Fortified new property insurance discount / rate reduction

How it works

Minnesota Statutes section 65A.298 requires an insurer to provide a premium discount or insurance rate reduction to an owner who builds or locates a new insurable property in Minnesota that meets Fortified program standards including a hail supplement, as administered by the Insurance Institute for Business and Home Safety (IBHS).

The statute also allows participating insurers to offer more generous mitigation adjustments beyond the required discount.

What the money covers

This is an insurance pricing benefit, not a direct cash grant. The law requires the discount to apply to qualifying new construction that has the required IBHS certification.

Amounts and matching

The statute does not set a single statewide dollar amount. It requires insurers to file rate manuals showing the premium discounts or rate reductions. Minnesota Commerce bulletin language indicates the wind/hail portion discount thresholds for certain Fortified levels, but the statute itself is the governing source for the legal requirement.

How to apply

To claim the discount or rate reduction, the owner must submit and maintain a certificate issued by IBHS showing proof of compliance with the Fortified program standards to the insurer before receiving the discount.

Timing and deadlines

The legal requirement applies to qualifying new insurable property in Minnesota. The statute does not specify an application deadline.