PART 5FR Scheme Administration

Transition to risk reflective pricing of flood insuranceI122

1

The FR Scheme administrator must have regard to the need to manage, over the period of operation of the FR Scheme, the transition to risk-reflective pricing of flood insurance for household premises.

2

The FR Scheme administrator must produce and publish a plan relating to the management of the transition referred to in paragraph (1) (to be known as the transition plan) within 3 months of these Regulations coming into force.

3

The transition plan may contain the following—

a

the steps which may be taken to manage the transition referred to in paragraph (1) over the period of operation of the FR Scheme;

b

general information about the estimated impact of those steps on the amount of the levy payable under regulation 8 and the level of the reinsurance premium thresholds under regulations 15, 16 and 17 over the period of operation of the FR Scheme;

c

such other information relating to the transition plan as the FR Scheme administrator considers it useful to publish.

4

The FR Scheme administrator must update and publish the transition plan at least every 5 years.

5

The FR Scheme administrator must publish the transition plan and any subsequent updated transition plan by placing it on its website.