The Biggert-Waters Act created a requirement that mandates the acceptance of private flood insurance in certain situations. Those provisions are effective once final regulations are in place. Until final regulations are in place an interagency question and answer allows a creditor the option to accept private flood insurance that is comparable to a FEMA standard flood insurance policy.
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Top Ten Most Frequent Flood Issues
Private Flood Insurance
Answered by:
Question:
Are we required to accept private flood insurance when requested by the borrower?
Answer: