Agent Resources

What is Risk Rating 2.0 (RR 2.0)?

Risk Rating 2.0: Equity in Action is FEMA’s new, individualized approach to risk assessment, built on years of investment in flood hazard information. By using new data, new flooding models, and new technology, Risk Rating 2.0: Equity in Action can assess many factors for individual properties, including:

  • Frequency of flooding
  • Multiple flood types — river overflow, storm surge, coastal erosion, and heavy rainfall
  • Proximity to flood sources
  • Building characteristics, such as First Floor Height and the cost to rebuild

NOW AVAILABLE:

Potential Policyholder Savings 

If a policy was issued under Risk Rating 1.0 between October 1, 2021 and March 31, 2022, and it's more beneficial for the policyholder to rate under RR 2.0, agents are now able to take advantage of the RR 2.0 premium. 

  • Qualifying policies may be found using the Agency RR 1.0 to RR 2.0 Renewals report* available on your agency dashboard
    • Simply select Convert to RR 2.0 and input RR 2.0 additional data, then the system will tell you if it is beneficial to the policyholder to convert from RR 1.0 to RR 2.0
    • Once you submit the changes, the policy will be canceled and rewritten with updated RR 2.0 rates and a refund will be issued
  • This process will not impact commissions
  • Click here for the on-demand, eight-minute video on how to convert these qualifying policies

*Dependent upon users having access to the reporting feature

Important Announcement

What does this mean for you?

Renewals

  • Renewal bills are generating for policies renewing 4.1.2022 and later if all required additional information to rate with RR 2.0 has been entered
  • FEMA assumptions (defaults) are applied automatically if information is missing
    • The WYO you write under must authorize this function to be enabled 
  • Don't forget to access your renewal queue on your agent dashboard and continue to enter the missing information and verify auto-populate data (if enabled) to prepare policies for renewal
    • This screen should be familiar to you as it was released 10.1.2021 for new business and renewals that opted into RR 2.0
  • A report is available under your REPORTS tab that provides a detailed list of policies expiring within a specified timeframe including renewal information

RR 2.0 Renewal Pending Data Queue

  • This queue contains all of your policies renewing 4.1.2022 and later that require additional information in order to rate under RR 2.0.
  • You can drill down on each renewal and enter the missing data.
  • If your WYO is taking advantage of the auto-populate capability, some fields may be pre-populated for review.
  • Simply complete the missing information and continue.
  • If your WYO is taking advantage of FEMA approved defaults, we help you ensure your renewal bills are mailed in a timely manner by applying FEMA-approved assumptions (defaults), if necessary.

NFIP Resources

As more resources are available, we will share them here.

Risk Rating 2.0 – Equity in Action: FEMA’s New Rating Methodology

FEMA is committed to transforming the National Flood Insurance Program (NFIP) by leveraging industry best practices and current technology to better reflect a property’s individual flood risk. Insurance Agents can now access user-friendly technology that incorporates multiple flood risk factors and leverages a new rating methodology developed by the National Flood Insurance Program. Learn more about FEMA’s solution to simplify and improve the quoting process.
Download FEMA's NFIP Risk Rating 2.0 PRP Infographic
Download FEMA's NFIP Risk Rating 2.0 Social Graphic

*Risk Rating 2.0 implementation dates subject to change

This document and any recommendations, analysis, or advice it contains (the “Analysis”) are not intended to advise you regarding any individual situation and should not be relied upon for that purpose. Torrent’s Analysis is based on sources we believe reliable, but we make no representation or warranty as to its accuracy. Torrent has no obligation to update this Analysis and shall have no liability to you or any other party arising out of this publication or its contents.