Flood Insurance: Compliance Issues and Hot Spots
The flood insurance regulations have been around since 1996 (the Act since the 60s!), yet examiners continue to cite numerous violations and fines. Compliance seems simple but is much more difficult in practice. Flood insurance compliance is always one of the regulators' principal areas of concern. We've also had changes in the rules, dating back to the Biggert-Waters Flood Insurance Reform Act of 2012, that has influenced compliance efforts. The agencies recently issues proposed Interagency Q&As to deal with the private flood insurance provisions. At some point in the future there will be significant changes coming to the program due to severe financial issues.