83 F
Cruz Bay
Friday, October 23, 2020
Home News Local government FEMA Releases Fact Sheet on Group Flood Insurance Policy

FEMA Releases Fact Sheet on Group Flood Insurance Policy

Federal Emergency Management Agency

The Federal Emergency Management Agency (FEMA) offers Group Flood Insurance Policies to individuals who do not have flood insurance and have received assistance from FEMA after a presidentially declared disaster strikes.

Group Flood Insurance Eligibility

If flooding damaged your property, including your home or your personal possessions, you may be eligible to receive flood insurance through a Group Flood Insurance Policy (GFIP). In addition to meeting general conditions of eligibility to receive assistance under FEMA’s Individuals and Households Program (IHP), you must meet the following conditions to be considered for a GFIP certificate:

  • Flooding damaged your property located in a Special Flood Hazard Area.
  • FEMA provided you assistance for the repair or replacement of the property damaged by flooding through the Individuals and Households Program (IHP), triggering a requirement for you to obtain and maintain flood insurance on the property.
  • The damaged property is in a National Flood Insurance Program (NFIP) participating community and is eligible for NFIP coverage.
  • You did not have a previous requirement to maintain flood insurance on their damaged property.

U.S. Small Business Administration denied your application for a disaster loan or FEMA did not require you to apply for a disaster loan, thus making them eligible for Other Needs Assistance provided as part of IHP.

Advertising (skip)

Out-of-Pocket Cost for a Group Flood Insurance Policy

If eligible, FEMA will provide you a GFIP with no out-of-pocket cost to you. Instead, FEMA pays the cost of the GFIP policy (currently $2,400) directly to the NFIP from your IHP disaster assistance funding. If the cost of a GFIP policy exceeds the remaining amount of IHP Assistance available to you, you will not be eligible for a GFIP. Instead, you will need to purchase an individual policy on your own.

Group Flood Insurance Coverage

GFIP policies provide up to three years of flood insurance coverage for real property and personal property items insured under the NFIP. The master GFIP policy term is for 36 months and begins 60 days after the date of the presidential disaster declaration. Individual coverage becomes effective 30 days after the NFIP receives notice and the premium. Currently, the amount of coverage for the individual GFIP policy is $71,000.

Requirement to Obtain and Maintain Flood Insurance

The GFIP will satisfy the legal requirement to obtain and maintain flood insurance after receiving disaster assistance. However, this requirement will continue even after the GFIP policy expires. You will need to purchase an individual Standard Flood Insurance Policy through a local insurance agent before your GFIP expires. An insurance agent can help you select a flood insurance policy tailored to your specific needs.

The NFIP will mail you a reminder of these requirements each year. The NFIP will also send you a reminder letter 45 days before your GFIP policy expires, as well as when your GFIP policy expires.

You may not be eligible for future disaster assistance if you do not maintain flood insurance after your GFIP expires.

For more information regarding the Group Flood Insurance program or flood insurance in general, call the NFIP Direct at 800-638-6620, option number 2.

Print Friendly, PDF & Email

Support the VI Source

Unlike many news organizations, we haven't put up a paywall - we want to keep our journalism as open as we can. Our sites are more popular than ever, but advertising revenues are falling - so you can see why we could use your help. Our independent journalism costs time, money and hard work to keep you informed, but we do it because we believe that it matters. If everybody who appreciates our reporting efforts were to help fund it for as little as $1, our future would be much more secure. Thanks in advance for your support!

JOIN OUR MAILING LIST

STAY CONNECTED

20,265FansLike
4,056FollowersFollow

FROM FACEBOOK

Comments Box SVG iconsUsed for the like, share, comment, and reaction icons
Load more
Print Friendly, PDF & Email