24
Jul
New FEMA Risk Rating 2.0 to Determine Flood Insurance Rates
From NAHB Now
The Federal Emergency Management Agency (FEMA), which oversees and implements the National Flood Insurance Program (NFIP), has initiated a long-term effort to transform the program to make it more consumer friendly and better reflect the actual risks properties face.
Through the new framework, known as Risk Rating 2.0, FEMA intends to create a more accurate and fair calculation of structure-specific risks and improve the policy application process — efforts that it hopes will compel more home owners to purchase flood insurance.