Universal Property & Casualty Insurance Company, a subsidiary of Universal Insurance Holdings, has filed a request with the National Flood Insurance Program to become authorized to write and service Write Your Own flood insurance policies.
The US Congress established the National Flood Insurance Program (NFIP) with the passage of the National Flood Insurance Act of 1968. The NFIP is a federal program enabling property owners in participating communities to purchase insurance as protection against flood losses in exchange for compliance with state and community floodplain management regulations that reduce future flood damages.
The Write Your Own (WYO) program allows participating property and casualty insurance companies to write and service the standard flood insurance policy in their own names. The companies receive an expense allowance for policies written and claims processed while the federal government retains responsibility for underwriting losses. The WYO program operates as part of the NFIP.
Bradley Meier, president and CEO of Universal Insurance, said: We hope to be able to begin offering these policies to our customers in the third quarter of 2008.