Primary Residence

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

This page contains details about NFIP New Business. Find more in the How To Write 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

Summary

• A primary residence is a building in which the policyholder or their spouse resides for:
  • More than 50% of the 365 days following the policy's effective date.
  • 50% or less of the year if it is the policyholder's only residence and is not leased or used as rental property.

Special Circumstances for Primary Residence Qualification

1. Military Deployment:
   • Active-duty personnel deployed for 50% or more of the policy year still qualify.
2. Disaster Displacement:
   • Individuals displaced due to a federally declared disaster or another loss event on the property maintain primary residence status.
3. Extended Absences:
   • Routine business travel, hospitalizations, or vacations of 50% or more of the policy year do not disqualify the property.

Documentation Requirements

• If the mailing address matches the property address:
  • No additional documentation is required.
• If the addresses differ:
  • Supporting documentation is required, such as:
    • Homestead Tax Credit form.
    • Vehicle registration.
    • Proof of insurance for a vehicle.
    • Documents showing school enrollment for children.
    • A signed and dated primary residence verification statement.

Primary Residence and Trusts

• If the policyholder is a trust, and the beneficiary resides in the home as a primary residence:
  • The beneficiary must provide primary residence documentation.
  • The insurer must verify that the beneficiary is named in the trust.

Impact on HFIAA Surcharge

• Primary Residence:
  • Policyholders classified as having a primary residence are charged a reduced HFIAA surcharge of $25 per policy term.
• Non-Primary Residence:
  • Non-primary residences incur a significantly higher HFIAA surcharge of $250 per policy term.

Properly classifying a property as a primary residence minimizes costs for policyholders and ensures compliance with NFIP requirements.