Peter Rossi, a member of Cozen O’Connor’s Subrogation department, discusses the history of flood insurance, the creation and status of the National Flood Insurance Program and subrogation related to water damage that results from rising water in “Underwater World” written for Claims Management. Knowing that the insurance industry stopped including flood coverage insurance in standard policies, Congress created the National Flood Insurance Program in 1968. The NFIP provides flood insurance to property owners in communities that participate, with the intentions of managing flooding on the local level while insuring flood damage. The insurance industry handles the implementation and administration of the NFIP, while the NFIP develops the rates, rules and regulations. “Underwater World” discusses how an individual and a community can purchase flood policies, how the NFIP determines the insurability of an area, and even the future of the NFIP. Peter Rossi explains, that due to the fact that the NFIP would be bankrupt if it were a corporation, some expect a fight in Congress regarding its renewal when its legal authority expires in 2017.
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