FEMA has released a
WYO Bulletin W-20002
to extend the renewal premium payment and underpayment grace period up to 120 days for NFIP flood policies expiring between Feb. 13 and June 15, 2020 as part of their proactive relief to the COVID-19 pandemic.
In addition Wright Flood offers the following Q&A for agents' information:
- How will Claims be handled on expired policies during this additional extension period?
If there is a loss on an expired policy that is within the 120 day grace period, the insured must pay their renewal within the grace period to activate the policy. We cannot open a claim on an inactive policy.
- What will happen to existing policies with an effective date after February 13 that paid after the 30 day grace period?
The Wright Flood Operations team is identifying these policies and will contact agents to help apply the new grace period, where applicable.
- How will policyholders know about the extended grace period?
Wright Flood is working to add a notice to the policyholder copy of all renewal reminders and expiration notices that informs them of the extended grace period.
We ask for patience as we work to implement these changes. If you need assistance with a specific policy, please contact Wright Flood Operations at 800-820-3242.
Wright Flood agrees with FEMA Deputy Associate Administrator, David Maurstad who stated: “We want to make sure that policyholders don’t have to worry that their policy will lapse during the spring flood season or into the start of hurricane season. We hope this extension will give policyholders some peace of mind and allow them extra time to renew their policies to ensure they are covered should a flood loss occur.”
Patty Templeton-Jones, President of Wright Flood, adds, "We are eager to help our agent partners and our mutual policyholders however we can during this serious situation. Stay safe, stay well."
For more information please review the
WYO Bulletin W-2002
or call your Regional Sales Manager at 866-373-5663.