Tip of the Month April 2007

The Waiver form:

When prospective clients decline flood coverage, ask them to sign a waiver. The waiver validates your offer, the prospect's declination, and the date on which these events occurred. In the future, if a flood occurs, the document becomes a record that can help reduce your risk of costly lawsuits and lower your E&O exposure.

Following is a sample waiver. You may wish to write your own, or to cut and paste the provided language onto your own letterhead.

 

FLOOD INSURANCE WAIVER

Property Owner’s Name: _____________________________________________

Property Address: __________________________________________________
                             __________________________________________________

I, ___________________, hereby certify that my agent has offered me the opportunity to purchase flood insurance coverage in the National Flood Insurance Program, and that I have elected to decline this coverage, as indicated below.

            ____ I reject Building and Contents coverage for flood protection.
            ____ I reject Contents coverage for flood protection.
            ____ I reject Building coverage for flood protection.

I understand that my homeowners/business owners’ policy does not provide coverage for flooding.  I also understand that, because I have declined flood insurance protection, I will not be covered in the event that there is a loss to my property caused by flood.

I understand that my agent and/or agency will not be held liable for my decision to not purchase flood insurance.

 

_____________________________                          __________________________
Property Owner’s Signature                                          Agent or Customer Service
                                                                                    Representative’s Signature

_____________________________                          ____________________________
Date                                                                             Date