Frequently Asked Questions

Insurance Professionals and Lenders

What = does=20 community participation in the National Flood Insurance Program (NFIP) = mean,=20 and how does that affect a homeowner?=20
What = does=20 a property owner need to do for FEMA to remove the flood insurance=20 requirement?=20
What=20 elevation is used when rating a structure for a flood insurance = policy?=20
How do I = determine if a community is participating in the National Flood = Insurance=20 Program (NFIP)?=20
What can = be done when a lender and insurer have differing flood zone=20 determinations?=20
What is = a=20 "100-year flood" and how is it different from a = "1-percent-annual-chance=20 flood" or a "base flood"?=20
What is=20 the Coastal Barrier Resources System and how does it affect flood=20 insurance?=20
What are = the different flood hazard zone designations shown on a Flood = Insurance Rate=20 Map (FRIM), and what do they mean?=20
How is = an=20 Elevation Certificate used?=20
Where=20 can I view specific information about flood insurance?

1. What does community participation in = the National=20 Flood Insurance Program (NFIP) mean, and how does that affect a = homeowner?

Communities (i.e., local governments) decide to participate in the NFIP.=20 Specifically, communities that agree to manage flood hazard areas by = adopting=20 minimum regulatory standards may participate in the NFIP. These = standards are=20 listed in Section 60.3 of the NFIP regulations. Section 60.3 and other = portions=20 of the NFIP regulations may be accessed through the Guidance = Documents and=20 Other Published Resources page on the FEMA Website.

If a community chooses not to participate in the NFIP, property = owners in=20 that jurisdiction are not able to purchase federally backed flood = insurance. In=20 addition, Federal grants, loans, disaster assistance, and Federal = mortgage=20 insurance are unavailable for the acquisition or construction of = structures in=20 the floodplain shown on the NFIP maps.

If a community chooses not to participate in the NFIP, property = owners are=20 not subject to the Federal flood insurance purchase requirements. = However, a=20 lender is still required to inspect the effective NFIP flood maps to = determine=20 and provide notice of flood hazards and risks. A lender may require a = borrower=20 to obtain flood insurance even in the absence of a Federal = requirement.

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2. What does a property owner need to do = for FEMA to=20 remove the flood insurance requirement?

In some cases, a lender determines that a property is in a Special = Flood=20 Hazard Area (SFHA) shown on a Flood Insurance Rate Map (FIRM) but the = property=20 owner disagrees with that determination. The SFHA is also known as the = 100-year=20 floodplain. It is more precisely defined as the floodplain associated = with a=20 flood that has a 1-percent-annual chance of being equaled or exceeded in = any=20 given year. Therefore the SFHA is not a flood event that happens once in = a=20 hundred years, rather a flood event that has a one percent chance of = occurring=20 every year. Property owners in this situation have a couple of options.=20 Depending on the specific circumstances, you may apply for a Letter of=20 Determination Review (LODR), a Letter of Map Amendment (LOMA), or a = Letter of=20 Map Revision Based on Fill (LOMR-F).

The application forms for LOMAs and LOMR-Fs can be found on the FEMA = Forms = Webpage and=20 provide comprehensive, step-by-step instructions for requesters to = follow,=20 ensuring that your submittal is complete and logically structured. Use = of these=20 forms allows FEMA to complete its review quicker and at lower cost to = the National = Flood=20 Insurance Program. While completing the forms may seem burdensome, = the=20 advantages to you outweigh any inconvenience. The following paragraphs = describe=20 first the LOMA or LOMR-F process, followed by the LODR process.

Upon receiving a completed MT-EZ = (for LOMAs)=20 or MT-1 (for = LOMR-Fs) application, FEMA reviews property-specific information = (including=20 surveyed elevation data, typically the elevation of the lowest adjacent = grade of=20 the structure in question, provided by a Licensed Land Surveyor Note: = the=20 homeowner may be required to hire a land surveyor to perform this = elevation=20 survey, if this data is not readily available), and makes a final flood = zone=20 determination for the property. Once an application and all necessary = data are=20 received, the determination is normally issued within 30 - 60 days. If = the LOMA=20 or LOMR-F removes the SFHA designation from the property, it can then be = presented to the lender as proof that there is no Federal flood = insurance=20 requirement for the property. However, even though a LOMA or LOMR-F may = waive=20 the Federal requirement for flood insurance, a lender retains the = prerogative to=20 require flood insurance. No fee is charged for the review of a LOMA; = however,=20 there is a review fee for a LOMR-F. Check the flood = map-related=20 fees on the Flood Hazard Mapping Website.

