Laserfiche WebLink
. � <br /> r � <br /> . � , <br /> � <br /> � <br /> 2 . <br /> If a flood insurance policy has been issued under the NFIP covering the <br /> . building on the aforementioned property and that policy was required by the <br /> mortgage eompany in conjunction with Federal flood insurance requirements, <br /> then flood insurance coverage is no longer required under those Federal <br /> ' ' : requirements. ' ' � � ' , . • � • � ' . . � � . <br /> i�,r Accordingly, if a lender imposed the flood insurance requirement, that lender <br /> � will have to determine whether or not to continue that requirement. The <br /> lender may determine, as a business decision, that it wishes to continue the' <br /> flood insurance requirement in order to protect its collateral security on the <br /> loan. . <br /> , <br /> ,. <br /> If the lender decides to release the borrower from the flood insurance <br /> requirement, and the insured decides to cancel the policy and seek a refund,� <br /> then the NFIP will refund the premium paid for the current policy year, . <br /> providing that no claim is pend�ng or has been paid on the policy during the • <br /> current policy year. The insured must obtain a written waiver of the flood, <br /> insurance requirement from the lender to provide to their property iiisurance <br /> agent or company that is servicing their policy. The agent or company will <br /> then process the refund request for the insured. <br /> Even though the residential structure is not located in an SFHA, as mentioned <br /> above, it could be flooded by a flooding event of greater magnitude than a 1;G <br /> annual chance flood. In fact,� more than twenty-five percent of all losses in <br /> � the� NFIP occur to buil'dings located outside �th'e SFHA .in•2one B, C, or• X. More <br /> . than one fourth of all �policies purchased under the NFIP protect �buildings <br /> located in these zones. That risk is just not as great as the flood risk to � <br /> buildings located in SFHAs. In order to offer flood insurance protection to <br /> owners ot' such buildings, the NFIP offers two types of flood insurance <br /> policies: the Standard Policy and a policy for flood insurance at low rates. . <br /> The Zow-rate policy is available for buildings located outside the SFHA with <br /> little or no loss history. The Standard Policy is available for all other <br /> buildings. Individual flood risk situations and insurance needs should be <br /> discussed with an insurance agent or company before making a final decision� <br /> regarding flood insurance coverage. <br /> A copy of this Letter .of Map Amendment is being sent to your community's <br /> of_ficial NFIP map:repository where, ir. sccordance k*ith regul.ations adoptad by <br /> the community�when it made application to join the NFIP, it will be attached� . <br /> to_the community's .official record copy o€. the NFIP map which is available for <br /> '� public inspection. � � . � � � . • , • � ' <br /> Thi.s response to your request is based on minimum criteria established by the <br /> NFIP. State and community officials, based on knowledge of local conditions <br /> and in the interest of. safety, may set higher standards for construction in <br /> the floodplain. If the State of Minnesota or the City of Orono has adopted <br /> more restrictive and comprehensive floodplain management criteria, these <br /> criteria take precedence over the minimum Federal criteria. <br /> . '� � <br />