Milliman To Redesign Nationwide Rating Plan for NFIP

Flooded Houses Under Water

November 16, 2017

Flooded Houses Under Water

The Federal Emergency Management Agency (FEMA) has selected Milliman, Inc., to provide actuarial consulting services as part of a program to redesign flood insurance products across the National Flood Insurance Program (NFIP). Milliman will provide state-of-the-art tools, technology, and analysis to FEMA in order to design a new rating plan for NFIP policies nationwide. 

The NFIP is vital to protecting US communities from flood loss and has been offering flood insurance to home owners, renters, and businesses since 1968. In the almost 5 decades since the program was created, technological advancements have greatly changed the methods for modeling and rating flood risk. With its choice of Milliman, FEMA can take advantage of innovative new rating techniques that will allow the agency to better understand and price flood risk on a granular level nationwide.

"The NFIP has a wealth of knowledge and experience with the flood peril, and their resources combined with our innovative technology will allow them to design a flood insurance solution for the 21st century," says Nancy Watkins, a Milliman principal and project lead. "Our goal is to help modernize the NFIP's insurance product, reflect industry best practices, and improve policyholder experience through increased transparency and a better understanding of risk."  

Learn more about Milliman's flood expertise

November 16, 2017