On February 12, 2019, a joint release was issued by several federal regulatory agencies requiring regulated institutions to accept private flood insurance in addition to National Flood Insurance Program policies.
The purpose of the joint rule is to implement the Biggert-Waters Act requirements allowing regulated institutions to: 1) accept private flood insurance policies, 2) rely on an insurer’s written assurances, 3) clarify the conditions under which regulated institutions may accept private flood insurance policies that do not meet the Biggert-Waters Act criteria, and 4) allow institutions to accept plans provided by mutual aid societies.
This rule takes effect July 1, 2019.
The Office of the Comptroller of the Currency release and a copy of the Rule can be found here.