American Bankers Insurance Company of Florida (ABIC) will be notifying, by mail, potential policyholders at least 90 days prior to their renewal. These policyholders will have undergone a map change effective on or after October 1, 2008.

Companies must identify all potentially eligible policies that are new or renewed for properties located on a panel that has undergone a map change effective on or after October 1, 2008. As maps continue to be revised, the potentially eligible policies can be identified by the panel number. The following examples demonstrate the eligibility determinations:

Existing Clients (Map Change between October 1, 2008, and December 31, 2010)

• A property owner purchased a PRP prior to a map change that took effect on November 1, 2008.
• The policy was converted to the grandfathered standard-rated X-Zone policy at the 2009 renewal.
• On the first renewal on or after January 1, 2011, the standard-rated X-Zone policy may be converted back to the PRP for a period of 2 years.
• An owner of a Pre-FIRM building purchased a standard-rated AE-Zone policy as a result of a lender requirement in December 2008. Prior to October 1, 2008, the building was designated in an X Zone, and the property owner had no policy. Since the building was Pre-FIRM and not eligible for NFIP grandfathering, the property owner purchased a standard-rated AE-Zone policy.
• The policy may be converted to a PRP for 2 years on the first renewal effective on or after January 1, 2011.
• A property owner purchased a standard-rated X-Zone policy while the building was still designated in an X Zone. A map change on or after October 1, 2008, has newly included the building within the SFHA. The policy may be converted to the PRP for 2 years on the first renewal on or after January 1, 2011.
  

• A property owner purchased a PRP prior to the map change that occurred within the current PRP policy year, and the PRP will expire after January 1, 2011. The new map effective after January 1, 2011, indicates the building is newly included in the SFHA. The policy may renew for 2 additional years as a PRP
  

Yes, a building is eligible for the 2-year PRP extension even if there is no mandatory purchase requirement, i.e., there is no federally backed mortgage on the building.

No, the 2-year PRP eligibility extension is distinct from existing grandfathering rules and limited in scope to buildings that would have been eligible for the PRP if the zone had not changed on a map effective within 2 years of the policy effective date.

No, if the building was located in an SFHA on the map in effect at the time of construction, and the building permit or construction date is after the most current map effective date, the building is ineligible for the PRP.

No, the 2-year eligibility extension begins on either January 1, 2011, or the map change effective date, whichever is later. A property owner whose new policy is effective during the second year following a map change will receive only 1 year of PRP eligibility. For example, if a map change occurs on February 15, 2011, the policyholder is eligible for 2 years under the PRP if the date of application is between February 15, 2011, and February 14, 2012. Beginning February 15, 2012, through February 14, 2013, the policyholder receives only 1 year under the PRP.

Additionally, if the policy was applied for between January 16, 2011, and February 14, 2011, and had an effective date after the map change effective date of February 15, 2011, the 2-year policy extension would begin on the first renewal.

Yes, a new owner is granted the remainder of the 2-year PRP eligibility extension if property ownership changes hands within 2 years of the map change effective date.

Yes, the policy can be reinstated as a PRP during the 2-year PRP eligibility extension period.

No, unless it was issued in error, any existing standard-rated policy effective prior to January 1, 2011, is not eligible for refunds.

There is no end date specified for eligibility based on map change effective dates. Beginning January 1, 2011, each policy on a building newly included in the SFHA by a map change effective October 1, 2008, or later is entitled to 2 additional years under the PRP.

All companies must indicate two flood zones on the policy declarations page issued under the 2-year PRP eligibility extension. The "Current Flood Zone" will indicate the flood zone designation of the property on the current FIRM. The "Flood Riskl Rated Zone" will indicate the flood zone from the previous map used to rate the policy.

Additionally, agent will be able to email or fax the FEMA's "Important Notice to Lenders", which will be available on the abicflood.com website at any time it is requested to demonstrate compliance with the mandatory purchase requirements.

The FEMA Risk Insurance Division Industry and Public Relations Branch is engaged in the 2-year PRP eligibility extension outreach and will provide accurate content for FloodSmart and related agent communication.

When converting a standard-rated policy to a PRP on renewal, the agent must obtain the loss history and information requested on the PRP application. When converting a PRP to a standard-rated policy, the Application Part II information must be collected as applicable to the building.

Documentation needed to convert a PRP to a standard-rated policy should be obtained at the time of conversion.

The zone and map information from the prior map are to be entered on the PRP application.

No, the 30-day waiting period will not apply in those cases where the standard-rated policy has only building coverage and is rewritten as a PRP that includes contents coverage. The General Rules and Preferred Risk Policy sections of the NFIP Flood Insurance Manual will be updated accordingly.

No, the 30-day waiting period does not apply when a new flood insurance policy is required as a result of a lender determining that a loan on a building in an SFHA that does not have flood insurance coverage should be protected by flood insurance. The General Rules section of the NFIP Flood Insurance Manual will be updated accordingly, as well as the PRP application form.

Yes, buildings insured under the PRP during the 2-year PRP eligibility extension may be rated using XZone rates when their policies are renewed as standard-rated policies at the end of the 2-year eligibility period.

Yes, buildings insured under the PRP during the 2-year PRP eligibility extension may be rated using X Zone rates when their policies are renewed as standard-rated policies at the end of the 2-year eligibility period.

Yes, FEMA will allow a rating adjustment from the standard-rated policy to the PRP for eligible policyholders that can be made retroactive to the earliest eligibility date, which is January 1,2011, or the map change effective date, whichever is later. Retroactive rating adjustments will be made as outlined in the prior-term refund rules for misrating.

Yes, FEMA will allow a rating adjustment from the standard-rated policy to the PRP for eligible properties that can be made retroactive to the earliest eligibility date, which is January 1, 2011, or the map change effective date, whichever is later. Retroactive rating adjustments will be made as outlined in the prior-term refund rules for misrating.

No, the 30-day waiting period does not apply.

Agent commissions will be adjusted using the new PRP premium.

No, the coverage limitations for enclosures below the lowest elevated floor of a Post-FIRM building located in Zones AI-A30, AE, AH, AR, ARIA, AR/AE, ARlAI-A30, VI-V30, or VE will not be applied to a PRP written under the 2-year PRP eligibility extension. The coverage will be based on Zone X.