Within 45 days following the date your lender notified you that your = property=20 is in the SFHA shown on the FIRM for your community, you and your lender = may=20 jointly request that FEMA review your lender's determination; FEMA's = response to=20 such requests is a LODR. In response to such requests, FEMA reviews the = same=20 information your lender used to determine that your structure was = located in an=20 SFHA. Unlike with a LOMA or LOMR-F, the elevation of the structure or = property=20 relative to the elevation of the 1-percent-annual-chance flood is not = considered=20 for a LODR. Just like your lender, FEMA only considers the location of = the=20 structure relative to the SFHA boundary shown on the FIRM. FEMA reviews = this=20 information and issues its finding of whether the structure is located = in the=20 SFHA according to the currently effective FIRM. While this determination = cannot=20 consider the elevation of your structure or property, it can be useful = if you=20 feel the lender's interpretation of the FIRM is incorrect.

There are obviously some important distinctions between the processes = (LODR,=20 LOMA, and LOMR-F).

The determinations are based on different data. =

The LODR process does not consider the elevation of the = structure=20 or property. Rather, it considers only the horizontal location of the=20 structure relative to the SFHA shown on the FIRM. For the LOMA and = LOMR-F=20 processes, actual survey elevation data are required to determine if = the=20 property or structure is at or above the 1-percent-annual-chance flood = elevation.

There are different review and processing fees = involved.=20

Process Fee

LOMA FREE

LODR $ 80

LOMR-F $425

Process	Fee
LOMA	FREE
LODR	$ 80
LOMR-F	$425

The determinations result in different actions. =

A LODR does not result in an amendment or revision to the = FIRM. It=20 only presents the FEMA finding regarding the structure's location with = respect=20 to a delineated SFHA.

An approved LOMA or LOMR-F actually removes the SFHA = designation=20 from the structure or lot by letter.

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3. What elevation is used when rating a = structure for=20 a flood insurance policy?

The difference between the elevation of the lowest floor (including = the=20 basement) of a structure and the elevation of the = 1-percent-annual-chance flood=20 is used to determine the insurance rating.

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4. How do I determine if a community is = participating=20 in the National Flood Insurance Program (NFIP)?

To determine the participation status of a particular community, you = can=20 check with the floodplain administrator in that community or you can = look up the=20 community in the Community = Status=20 Book (CSB). The CSB is a report that lists all communities = participating in=20 the NFIP. = The=20 CSB includes status of communities, nonparticipating communities with = maps,=20 effective dates of the current map index, and Community Identification=20 Numbers.

Community participation in the NFIP is voluntary. Communities that = join the=20 NFIP agree to manage flood hazard areas by adopting the minimum = regulatory=20 standards of the NFIP. These standards are listed in Section 60.3 of the = NFIP=20 regulations, which may be accessed through the Guidance = Documents and=20 Other Published Resources page on the FEMA Website.

If a community chooses not to participate in the NFIP, property = owners in=20 that jurisdiction are unable to purchase Federal flood insurance. In = addition,=20 Federal grants, loans, disaster assistance, and Federal mortgage = insurance are=20 unavailable for the acquisition or construction of structures located in = the=20 floodplain as shown on the NFIP maps.

Similarly, if a community chooses not to participate in the NFIP, = property=20 owners are not subject to the Federal flood insurance purchase = requirements.=20 However, a lender is still required to inspect any flood maps to = determine flood=20 hazard risk and provide notice of such risk. A lender may require a = borrower to=20 obtain flood insurance even in the absence of a Federal purchase=20 requirement.

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5. What can be done when a lender and = insurer have=20 differing flood zone determinations?

In some cases, a lender determines that a property is in the Special = Flood=20 Hazard Area (SFHA), but the insurer provides a conflicting = determination. It is=20 important for the flood zone designation to be accurate in the event of = a flood=20 claim and for the purpose of compliance exams conducted by the = particular=20 Federal regulatory entity. A regulatory entity may deem the "two flood = zone=20 designations" as a violation of the Act. Therefore, FEMA recommends that = the two=20 parties talk and discuss the information used by each (perhaps one = company is=20 privy to information that the other is not) in an attempt to reach an = agreement=20 on the flood zone designation. If the companies are not able to reach an = agreement, then the property owner may wish to request that FEMA make a = final=20 determination through the Letter of Determination Review (LODR).

