We have a new commercial transaction involving five different structures on a large tract of land that are in Flood Zone A. Coverage has been provided over and above the required amount. The problem we are running into is there is an unanswered question regarding the actual policy. The insuring company is rated A++ Superior. The insurance underwriters have agreed to schedule each of the properties breaking down the cvoerage amounts for each structure. This is not an NFIP policy, which I guess makes it a WYO. Is this acceptable, or is an individual policy required for each structure?

You have to have an individual policy for each structure located in a SFHA, except in the case of a dwelling w/attached garage. The attached garage can be listed on the same policy as the dwelling but that is the only time more than one structure can be listed on one policy and be properly insured.

So, WYO policies of course have to follow the NFIP guidelines. But do any of you out there know if all commercial banks on their multi million dollar loans, require individual policies on large industrial complexes that have several separate structures?

If they want to be in compliance with the NFIP, they better be requiring that each structure is adequately covered by a separate policy either through the NFIP or a WYO.

The only possible exception, and this is pure speculation, is if the flood policy is being written through a private insurer. In this case the policy is not written through the NFIP and one policy may be sufficient to cover all buildings. However to repeat, this is speculation and I did not research it, nor have I dealt with private insurers.