In 2022, FEMA updated the National Flood Insurance Program's (NFIP) risk rating methodology through the implementation of the new pricing methodology Risk Rating 2.0 (RR 2.0). Big “I" Flood partner Selective was there to help Big “I" agents adjust to the new guidelines every step of the way.
In the new year, Selective shares some lessons learned from the first year of Risk Rating 2.0 and some thoughts for the year to come:
1) Communication. Selective provided frequent and direct communication to agents early on and continued to provide this information, working hand-in-hand with agents to ensure a smooth transition.
To facilitate communication, it is imperative that Selective has current accurate email information for agents. In 2022, many agents did not receive any of the numerous emails provided about training opportunities or key FAQs about Risk Rating 2.0 because Selective did not have accurate email addresses or were blocked. Every agent should reach out to either their Selective underwriting team or your dedicated Selective Territory Manager to ensure Selective has an accurate email address on file.
2) Partnership. Flexibility and partnership were key to ensure success in the implementation of RR 2.0. By partnering and working directly with agents, Selective and its appointed agents were able to support one another while maneuvering together through the ever-changing RR 2.0 course.
3) Looking Ahead. As we prepare to continue our successful partnership in 2023, frequent and open communication between Selective and agents will be key. It will be a few more months until every renewal has been transitioned into RR 2.0. Once May arrives, the focus will shift toward working with agents to develop retention-focused strategies. Selective's dedicated underwriting and sales teams are available to support their agency partners in any way to help retain their flood books.
Continued partnership will also be essential as inflation continues its hold and home sales start to decline. Working with agents to find pockets of opportunities for new business growth will be a major focus for Selective in 2023.
Selective will continue its ongoing engagement with FEMA to understand what and when any future changes may happen to communicate this information as quickly as possible. Selective representatives have strong relationships with FEMA staff and continue to share their thoughts and ideas around potential changes that could help improve the program.
Big “I" Flood and Selective are here to support you. Be sure to visit Selective's dedicated RR 2.0 website to stay abreast of the latest RR 2.0 updates, or learn more about Big "I" Flood.