Hurricane Sandy may have hit the east coast of the United States nearly four years ago, but property owners are still waiting for some of their flood claims to be processed. In addition, many individuals and businesses have been underpaid on their claims. In a recent article from Emergency Management, these issues and FEMA's efforts to solve them were discussed.
In May, federal officials announced that they are taking internal steps to better control the insurance claims process with FEMA. There are also now new policy holder procedures for filing appeals. The flood insurance program administrator, Roy E. Wright, explained that the process would have 3 new elements added to it:
- A New Appeal Process. Policy holders will now be able to see what is inside of their file, such as the analysis, review and final resolution. And now, FEMA will make the final decision on the appeal, not the insurance contractor.
- Specialist Lawyers. A group of lawyers who are involved in the flood insurance program will oversee every policy holder-filed lawsuit that is being filed against the insurance contractors for underpayment. This is to limit the cost for FEMA and ensure that every case is addressed appropriately.
- Agency Policy. They will be doing away with the current regulatory framework that they now have for insurance contractors. Instead, they will switch to an agency policy so that they can drop difficult insurance contractors if necessary. This process will also give the public 2 months to comment and review on the policy.