If you are a property owner, within the 45 days following the date = your=20 lender notified you that your property is in the SFHA shown on the FIRM = for your=20 community, you and your lender may jointly request that FEMA review your = lender's determination; FEMA's response to such requests is a LODR. In = response=20 to such requests, FEMA reviews the same information your lender used to=20 determine that your structure was located in an SFHA. Unlike with a = Letter of=20 Map Amendment or Letter of Map Revision Based on Fill, the elevation of = the=20 structure or property relative to the elevation of the = 1-percent-annual-chance=20 flood is not considered for a LODR. Just like your lender, FEMA only = considers=20 the location of the structure relative to the SFHA boundary shown on the = FIRM.=20 FEMA reviews this information and issues its finding of whether the = structure is=20 located in the SFHA according to the currently effective FIRM. While = this=20 determination cannot consider the elevation of your structure or = property, it=20 can be useful if you feel the lender's interpretation of the FIRM is=20 incorrect.

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6. What is a "100-year flood" and how is = it different=20 from a "1-percent-annual-chance flood" or a "base flood?"

The term "100-year flood" is misleading. It is not the flood that = will occur=20 once every 100 years. Rather, it is the flood that has a 1-percent = chance of=20 being equaled or exceeded each year. Thus, the 100-year flood could = occur more=20 than once in a relatively short period of time or even within the same = month.=20 Because this term is misleading, FEMA has also defined it as the=20 "1-percent-annual-chance flood." The "1-percent-annual-chance flood" is = the term=20 that is now used by most Federal and State agencies and by the National = Flood=20 Insurance Program.

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7. What is the Coastal Barrier Resources = System and=20 how does it affect flood insurance?

The U.S. Congress passed the Coastal Barrier Resources Act (CBRA) in = 1982 and=20 the Coastal Barrier Improvement Act (CBIA) in 1990, to define and = establish a=20 system of protected coastal areas (including the Great Lakes) known as = the=20 Coastal Barrier Resources System (CBRS). Coastal barriers are unique = landforms=20 that serve as a protective barrier against the forces of wind and tidal = actions=20 caused by coastal storms. In addition, coastal barriers provide a = protective=20 habitat for a variety of aquatic species.

The CBRA was initially enacted to reduce or restrict Federal actions = that=20 were believed to encourage development in certain undeveloped coastal = barrier=20 areas, including both islands and mainland property. While the CBRA and = CBIA do=20 not prevent private financing and development within the CBRS, they do = limit=20 financial assistance by Federal agencies. Any expenditure of Federal = funds for a=20 loan, grant, guarantee, insurance payment, rebate, subsidy, or any other = form of=20 direct or indirect Federal assistance within the CBRS is prohibited, = with=20 specific and limited exceptions.

The CBIA also established CBRS units designated as "Otherwise = Protected=20 Areas," or OPAs. OPAs are undeveloped coastal barriers within the = boundaries of=20 an area established under Federal, State, or local law, or held by a = qualified=20 organization, primarily for wildlife refuge, sanctuary, recreational, or = natural=20 resource conservation purposes. Within OPAs, only the issuance of new = Federal=20 flood insurance is prohibited. Federal flood insurance may be obtained = for a=20 structure in the OPA if written documentation certifies that the = structure is=20 used in a manner consistent with the purpose for which the area is=20 protected.

Areas to be added to the CBRS are identified by the U.S. Department = of the=20 Interior's Fish and Wildlife Service and recommended to the U.S. = Congress.=20 Federal assistance prohibitions apply to the new areas on the date that = the U.S.=20 Congress approves additions to the CBRS. In cooperation with the Fish = and=20 Wildlife Service, FEMA transfers the CBRS boundaries to Flood Insurance = Rate=20 Maps (FIRMs) using congressionally adopted source maps titled "CBRS." = FIRMs=20 clearly depict the different CBRS areas and their effective dates with = special=20 map notes and symbols. Although FEMA shows CBRS areas on FIRMs, the U.S. = Congress is the only entity that may authorize or initiate a revision to = CBRS=20 boundaries.

Federal flood insurance is unavailable for new construction or = substantial=20 improvement to existing structures in CBRS areas that occurs on or after = the=20 CBRS area's effective date. Federal flood insurance is available if the = building=20 was constructed (or permitted and under construction) before the CBRS = area's=20 effective date. If an existing insured structure is substantially = improved or=20 damaged, any Federal flood insurance policy will be canceled. If a = Federal flood=20 insurance policy is issued in error, it will be cancelled and the = premium=20 refunded; no claim can be paid, even if the error is not found until a = claim is=20 made.

