diff --git a/Gemfile.lock b/Gemfile.lock
index f5eebe2..84a1853 100644
--- a/Gemfile.lock
+++ b/Gemfile.lock
@@ -1,7 +1,7 @@
 PATH
   remote: .
   specs:
-    flagsmith (3.0.0)
+    flagsmith (3.0.1)
       faraday
       faraday-retry
       faraday_middleware
@@ -29,8 +29,8 @@ GEM
     faraday-em_synchrony (1.0.0)
     faraday-excon (1.1.0)
     faraday-httpclient (1.0.1)
-    faraday-multipart (1.0.3)
-      multipart-post (>= 1.2, < 3)
+    faraday-multipart (1.0.4)
+      multipart-post (~> 2)
     faraday-net_http (1.0.1)
     faraday-net_http_persistent (1.2.0)
     faraday-patron (1.0.0)
@@ -40,7 +40,7 @@ GEM
       faraday (~> 1.0)
     gem-release (2.2.0)
     method_source (1.0.0)
-    multipart-post (2.1.1)
+    multipart-post (2.2.0)
     parallel (1.20.1)
     parser (3.0.0.0)
       ast (~> 2.4.1)
diff --git a/example/config/initializers/flagsmith.rb b/example/config/initializers/flagsmith.rb
index caeee22..935db43 100644
--- a/example/config/initializers/flagsmith.rb
+++ b/example/config/initializers/flagsmith.rb
@@ -2,8 +2,6 @@
   enable_local_evaluation: true,
   environment_refresh_interval_seconds: 60,
   default_flag_handler: lambda { |feature_name|
-    Flagsmith::Flag.new(
-      feature_name: feature_name, enabled: false, value: {}.to_json, feature_id: nil
-    )
+    Flagsmith::Flags::DefaultFlag.new(enabled: false, value: {}.to_json)
   }
 )
diff --git a/lib/flagsmith.rb b/lib/flagsmith.rb
index c4e1316..4375e56 100644
--- a/lib/flagsmith.rb
+++ b/lib/flagsmith.rb
@@ -14,8 +14,7 @@
 require 'flagsmith/sdk/errors'
 require 'flagsmith/sdk/intervals'
 require 'flagsmith/sdk/pooling_manager'
-require 'flagsmith/sdk/models/flag'
-require 'flagsmith/sdk/models/flags/collection'
+require 'flagsmith/sdk/models/flags'
 require 'flagsmith/sdk/instance_methods'
 
 require 'flagsmith/engine/core'
diff --git a/lib/flagsmith/sdk/models/flag.rb b/lib/flagsmith/sdk/models/flag.rb
deleted file mode 100644
index d221a15..0000000
--- a/lib/flagsmith/sdk/models/flag.rb
+++ /dev/null
@@ -1,62 +0,0 @@
-# frozen_string_literal: true
-
-module Flagsmith
-  # Flag object
-  class Flag
-    include Comparable
-
-    attr_reader :enabled, :value, :default, :feature_name, :feature_id
-
-    def initialize(feature_name:, enabled:, value:, feature_id:, default: false)
-      @feature_name = feature_name
-      @feature_id = feature_id
-      @enabled = enabled
-      @value = value
-      @default = default
-    end
-
-    def enabled?
-      @enabled
-    end
-
-    alias is_default default
-
-    def <=>(other)
-      feature_name <=> other.feature_name
-    end
-
-    def [](key)
-      to_h[key]
-    end
-
-    def to_h
-      {
-        feature_id: feature_id,
-        feature_name: feature_name,
-        value: value,
-        enabled: enabled,
-        default: default
-      }
-    end
-
-    class << self
-      def from_feature_state_model(feature_state_model, identity_id)
-        new(
-          enabled: feature_state_model.enabled,
-          value: feature_state_model.get_value(identity_id),
-          feature_name: feature_state_model.feature.name,
-          feature_id: feature_state_model.feature.id
-        )
-      end
-
-      def from_api(json_flag_data)
-        new(
-          enabled: json_flag_data[:enabled],
-          value: json_flag_data[:feature_state_value] || json_flag_data[:value],
-          feature_name: json_flag_data.dig(:feature, :name),
-          feature_id: json_flag_data.dig(:feature, :id)
-        )
-      end
-    end
-  end
-end
diff --git a/lib/flagsmith/sdk/models/flags/collection.rb b/lib/flagsmith/sdk/models/flags.rb
similarity index 61%
rename from lib/flagsmith/sdk/models/flags/collection.rb
rename to lib/flagsmith/sdk/models/flags.rb
index 8dad5d1..8cfb10e 100644
--- a/lib/flagsmith/sdk/models/flags/collection.rb
+++ b/lib/flagsmith/sdk/models/flags.rb
@@ -4,7 +4,79 @@ module Flagsmith
   module Flags
     class NotFound < StandardError; end
 
