates necessary. Well, I pursued more info on that and was told by one of there reps that they don’t need the ECs because they won’t insure anything below the BFE (Base Flood Elevation). The real rating problem is with those below BFE not the ones that are at 0 or above.
Vince,
FYI, the WYO carriers aren’t providing the Flood “coverage”, they’re only servicing carriers. So, there won’t be a declination issue.
Does anyone know when or if private flood insurance will be available in NY? I live on Long Island and am looking for alternatives to FEMA
I own Commercial real estate in ALASKA. Does anyone know where I can locate Private Flood Insurance since our Underwriters will only insure up to $500,000 for FEMA coverage and we need $1,800,000. We are prepared to cover over and above the $500,000 on our own to make it possible to sell our property. PLEASE HELP!!!!!!!! paul.morina@gmail.com
Is Illinois property covered buy anything but FEMA? No mortgage involved.
No mortgage – – – is FEMA the only option for flood coverage for Illinois property?