The 明尼苏达城市联盟 保险信托 (LMCIT) property coverage provides some protection for flood damage to city buildings in certain circumstances. One reason a city building would not be covered for flood damage is when the building is in a flood hazard area.
在大多数情况下, flood hazard areas are within the 500-year flood plain mapped by the 全国洪水保险计划(NFIP). 然而，一些洪水危险地区并没有在地图上标出. These locations are identified as flood code C on your LMCIT property schedule.
防洪区内的建筑物, cities must decide whether to add the supplemental flood coverage that LMCIT makes available as an additional coverage option. 然而, this coverage is only available if cities have NFIP 洪水保险 for buildings at the maximum limit available. LMCIT’s supplemental flood coverage will then cover the cost of flood damage the NFIP policy doesn’t cover, 比如重置成本或某些内容.
Learn more about LMCIT coverage in the LMCIT 财产, Crime, Bond, and Petrofund Coverage Guide
NFIP is a federal program managed by the Federal Insurance Administration (FIA) to make 洪水保险 available to property owners who might not otherwise be able to buy it. Following is a summary of some key points regarding the NFIP.
Learn more about the NFIP from the Federal Emergency Management Agency
财产 owners are eligible to 购买 NFIP 洪水保险 if the city in which they live (or the county, for residents of unincorporated areas) is a program participant. Cities must become an NFIP participating community before they can 购买 NFIP 洪水保险 for their own buildings.
有资格参加NFIP, 社区必须达到NFIP的最低标准, which include adopting and enforcing flood plain zoning regulations. 明尼苏达州esota statutes require the city to adopt a flood plain management ordinance if there is a flood plain within the city (明尼苏达州. 统计. § 103F.121). 统计e law also requires a city to participate in the NFIP, if the Department of Natural 正规的网络购彩网站 (DNR) commissioner or the Federal Emergency Management Agency (FEMA) determines the city has any areas that are “subject to recurrent flooding” (明尼苏达州. 统计. § 103F.165).
Most NFIP 洪水保险 is written by private insurance companies under NFIP’s “Write Your Own” (WYO) program. 它可以通过大多数代理获得. 保单是标准化的, 保险范围和保险费率由国际汽联设定, so the cost and coverage will be the same regardless of which insurance company writes the insurance.
The 洪水保险 buyer pays a premium to the insurer and receives a standard NFIP 洪水保险 policy. The company keeps part of the premium as profit and to cover its expenses and forwards the rest to the FIA. The FIA acts as a reinsurer for the insurance company and reimburses the insurance company for any 洪水保险 claims it pays.
一般来说, the NFIP policy would pay for the actual cash value of flood damage to a building and its contents. It will also pay for the cost of protective measures, such as sandbagging, to protect the building.
Coverage is limited for below-ground contents and fixtures. 在一般情况下, an NFIP policy would only cover structural damage to basement walls or foundations, damage to heating and cooling equipment for the building’s operations, 和清理费用. 它不包括其他设备或物品, 或者地毯的任何费用, 绘画, 完成, 等等.
Learn more about NFIP’s insurance policy for flood coverage
There’s a common misconception that NFIP coverage is only available for buildings in a flood hazard area. Most city buildings are eligible for NFIP coverage, regardless of their location. NFIP premiums are substantially less for buildings outside the 100-year flood plain.
Certain buildings, however, are not eligible for NFIP coverage. If more than 49% of the value of the building and contents are below ground, the building is not eligible unless the lowest basement floor is above the 100-year flood level. Water and sewer plants are sometimes ineligible for NFIP coverage because of this restriction.
Many homeowners share that same misconception that they can’t buy NFIP 洪水保险 if their home or building isn’t in a flood plain. 假设城市是一个参与社区, those homes and buildings are eligible for NFIP 洪水保险, 而且价格要便宜得多.
Optional deductibles are available on NFIP flood coverage. Using a large deductible can reduce the cost of NFIP 洪水保险 significantly. 这种保险仍然相对昂贵, 所以很多城市可能想要考虑一个更大的免赔额. Choosing a large deductible means the city will be financially responsible for that amount if a loss occurs. One option to consider is using LMCIT’s extraordinary expense coverage to cover that deductible if a flood loss occurs.
