FEMA Obtain and Maintain Insurance Consulting Practice

What is FEMA’s requirement to obtain and maintain insurance?

When the Federal Emergency Management Agency (FEMA) “provides assistance for permanent work to replace, restore, repair, reconstruct, or construct a facility, the applicant must insure that facility against future loss. FEMA refers to this as the requirement to “obtain and maintain” insurance, or, the “insurance requirement.”¹ In short, FEMA expects the applicant to protect their investment in local communities against future disasters of similar types.

What happens if an applicant does not meet FEMA’s requirement to obtain and maintain insurance?

The applicant will risk de-obligation of currently obligated funds. Additionally, if the applicant is impacted by a similar disaster, it will jeopardize its access to future Public Assistance Grant funding.

Ways Tidal Basin Can Assist Grantees
  1. Confirming FEMA’s actual obtain and maintain insurance (O&M) requirement
  2. Assisting with the with a GAP analysis to determine if and where gaps in insurance coverage exist;
  3. Working with the applicant and it’s insurance producer (agent/broker) to comply with FEMA’s obtain and maintain requirement;
  4. Negotiate with FEMA’s representatives regarding the applicant’s compliance;
  5. Assisting the applicant in obtaining an Insurance Commissioner’s Certification (ICC), in the event insurance coverage is either unavailable or unreasonable or both.

 ¹42 U.S.C. § 5154; 44 C.F.R. §§ 206.251(a), 206.252(d), and 206.253(b)(1)

Who have we helped?

Our experts have helped numerous communities, businesses, organizations, and more to recover from adverse effects from disasters. We encourage you to look through our references, testimonials, and case studies, and to contact us for further information.

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