The Stafford Act requires any organization seeking Public Assistance from the Federal Emergency Management Agency (FEMA) to obtain and maintain insurance coverage equal to or greater than the amount of eligible damage of the facility receiving Public Assistance. This is known as the O & M Requirement.
However, due to market conditions, it is often impossible for organizations to obtain this level of coverage. For this reason, the Louisiana Department of Insurance and the Governor’s Office of Homeland Security and Emergency Preparedness (GOHSEP) worked together to establish criteria an organization must meet in order to be eligible for an Insurance Commissioner’s Certification or ICC. An ICC declares that some portion of the O & M Requirement is not reasonably available to you, but you have obtained the best coverage you can and therefore, are still eligible for FEMA Public Assistance.
Once an organization obtains an ICC, it must maintain the same level of coverage held at the time the certification was obtained in order to remain eligible for FEMA Public Assistance funding.
It is important to know that FEMA Public Assistance does not replace your private insurance benefits but rather supplements them in the event of a presidentially declared disaster.
For more information on the Insurance Commissioner’s Certification process, please click here.