CT HB05317

Defines "mortgage loan" for flood insurance notice requirements as a loan secured by a first mortgage on one-to-four-family residential property in Connecticut, made to finance the property's purchase

Requires creditors to provide written notice to mortgage applicants at least 10 days before closing that standard homeowners insurance does not cover flood damage

Notice must inform applicants that flood damage can occur regardless of whether the property is in a designated flood zone and recommend consulting a licensed insurance producer about flood insurance

Applicants must sign and date the notice to acknowledge receipt, and creditors must maintain a copy with the mortgage loan records

Effective date: July 1, 2026