According to Roland Mastandrea, a VP at BAS, states that the new program will enable flood policyholders to purchase better flood coverage at a lower cost as compared to the government run National Flood Insurance Program (NFIP).
Mastandrea goes on to explain how there are over two million policies currently written in Florida, over 37% of all policies written nationwide. Floods are the number one disaster in the United States, causing more financial loss that any other natural catastrophic event.
There is a 26% chance that a homeowner will experience a catastrophic flood loss during a typical 30-year mortgage. The average claim amount for even two inches of flood water is in excess of $10,000.
Mastandrea states that Branch Agency’s new Private Flood Insurance Program (PFIP) is a much better fit for disaster-prone Florida residents than the NFIP. PFIP provides temporary dwelling assistance, housing temporarily displaced homeowners during repairs to their home. NFIP does not provide this special coverage.
PFIP coverage is not exclusive to homeowners. Commercial coverage is also available at higher limits than allowed through NFIP, with better cost and coverages.
NFIP coverage is provided at “Actual Cash Value” on commercial policies, meaning that if a building suffers a loss, the policyholder will only be refunded the depreciated value of the original construction cost of the damage done. Under PFIP, Mastandrea says, coverage is afforded at “Replacement Cost Value,” meaning the policyholder will be reimbursed the cost to replace damage at current market price.
Mastandrea states that even with the reforms to the Biggert-Waters Flood Act, home and business owners stand to see a significant increase on NFIP flood policy premiums over the next few years.
“The PFIP is a better option for those looking for superior coverage than the NFIP, at a lower cost than available through NFIP,” Mastandrea says.
BAS is currently writing in Florida, Georgia, Tennessee, Louisiana, South Carolina, Texas, Alabama, Missouri, California, New York, New Jersey, Michigan, and Hawaii.
More information of Branch Agency Service’s Private Flood Insurance Program can be found on their website at www.myprivateflood.com. Interested applicants and agencies are encouraged to contact Roland Mastandrea either via email at firstname.lastname@example.org, or by phone at 904.572.4626.