-    # Flag Collection
+    class BaseFlag
+      include Comparable
+
+      attr_reader :enabled, :value, :default
+      
+      def initialize(enabled:, value:, default:)
+        @enabled = enabled
+        @value = value
+        @default = default
+      end
+  
+      def enabled?
+        enabled
+      end
+      
+      alias is_default default
+    end
+
+    class DefaultFlag < BaseFlag
+      def initialize(enabled:, value:)
+        super(enabled: enabled, value: value, default: true)
+      end
+    end
+
+    class Flag < BaseFlag
+
+      attr_reader :feature_name, :feature_id
+
+      def initialize(feature_name:, enabled:, value:, feature_id:)
+        super(enabled: enabled, value: value, default: false)
+        @feature_name = feature_name
+        @feature_id = feature_id
+      end
+
+      def <=>(other)
+        feature_name <=> other.feature_name
+      end
+
+      def [](key)
+        to_h[key]
+      end
+
+      def to_h
+        {
+          feature_id: feature_id,
+          feature_name: feature_name,
+          value: value,
+          enabled: enabled,
+          default: default
+        }
+      end
+
+      class << self
+        def from_feature_state_model(feature_state_model, identity_id)
+          new(
+            enabled: feature_state_model.enabled,
+            value: feature_state_model.get_value(identity_id),
+            feature_name: feature_state_model.feature.name,
+            feature_id: feature_state_model.feature.id
+          )
+        end
+
+        def from_api(json_flag_data)
+          new(
+            enabled: json_flag_data[:enabled],
+            value: json_flag_data[:feature_state_value] || json_flag_data[:value],
+            feature_name: json_flag_data.dig(:feature, :name),
+            feature_id: json_flag_data.dig(:feature, :id)
+          )
+        end
+      end
+    end
+
     class Collection
       include Enumerable
 
@@ -75,7 +147,7 @@ class << self
         def from_api(json_data, **args)
           to_flag_object = lambda { |json_flag, acc|
             acc[normalize_key(json_flag.dig(:feature, :name))] =
-              Flagsmith::Flag.from_api(json_flag)
+              Flagsmith::Flags::Flag.from_api(json_flag)
           }
 
           new(
@@ -87,7 +159,7 @@ def from_api(json_data, **args)
         def from_feature_state_models(feature_states, identity_id: nil, **args)
           to_flag_object = lambda { |feature_state, acc|
             acc[normalize_key(feature_state.feature.name)] =
-              Flagsmith::Flag.from_feature_state_model(feature_state, identity_id)
+            Flagsmith::Flags::Flag.from_feature_state_model(feature_state, identity_id)
           }
 
           new(
diff --git a/lib/flagsmith/version.rb b/lib/flagsmith/version.rb
index c1236f5..793c2d4 100644
--- a/lib/flagsmith/version.rb
+++ b/lib/flagsmith/version.rb
@@ -1,5 +1,5 @@
 # frozen_string_literal: true
 
 module Flagsmith
-  VERSION = '3.0.0'
+  VERSION = '3.0.1'
 end
diff --git a/spec/engine-test-data b/spec/engine-test-data
index 933f2ba..81e3037 160000
--- a/spec/engine-test-data
+++ b/spec/engine-test-data
@@ -1 +1 @@
-Subproject commit 933f2ba7aa6430797afc2d053530cfd005b461f6
+Subproject commit 81e3037fbd3fcf6debcede424706fdbeb1b0c0a6