
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC4018]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                  CHAPTER 50--NATIONAL FLOOD INSURANCE
 
           SUBCHAPTER I--THE NATIONAL FLOOD INSURANCE PROGRAM
 
Sec. 4018. Operating costs and allowances; definitions

    (a) The Director shall from time to time negotiate with appropriate 
representatives of the insurance industry for the purpose of 
establishing--
        (1) a current schedule of operating costs applicable both to 
    risk-sharing insurance companies and other insurers and to insurance 
    companies and other insurers, insurance agents and brokers, and 
    insurance adjustment organizations participating on other than a 
    risk-sharing basis, and
        (2) a current schedule of operating allowances applicable to 
    risk-sharing insurance companies and other insurers,

which may be payable in accordance with the provisions of subchapter II 
of this chapter, and such schedules shall from time to time be 
prescribed in regulations.
    (b) For purposes of subsection (a) of this section--
        (1) the term ``operating costs'' shall (without limiting such 
    term) include--
            (A) expense reimbursements covering the direct, actual, and 
        necessary expenses incurred in connection with selling and 
        servicing flood insurance coverage;
            (B) reasonable compensation payable for selling and 
        servicing flood insurance coverage, or commissions or service 
        fees paid to producers;
            (C) loss adjustment expenses; and
            (D) other direct, actual, and necessary expenses which the 
        Director finds are incurred in connection with selling or 
        servicing flood insurance coverage; and

        (2) the term ``operating allowances'' shall (without limiting 
    such term) include amounts for profit and contingencies which the 
    Director finds reasonable and necessary to carry out the purposes of 
    this chapter.

(Pub. L. 90-448, title XIII, Sec. 1311, Aug. 1, 1968, 82 Stat. 579; Pub. 
L. 98-181, title IV, Sec. 451(d)(1), Nov. 30, 1983, 97 Stat. 1229.)


                               Amendments

    1983--Subsecs. (a), (b)(1)(D), (2). Pub. L. 98-181 substituted 
``Director'' for ``Secretary'' wherever appearing.

                  Section Referred to in Other Sections

    This section is referred to in sections 4014, 4017, 4052, 4081 of 
this title.
