Wright Flood's Auto Conversion Process After a Map Change

Volume 10 Issue 24 May 19, 2016

Map Changes Made Easy:  
We auto-convert...so you don't have to! 

Auto Convert to PRP after Map Change, sends refunds and pays commission with no chargeback
When important flood zone map changes occur in your area, Wright Flood analyzes your existing flood business to keep policies in compliance.  The Auto Convert to Preferred Risk Policy (PRP) after Map Change process converts eligible policies, generates applicable refunds, provides letters to the eligible insureds, and provides a report to allow agents to know the effects on existing policies.
With the standard NFIP map change process, you, as the agent, would need to analyze the policy, run a flood zone determination, notify the insured of outcome, and then cancel the eligible existing standard policy to be re-written as a new PRP policy.
At Wright Flood, our process automatically reviews and converts eligible policies starting the very next day after a map change to save you time and effort.  We provide a report to track the effects of map changes on your business and we notify eligible insureds how map changes have affected their policies. (See sample letters and sample Map Revision Status comments below)
Note: No commission is lost through this conversion and policies are retained. Resulting refunds, if any, will be mailed to the agent and should be forwarded to the insured. 
Click on the below titles to view letters sent to affected insureds (please save/print and retain for reference): 

  • If the policy is eligible and lower premium would result as a PRP policy, the automatic conversion to PRP is completed by Wright Flood*Coverage is not lowered; conversion to comparable PRP packaged limits
  • The refund is generated and mailed to the agent for transmission to the insured-there is no commission charged back to the agent. 
  • The insured may still cancel the PRP policy if they choose and the NFIP cancellation process will apply.  However, the insured must supply all NFIP required documentation to cancel and the effective date of cancellation will be the date the request is received by the insurance company.
  • When the policy becomes a low risk zone, it is eligible for conversion but the conversion would not result in lower premium.  
  • Agents should proactively discuss the coverage benefits and premium options of a PRP policy vs. a standard policy with these clients as the coverages offered by the PRP may be more beneficial.  

  • Informs the policyholder that the loss history of their property prevents conversion to PRP. 
The process does NOT send letters in the following cases:
  • If the flood zone remains in the high risk flood zone after flood map revisions, there can be no conversion to PRP--no letter is sent. Agents can determine this from the report.
  • If the flood zone change cannot be determined from the address information, a request for more information to determine the flood zone is sent to the agent, and the process is suspended awaiting response. If further information is not received from the agent to determine the flood zone within 30 days, the automatic conversion process is rejected.
  • If there is a change in base flood elevation, the conversion will be handled as part of the Clear Communications process upon renewal. 
  • If the property does not meet the eligibility requirements due to loss history on the property

The Map Revision Report identifies policies where a map change has occurred, and is a resource for agents to respond to insured's questions about map changes without the need to order any further zone determinations.
Furthermore, the report allows input of a date range and sorting of policy details and displays the current flood zone and prior flood zone, any new policy number as well as a description of the outcome determined for each policy.  ,
The report is available on the Report section of the www.wrightflood.com agent portal after log in, and will be continually updated to represent pertinent policy data relevant to the NFIP reforms and clear communications.
Important notes regarding the Auto-Convert to PRP: 
  • Wright Flood's Automatic Conversion to PRP after Map Change begins the day after a map change becomes effective to analyze the best action on your behalf as well as the insured.
  • Auto Conversion process to PRP after map change does not include Residential Condo Building Association Policies-agents should review those policies independently.
  • After a map change moves a policy from high risk to low risk, Wright Flood will automatically convert it to the Preferred Risk Policy and generate a refund for the insured if conversion generates a lower premium.
  • Conversion of policies to PRP after map change does not result in any commission charge back to the agency
  • The insured can still choose to cancel the policy after the auto conversion to PRP takes place. However, the insured must supply all NFIP required documentation to cancel, and the effective date of cancellation will be the date the request is received by the insurance company.
  • NFIP cancellation process is unchanged and still requires all named insureds/agent to sign the cancellation request and to provide the documentation from the lender.
  • Coverage amounts after conversion to PRP will be the same or the closest coverage level available, but not lower than the original.
  • Contents coverage will be applied as noted in the Preferred Risk Policy package.
  • This Auto Convert to PRP After Map Change process relates only to flood zone changes from high risk zones (A or V) to low risk zone X resulting from map changes. BFE or datum changes, or any other zone changes that occur during map revisions, are not addressed by the automatic conversion to PRP process; rather they are handled as part of the Clear Communications process.
  • This NFIP approved Auto Convert to PRP After Map Change process is currently in effect and is ongoing until further notice.

Auto Conversion PRP to Newly Mapped Procedure with map change from low risk to high risk flood zones
In April 2015, with the implementation of the Newly Mapped Procedure, Wright Flood instituted the Auto-Convert to Newly Mapped Procedure after Map Change to automatically enroll existing eligible policies into the Newly Mapped procedure during the eligibility period including evaluating the premium options and offering the lowest premium available to the insured.
The Newly Mapped into SFHA procedure applies to properties involved in a map change moving them from low risk to high risk flood zones and allows one year after map change to be enrolled in the Newly Mapped Procedure. Some of the benefits of the Newly Mapped Procedure include.

  • No Elevation certificate needed!
  • Low cost rate with standard fees
  • Glide path to full risk rates
  • The Newly Mapped policy is assumable                                           

Wright Flood 's Map Revision report for agents will also track policies that are automatically converted to the newly mapped procedure, and notify the insured of the map change and its effects on their policy.
Properties not eligible for auto-conversion to the Newly Mapped Procedure:
  • If the property does not meet the eligibility requirements due to loss history on the property
  • RCBAP Policies (Residential Condominium Association Policy
  • Properties in the Emergency Program
  • MPPP Policies (NFIP Forced Placed policies) 

To reach FloodSmart.gov Map Update Schedule, please click here.  Select your state andcounty then scroll down to read any map updates scheduled for your municipality.
If you need more information about this feature, or help to prepare for map changes in your community, please contact your RSM and/or Wright Flood Marketing 866-373-5663 or at floodmarketing@weareflood.com.
Flood Communications 
Wright Flood | 801 94th Avenue North | St. Petersburg | FL | 33733
(800) 820-3242