In Maryland, to sell flood insurance, a property and casualty insurer must participate in which program?

• A. WYO
• B. NAIC
• C. Mutual Aid
• D. Federal Reinsurance

Answer: (A)

The concept here is how flood insurance is sold in Maryland. Flood coverage is provided through the National Flood Insurance Program (NFIP), and private property and casualty insurers can issue NFIP flood policies by participating in the Write-Your-Own program. In this arrangement, the insurer acts on behalf of the federal government to market, rate, and service policies, while the NFIP backs the risk and handles claims.

That’s why the correct choice is the program that private insurers join to sell NFIP flood policies. The other options don’t fit: the NAIC is a regulatory association, not a flood-insurance selling program; Mutual Aid is not a formal flood-insurance program; Federal Reinsurance isn’t the mechanism private insurers use to sell NFIP policies.