Where We Are
We’re pleased to announce that, as a result of a great deal of hard work by the ESIS claims staff, we realized our goal of 90 completed foundation projects by Christmas Day.
We are well on our way to the first milestone of 100 families back in their homes. We hope to make that announcement soon.
Announcing Resumption of Application Activity on January 13
CFSIC will begin taking applications again at 9:00 AM on January 13, 2020. At that time, we will be re-opening the electronic platform to accept applications.
CFSIC will not be open to accept new applications before that time.
The following Q&A should help everyone understand what will happen on January 13.
Question: So if I’m ready to go with an application, are you saying I can’t apply until January 13 or after?
Answer: That’s correct. The electronic application process will not be enabled until January 13; and if you attempt to apply before then by sending us in the mail or as a scan an application that you printed as a pdf, your application will be returned to you.
Question: I’ve been waiting for you to reopen your doors. I have a verified severity class coded 3 foundation, and I want to apply as a Type 1 claimant. I’m going to apply right away on January 13. What will happen to my claim?
Answer: You will become a “Pending Claimant” in our system. That means that we are creating a third category status of claimant effective January 13, 2020. Right now, CFSIC only permits a claimant to be “active” or “inactive.” On January 13, you will be able to file as a third status of claimant…a Pending Claimant. This means that we will register your claim and all the data you send us. We will provide you with a claim number, and we will acknowledge your claim.
Question: Are you saying that, even if I have a completed application and a verified severity class code 3 foundation, you will be unable to make my claim “active”?
Answer: That’s correct. You will not be an active or inactive claimant. You will be a Pending Claimant. You may remain a Pending Claimant for a long time.
Question: That doesn’t seem fair. Why is it happening that way?
Answer: Because, until the June 30, 2022 sunset date gets moved to a later date, we can’t set any more claim reserves on any new claims. If we do that, we run the risk of making promises to claimants on or after January 13 that we can’t fulfill.
Question: So if the sunset gets moved to, say, June 30, 2029…are you saying that you will permit claimants who applied on or after January 13 to become active?
Answer: That’s what we’re saying…based, at all times, on what we think we are getting from the Healthy Homes surcharge, because after June 30, 2022 no other source of revenue has been identified except the $12 per homeowner policy surcharge we will be receiving annually.
Question: But don’t you know for certain that you’re getting approximately $8.5 million in June of 2020 and every year thereafter?
Answer: That’s the estimate…but it’s only an estimate. That could be the number. The number could be higher. The number could be considerably lower. No one can tell us.
Question: So if the sunset date gets moved, and you make my Pending Claim an active claim, and I am a severity class 3, that means I jump ahead of all the existing severity class 2s…right?
Answer: No. As of January 13, 2020, we are not going to permit any severity class 3 claim originally filed as a Pending Claim to jump ahead of an active severity class code 2 already registered with us as an active claim prior to January 13, 2020. We have many active severity class coded 2 claimants who have been in line since January of 2019, and we have determined that we have to issue Participation Agreements for all existing active 3s and 2s in our system before any Pending Claimant can get in line for a Participation Agreement. This is only fair, given how long people have waited and the fact that we are only going to get $40M more in funding over the next two years from the CT Bond Commission.
Question: But I thought severity class coded 3 claimants would always be ahead of everyone else. What has changed?
Answer: CFSIC’s Underwriting and Claims Management Guidelines will change effective January 13, 2020 (and this Q&A is notice of that change) to require that CFSIC issue Participation Agreements to severity coded 3 and 2 claimants who have been in line since the inception of our program before we move any other claimants ahead of them.
Question: How long are you going to keep the application process open from January 13?
Answer: A minimum of 30 days, but we don’t know exactly how long yet.
Question: Why don’t you know?
Answer: There is one reason…CFSIC’s fiscal year budget in the year July 1, 2019 through June 30, 2020 is finite. When claims enter our system, we are charged by our outsourced claims management service company on a per-claim basis, as each claim is entered into the system, is analyzed, and is assessed. We have enough budget for the remainder of the fiscal year for a reasonable number of claims to enter our system…but not for a significant number.
Question: I want to apply as a Type 2 claimant. Will all the same rules apply to me?
Answer: Yes. (With one exception: Type 2 claimants do not require a severity class coding.)
Question: When, after January 13, will you be able to tell us how long the application process will remain open?
Answer: On or before February 13.
The CHFA Credit Enhancements Program
You should go here to learn more about the CHFA credit enhancements program as it is now constituted. Please note that it currently does not apply to condominiums. CFSIC did not create and is not administering the loan program, and the ESIS claim team cannot advise you in any way about the terms and conditions of any aspect of the program. The link noted in this section will take you to an outline of the program, as well as to a section marked “Frequently Asked Questions.” We also recommend contacting the Homeowner Advocate using the contact information on the Department of Housing website for more assistance.
CFSIC’s Annual Report
CFSIC’s 2019 Audited Financial
If you have any questions about the operation of the program, ESIS is your best source of information on your claim, and their phone number and email are shown below.
As you work through the information and application process (understanding that we are in suspension for the taking of new applications), here’s how you can get help:
– Call ESIS (the claim adjuster) at: 844-763-1207
– Email ESIS at: firstname.lastname@example.org
– Email CFSIC at: email@example.com