For more information about CBRS, visit U.S.= Fish and=20 Wildlife Service.

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8. What are the different flood hazard = zone=20 designations shown on a Flood Insurance Rate Map (FRIM), and what do = they=20 mean?

The zone designations shown on the FIRMs are defined below.

Zone A
Zone A is the flood insurance rate zone = used for=20 1-percent-annual-chance (base flood) floodplains that are determined for = the=20 Flood Insurance Study (FIS) by approximate methods of analysis. Because = detailed=20 hydraulic analyses are not performed for such areas, no Base Flood = Elevations=20 (BFEs) or depths are shown in this zone. Mandatory flood insurance = purchase=20 requirements apply.

Zone AE and A1-A30
Zones AE and A1-A30 are the = flood=20 insurance rate zones used for the 1-percent-annual-chance floodplains = that are=20 determined for the FIS by detailed methods of analysis. In most = instances, BFEs=20 derived from the detailed hydraulic analyses are shown at selected = intervals in=20 this zone. Mandatory flood insurance purchase requirements apply. AE = zones are=20 areas of inundation by the 1-percent-annual-chance flood, including = areas with=20 the 2-percent wave runup, elevation less than 3.0 feet above the ground, = and=20 areas with wave heights less than 3.0 feet. These areas are subdivided = into=20 elevation zones with BFEs assigned. The AE zone will generally extend = inland to=20 the limit of the 1-percent-annual-chance Stillwater Flood Level = (SWEL).

Zone AH
Zone AH is the flood insurance rate zone = used for=20 areas of 1-percent-annual-chance shallow flooding with a constant = water-surface=20 elevation (usually areas of ponding) where average depths are between 1 = and 3=20 feet. BFEs derived from detailed hydraulic analyses are shown at = selected=20 intervals within this zone. Mandatory flood insurance purchase = requirements=20 apply.

Zone AO
AO zones are areas of sheet-flow shallow = flooding=20 where the potential runup is less than 3.0 feet above an overtopped = barrier=20 crest (=CE=94R<3.0 feet). The sheet flow in these areas will either = flow into=20 another flooding source (AE zone), result in ponding (AH zone), or = deteriorate=20 because of ground friction and energy losses and merge into the X zone. = AO areas=20 are designated with 1-, 2-, or 3-foot depths of flooding.

Zone AR
Zone AR is the flood insurance rate zone = used for=20 areas protected by flood-control structures, such as levees, that are = being=20 restored. FEMA will consider using the Zone AR designation if the = flood=20 protection system has been deemed restorable by a Federal agency in = consultation=20 with a local project sponsor; a minimum level of flood protection is = still=20 provided to the community by the system; and restoration of the flood = protection=20 system is scheduled to begin within a designated time period and in = accordance=20 with a progress plan negotiated between the community and FEMA. = Mandatory=20 purchase requirements for flood insurance apply in Zone AR, but the rate = will=20 not exceed that of an unnumbered Zone A, if the structure is built in = compliance=20 with Zone AR floodplain management regulations.

For floodplain management in Zone AR areas, the property owner is not = required to elevate existing structures when making improvements. = However, new=20 structures must be elevated (or floodproofed for nonresidential = structures) so=20 that the lowest floor, including the basement, is at least 3 feet above = the=20 highest adjacent existing grade, if the BFE does not exceed 5 feet at = the=20 proposed development site. For infill sites, rehabilitation of existing=20 structures, or redevelopment of previously developed areas, there is a = 3-foot=20 elevation requirement regardless of the depth of the BFE at the project=20 site.

The Zone AR designation will be removed and the restored = flood-control system=20 will be shown as providing protection from the base flood on the National = Flood=20 Insurance Program (NFIP) map when the restoration project is = complete and=20 all the necessary data have been submitted to FEMA.

Zone A99
Zone A99 is the flood insurance rate = zone used=20 for areas within the 1-percent-annual-chance floodplain that will be = protected=20 by a Federal flood-protection system, where construction has reached = specified=20 statutory milestones. No BFEs or depths are shown in this zone. = Mandatory flood=20 insurance purchase requirements apply.

Zone D
The Zone D designation is used for areas = where=20 there are possible but undetermined flood hazards. In areas designated = as Zone=20 D, no analysis of flood hazards has been conducted. Flood insurance is = optional=20 and available, and the flood insurance rates for properties in Zone D = are=20 commensurate with the uncertainty of the flood risk.

