in the same way that many already do with other ancillary coverages like excess liability — make it part of the routine ,” says John Hannah , assistant vice president , lending and insurance solutions , SWBC .
“ It ’ s shocking how many insureds genuinely don ’ t know they can even purchase flood insurance coverage if they don ’ t live in a special flood hazard area , purchase more coverage than the NFIP offers , or look at alternatives to the NFIP that don ’ t require elevation certificates or waiting periods ,” Hannah says .
As extreme weather events increase in frequency and severity , “ clients are relying on us advisors to point out the perils that face their biggest assets ,” agrees Steve Rivera , partner , national personal lines practice leader , The Liberty Company Insurance Brokers . “ Clients don ’ t know what they don ’ t know , so bringing your expertise to the table and showing clients that you are looking out for their best interest and allowing them to make informed decisions will always go very far with gaining their trust and building long-term relationships .”
2 . KNOW THE COVERAGES
“ Risk Rating 2.0 has changed how the NFIP is pricing flood policies , so any agent looking to write an NFIP policy must understand the new rating guidelines associated with Risk Rating 2.0 ,” Masone says . “ They should be looking to their Write-Your-Own carrier for support to ensure they obtain all of the new rating elements required to get an accurate price .”
For high net-worth clients , “ agents must understand the risk and be aware of coverage restrictions in the NFIP and available private market policies to offer excess flood insurance if warranted by the building type ,” Masone says . “ Primary limits could be exhausted quickly , so tapping into an excess product could provide the extra coverage that a customer needs .”
However , insuring high net-worth homes against flood can be complex . “ These structures are often built with high-quality , unique materials and are often very custom in design and features ,” says Wes Brum , account executive , Insurance Associates Inc .
“ Insuring a high net-worth home is much more than insuring just a home ,” Brum says . “ The clients who own high-value homes often will also have fine jewelry , arts , antique or luxury vehicles , and watercrafts .”
PROVIDING RURAL AGENTS WITH ACCESS TO “ EXCELLENT ” RATED SPECIALTY CARRIERS .
AFFORDABLE INSURANCE FOR AFFORDABLE HOUSING
Additionally , private and excess flood insurance coverage should be understood to ensure agents offer full-value flood coverage for their clients .
“ It ’ s also worth mentioning that every HO conversation surrounding flood should include additional living expense coverage , which is not available through the NFIP , but is regularly available if you ’ re offering coverage through the private or excess market – sometimes it ’ s included at no additional cost ,” Hannah says .
Twila Hall Aegis General Insurance Agency Midwest Regional Manager 417.379.4035 www . aegisgeneral . com
SOLUTIONS FOR YOUR AGRICULTURAL BUSINESS
Brett Hyde Mid-America Risk Managers President 402.894.2666 , ext . 2280 www . marm . net
MAY / JUNE 2023
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