Gulfshore Insurance > Gulfshore Blog > Commercial Risk Management > Summary of NFIP Program Changes Effective April 1, 2020

The National Flood Insurance Program (NFIP) recently announced changes effective April 1, 2020. These changes include:

  • Premiums will increase an average of 9.9%.
  • The Reserve Fund Assessment will increase to 18% and the Severe Repetitive Loss premium will increase to 10%.
  • Primary Residence Determination – when the property address and mailing address match, no additional documentation will be required before issuing the policy as the primary residence.
  • Non-Residential Flood-proofing Credit – FEMA has updated the process and outlined documents needed prior to submission.
  • V-Zone Risk Rating Factor Form – FEMA is discontinuing use of this form.


Below is a breakdown of the premium increase by Flood Zone:

Preferred Risk Policies (PRPs) – Premiums will increase 12.5%

Pre-FIRM Subsidized Policies – SFHA Zones (A, A1-30, AE, AH, AO, AR, AR/A, AR/A1-30, AR/AE, AR/AH, AR/AO, V1-30, VE)

  • Primary Residences +7.5%
  • Non-Primary Residences +23.1%
  • Substantially Improved +23.8%
  • Severe Repetitive Loss (SRL) Properties +24%
  • Non-Residential Business +24.2%


Other Subsidized Policies

  • A99 & AR Zones – Premiums will increase 4.2%


Post-FIRM V Zones

  • V Zones +5.6%


Post-FIRM A Zones

  • A1-30 AE +4.1%
  • AH, AHB, AO, AOB +2.7%
  • Unnumbered A Zones +5.1%


X Zones

  • Standard Rated X zones +3.8%