33-32-11. Premium discount or insurance rate reduction; qualifications; records; rates and rating plans.

Not later than March 1, 2025, insurers shall provide a premium discount or insurance rate reduction for new or retrofitted residential insurable property in an amount and manner as established in subsection (e) of this Code section and in accordance with Code Section 33-32-10. In addition, insurers may offer additional adjustments in deductible or other credit rate differentials or a combination thereof. Such adjustments shall be available under the terms specified in this Code section to any owner who builds or locates a new residential insurable property or who retrofits an existing residential insurable property to resist loss due to tornado, hurricane, or other catastrophic windstorm events.#

Not later than March 1, 2025, insurers shall provide a premium discount or insurance rate reduction for new or retrofitted commercial insurable property in an amount and manner as established in subsection (e) of this Code section and in accordance with Code Section 33-32-10. In addition, insurers may offer additional adjustments in deductible or other credit rate differentials or a combination thereof. Such adjustments shall be available under the terms specified in this Code section to any owner who builds or locates a new commercial insurable property or who retrofits an existing commercial insurable property to resist loss due to tornado, hurricane, or other catastrophic windstorm events.#

To be considered for any adjustment provided for in subsection (a) or (b) of this Code section, an insurable property shall be certified as constructed in accordance with the applicable Fortified Programs standards adopted by the Insurance Institute for Business and Home Safety as of January 1, 2023, or any other mitigation program standards approved by the Commissioner. An insurable property shall be certified as conforming to the applicable Fortified Programs standards by an Insurance Institute for Business and Home Safety certified evaluator. Zone 3 HUD code manufactured homes installed to specifications and regulations promulgated by the Commissioner shall also be considered for approval.#

An owner of insurable property claiming any adjustment under this Code section shall maintain sufficient certification records and construction records, including, but not limited to, a valid certification from the Insurance Institute for Business and Home Safety for compliance with the applicable Fortified Programs standards or other such records as the Commissioner shall determine by rule.#

Insurers required to submit rates and rating plans to the Commissioner shall submit an actuarially justified rating plan for any person who builds, locates, or retrofits an insurable property to comply with the requirements of subsection (c) of this Code section. An insurer is not required to provide the same amount of adjustment for a building code insurable property as such insurer would to an insurable property compliant with the applicable Fortified Programs standards or other standards provided for by rule. An adjustment shall only apply to policies that provide wind coverage and may apply to that portion of the premium for wind coverage or to the total premium if the insurer does not separate out its premium for wind coverage in its rate filing. The adjustment shall apply exclusively to the premium designated for the new or retrofitted insurable property. In addition to the requirements of this Code section, an insurer may voluntarily offer any other mitigation adjustment that the insurer deems appropriate.#