FEMA Notification Letter May Not Be Last Word On Assistance
Victims with insurance urged to call back after settlement if need aid
Release Date: November 16, 2005
Release Number: 1609-025
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ORLANDO , Fla . -- Applicants for federal disaster assistance who have private insurance coverage and receive a letter from the Federal Emergency Management Agency (FEMA) saying they are not eligible or have been denied assistance, should contact FEMA if they have needs beyond what their insurance settlement will cover. They still may be eligible for disaster assistance programs after they provide FEMA with the insurance information.
When registering for assistance, the callers were asked questions about what, if any, insurance they had. If they said that they had property insurance, they most likely received a letter stating they are being denied assistance because they are insured or, as the letter states, "INS-insured." In that situation, FEMA requires more information on the insurance settlement before a final decision can be made.
"By law, FEMA cannot duplicate what insurance already covers, or pay any deductibles," Federal Coordinating Officer Justin DeMello said. "But in some cases, FEMA may be able to help, up to the allowable program limits. Applicants may want to reconnect with FEMA after they hear back from their insurance company."
Letter recipients should consider calling FEMA again at 1-800-621-FEMA (3362) after their insurance claim is settled . In instances where the damage is from flooding, and the applicant had homeowners insurance but not flood insurance, victims may want to contact FEMA right away if they received a denial letter. In a case where the damage to the structure is from flooding, homeowners insurance would not cover the damage so they should tell the operator they had flood damage.
"Certain applicants were initially sent a letter saying they were denied because they had private insurance to cover losses," State Coordinating Officer Craig Fugate said. "This letter is not the final word on the applicant's overall eligibility for assistance if they continue to have unmet needs."
It is important to register with FEMA now. Occasionally, the insurance settlement process may take several months before it is final, perhaps even after the registration period has ended. The deadline to apply for disaster assistance is December 23, 2005.
Any applicant who receives a letter from FEMA stating that a claim for federal assistance has been denied because of insurance should contact his or her insurance agent and request a "delay of settlement" letter. That information, along with any new or important information that may have surfaced since they first registered, should be mailed to the address provided in the FEMA letter.
The applicant may also take an insurance settlement letter to a Florida State Emergency Response Team (SERT) /FEMA Disaster Recovery Center (DRC) where recovery specialists will assist him or her in appealing the denial or updating their application for assistance.
Any Florida resident with questions or concerns about how a private insurance carrier has responded to hurricane damage should visit representatives of the Florida Department of Financial Services at any of the Disaster Recovery Centers, visit the department's web site at www.fldfs.com or call 860-413-3132.
The most common reasons that applicants may receive denial letters declaring them ineligible for FEMA disaster assistance, besides an applicant having adequate insurance coverage, include:
- Damage to secondary home, not primary residence. (By law, applicants are eligible for FEMA disaster assistance only if the damage is to the applicant's primary residencewhere the person usually lives and was living at the time of the disaster.)
- Damage to rental real estate, not primary residence, owned by applicant.
- Inability to prove occupancy or ownership.
- Failure to fill out and return the SBA loan application.
If FEMA determines that an applicant is not eligible for a grant, he or she should still apply for a low-interest disaster loan from the U.S. Small Business Administration (SBA). Among the other programs that may provide assistance are Disaster Unemployment Assistance, free crisis counseling, legal and tax assistance, and voluntary agency assistance.
The State Emergency Response Team (SERT) is a collaboration of Florida 's state agencies led by the state coordinating officer. SERT's mission is to ensure that Florida is prepared to respond to emergencies, recover from them, and mitigate their impacts. Visit www.floridadisaster.org for the latest information on the hurricane relief efforts.
FEMA prepares the nation for all hazards and manages federal response and recovery efforts following any national incident. FEMA also initiates mitigation activities, trains first responders, works with state and local emergency managers, and manages the National Flood Insurance Program and the U.S. Fire Administration. FEMA became part of the U.S. Department of Homeland Security on March 1, 2003. For more information visit www.fema.gov.
Last Modified: Friday, 18-Nov-2005 09:28:02