The NFIP社区评级系统 (CRS) offers discounts from standard NFIP rates for buyers in cities that have taken extra steps to reduce flood risks, beyond the minimum needed to qualify for participation in the NFIP. 如果该城市有资格享受CRS折扣, both the city itself and every private 购买r of NFIP 洪水保险 within the city receive the discount on their premiums.
短暂的, the CRS gives the city points for a variety of activities related to public information about flood risks and preparedness; open space preservation and stormwater management; relocation and retrofitting activities; and flood warning and safety systems. Based on what the city has done to reduce the risk of flood damage, the CRS assigns the city a grade. 城市的CRS等级越高, the greater the discount city residents receive on 洪水保险 premiums.
The potential premium savings can be substantial in a city with a good CRS grade, 但CRS系统在明尼苏达州似乎很少使用. According to the FIA, only a few 明尼苏达州esota communities have qualified for discounts.
这可能有几个原因. 一些城市可能不知道CRS计划, 或者可能不理解它可以带来的保险费节省. City staff time and effort required to assemble the needed information and documentation could be a significant deterrent.
But in a city where a substantial number of property owners 购买 洪水保险, it may make sense for the city to invest that time and effort in view of the potential savings for its residents.
The CRS uses a point system to evaluate city activities in four major areas: public information, 映射和监管, 洪水造成的损失减少, 和洪水防范. 在某些情况下, there are also specific requirements the city must meet to qualify for specific CRS grades. Activities for which a city can receive CRS credit include the following.
- Maintaining and making available elevation certificates for property in the city.
- Maintaining and making available the NFIP Flood Insurance Rate Maps.
- Outreach projects to inform citizens about flood hazards, 洪水保险, 和防洪.
- Systems to assure that people who own or are considering buying property know whether it’s in a floodplain.
- Maintaining a library of information on such topics as flood hazards, 洪水保险, 和防洪, 供公众使用.
- Providing advice and assistance on how to protect property from flood damage.
These regulatory activities are given even more points in growing communities — the faster your growth rate, 你的规章制度得的分越多.
- Conducting updated or more detailed flood and hydrological studies.
- 保留洪泛平原的土地作为开放空间, 通过诸如法令之类的措施, 购买, 契约的限制, 低密度分区.
- Adopting stricter regulatory standards than NFIP’s minimum requirement. 例如, requiring higher freeboard or flood-proofing for new construction, 或禁止填平洪泛平原.
- Achieving an Insurance Services Office (ISO) Building Code Effectiveness Grade of 6 or higher. The city must have a rating of 6 or better to achieve a CRS grade of 7 or higher.
- Identifying and alerting people to areas subject to special flood risks from causes such as ice jams.
- 雨水管理活动, such as regulations to help assure that new developments in the watershed don’t increase runoff.
- 使用翻新来保护现有的建筑, 比如提升建筑的高度, 堤坝或其他屏障, 并能抵抗洪水.
- Implementing systems for regularly inspecting and maintaining the city’s storm drainage sewers, 沟渠, 持有池塘, 其他地区也面临着洪水的风险.
- Employing systems to warn the public of impending flooding.
- 对堤坝和堤坝的安全和维护进行规划. 明尼苏达州esota cities that go through the CRS process automatically get credit for the state’s dam safety program.
The starting point is for the city to complete and submit the CRS Application Form and accompanying documentation. If you’re not sure whether your city wants to go through the process, it may be helpful to obtain a copy of the CRS Coordinator’s Manual from FEMA. It provides information and documentation the city will need to assemble.
The ISO does the actual CRS evaluations on behalf of FEMA. The city’s application is submitted for review to the regional ISO/CRS specialist, 谁负责现场评审和审计.
Going through the CRS process will require significant time and effort. The documentation that’s required is extensive and detailed.
The onsite review involves both an audit of the city’s records and documentation, 以及洪泛平原地区的实地调查. Depending on the size of the city, the onsite review may be a multi-day process.
一旦城市获得了CRS评级, the city will also need to comply with some ongoing record keeping and annual reporting requirements to maintain that rating.
There are additional resources that can help cities with 洪水保险 and management.
- Learn more about floodplain management from the 明尼苏达州esota DNR website
- Learn more about the ISO Building Code Effectiveness Grade from the ISO website
- For questions about the NFIP program in 明尼苏达州esota contact Ceil Strauss, the 统计e’s Floodplain Manager with the 明尼苏达州esota Department of Natural 正规的网络购彩网站. 电子邮件 firstname.lastname@example.org 或拨打(651)259-5713.