Thank you to the ladies of Sterling Compliance for giving us a head start on a checklist for use with private flood Insurance. With their permission, I'm posting my additions/revisions to match the way I've now learned how to attack this process. For state requirements, I am in CA, so you'll need to update this part. Here is the general process:
- Section A -per the FEMA Insurance Agent's manual, things required on all new and renewed flood policies & universal needs,, then IF PRIVATE:
- Section B - Mandatory acceptance of a Private Policy if it meets Section A and has the Compliance Aid Statement, OR
- Section C - Mandatory acceptance req of a Private policy if meets Section A and the regulatory requirements (I call Manual method) OR
- Section D - Discretionary acceptance - criteria I came up with for my bank, as we are likely to accept if it has the minimum NFIP amounts as issued by a private insurer (and Section A requirements too). I need one last check with my CCO to ensure he is on board this will be S&S enough for the bank, but confident so at this juncture.
- End - If we can't even get this to match, then we would have policy reviewed by Credit Admin for a determination that meets S&S standards. Might make this into a step E to clarify it is post Section D that this would needed.