NFIP Renewal Quotes

This page is a rough draft and will need more work before it's finalized.

This Equinox Procedure is for Agents. Find a complete list here.

This page contains details about NFIP Policy Renewal. Find more in the How To Renew section of the NFIP Flood Insurance Manual.

Policy Guide

Standard Flood Insurance Policy

Applications

Equinox Procedure
Waiting Periods : Occupancy Foundations : Discounts

New Business

Elevation Certificates
Primary Residence
BRCV : Venting : Condos

Renewals

Equinox Procedure
Billing Changes

Changes

Equinox Procedures
Mortgagee : Insured
Transfer of Ownership
Coverage Limits

Cancellations

Equinox Procedure
Request Forms : Signatures
Reasons : Documents

NFIP Renewal Quote Process Summary

The Renewal Quote process ensures accurate premium calculations and compliance with NFIP guidelines for policy renewals. Renewal quotes are used to provide updated coverage options and premium amounts for the next policy term.

---

Steps in the Renewal Quote Process

1. Submit Policy Information:
   • Insurers submit updated policy details, including any requested changes, to FEMA no earlier than 90 days before the policy expiration date.
   • FEMA uses this data to calculate premium options, incorporating any updated rating variables, such as Building Replacement Cost Value (BRCV).
2. Receive Premium Options:
   • FEMA provides two coverage options for the Renewal Notice:
     • Option A: Renew with the same coverage and deductibles as the current policy.
     • Option B: Renew with increased coverage amounts (10% for building and 5% for contents), subject to maximum limits and deductible adjustments.
3. Generate Renewal Notice:
   • The insurer sends the Renewal Notice at least 45 days before expiration, including the two coverage options.
   • The Renewal Notice cannot be regenerated after it is issued or after the policy expires.

---

Key Rules for Renewal Quotes

1. Changes Above Option B:
   • Requests to increase coverage beyond Option B must be submitted at least 30 days prior to expiration.
   • Late requests require an endorsement and are subject to the NFIP’s 30-day waiting period, making the increased coverage effective after the renewal date.
2. Timely Payment:
   • Payment for the selected coverage must be received on or before the expiration date or within the 30-day grace period to avoid a lapse in coverage.
3. Policy Expiration:
   • If payment is not received within the grace period, the policy cannot be renewed. A new application with full-risk rating is required.

---

Best Practices for Agents

• Submit policy updates early to ensure the Renewal Notice reflects requested changes.
• Educate policyholders on coverage options and the importance of timely payment.
• Avoid late coverage requests or reliance on expired renewal processes.

The Renewal Quote process provides flexibility while maintaining strict guidelines to ensure compliance and accurate premium determination for the upcoming policy term.