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Increased Cost of Compliance (ICC) coverage provides a claim payment for the cost to comply with State or community floodplain management laws or ordinances after a direct loss by a flood. When a building insured by a Standard Flood Insurance Policy (SFIP) under the National Flood Insurance Program (NFIP) sustains a flood loss and the community declares the building to be substantially or repetitively damaged, ICC coverage helps pay up to $30,000 for the cost to elevate, floodproof (nonresidential only), demolish, or relocate the building.
ICC coverage is available on residential and non-residential buildings (this category includes public or government buildings, such as schools, libraries, and municipal buildings) insured under the NFIP’s flood insurance policy.
This document presents answers to frequently asked questions about ICC. The table below presents commonly used acronyms related to ICC as a ready reference for the reader.