Zone V and V1 - 30
Zone V and V1 - 30 designation = is for=20 coastal areas with a 1-percent or greater chance of flooding and an = additional=20 velocity hazard associated with storm waves (wave action). Because = detailed=20 hydraulic analyses are not performed for such areas, no BFEs or depths = are shown=20 in this zone. Mandatory flood insurance purchase requirements apply.

Zone VE
VE zones are coastal high hazard areas = where wave=20 action and/or high-velocity water can cause structural damage during the = base=20 flood. They are subdivided into elevation zones with BFEs assigned. VE = zones are=20 identified using one or more of the following criteria for the base = flood=20 conditions:

The wave runup zone occurs where the (eroded) = ground=20 profile is 3.0 feet or more below the 2-percent wave runup elevation=20
The wave overtopping splash zone is the area = landward of=20 the crest of an overtopped barrier, in cases where the potential = 2-percent=20 wave runup exceeds the barrier crest elevation by 3.0 feet or=20 more(=CE=94R>3.0 feet). (See Subsection D.2.8.2.)=20
The breaking wave height zone occurs where 3-foot = or=20 greater wave heights could occur (this is the area where the wave = crest=20 profile is 2.1 feet or more above the total stillwater level).=20
The primary frontal dune zone, as defined in 44 = CFR=20 Section 59.1 of the NFIP regulations.=20
For the Pacific Coast only:
The high-velocity flow zone is landward of the=20 overtopping splash zone (or area on a sloping beach or other shore = type),=20 where the product of depth of flow times the flood velocity squared=20 (hv²) is greater than or equal to 200=20 ft³/sec².

Zone B and X (shaded)
Zones B and X (shaded) are = areas of=20 0.2-percent-annual-chance floodplain, areas of 1-percent-annual-chance = (base=20 flood) sheet flow flooding with average depths of less than 1 foot, = areas of=20 base flood stream flooding with a contributing drainage area of less = than 1=20 square mile, or areas protected from the base flood by levees. No BFEs = or depths=20 are shown in this zone, and insurance purchase is not required

Zones C and X (unshaded)
Zones C and X (unshaded) = are=20 flood insurance rate zones used for areas outside the = 0.2-percent-annual-chance=20 floodplain. No BFEs or depths are shown in this zone, and insurance = purchase is=20 not required.

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9. How is an Elevation Certificate = used?

A community's permit file must have an official record that shows new = buildings and substantial improvements in all identified Special Flood = Hazard=20 Areas (SFHAs) are properly elevated. This elevation information is = needed to=20 show compliance with the community's floodplain management ordinance. = FEMA=20 encourages communities to use the FEMA Elevation = Certificate=20 to fulfill this requirement because it also can be used by the property = owner to=20 obtain flood insurance. Communities participating in the Community Rating = System=20 are required to use the Elevation Certificate.

Buildings constructed on or before December 31, 1974 or before the = effective=20 date of the initial Flood Insurance Rate Map (FIRM) for a community, = whichever=20 is later, are considered Pre-FIRM and an elevation certification is not = required=20 for flood insurance. The reasoning behind this is that a dwelling should = not be=20 held to an elevation standard that had not yet been established when it = was=20 constructed. However, if the Pre-FIRM building is at or above the Base = Flood=20 Elevation (BFE) established after its construction, then it can qualify = for=20 Post-FIRM rating. Pre-FIRM rates are fixed by zone (as well, as if a=20 basement/enclosed area under elevated floor) and assume the lowest floor = of the=20 building may not be at or above the expected level of flooding.

Post-FIRM buildings (i.e., buildings constructed on or after the date = of the=20 first effective FIRM in effect for the community) must be rated using an = Elevation Certificate for most Special Flood Hazard Areas (SFHAs), the = area=20 subject to inundation by the base (1-percent-annual-chance) flood). If = the=20 lowest floor of a building constructed Post-FIRM is at/above the BFE, = then=20 appropriate rates are applied. These rates are often lower, in general, = than the=20 Pre-FIRM rates because the risk is known and the rating can be based on=20 actuarial flood data.

For a Pre-FIRM building, the property owner may acquire an Elevation=20 Certificate. If the Elevation Certificate indicates that the lowest = floor of the=20 building is above the BFE, then it is possible that the insurance = premium can be=20 reduced, based on the Elevation Certificate.

If an Elevation Certificate has been prepared for a property, you may = be able=20 to obtain it from a previous or current property owner, the developer, = or the=20 local community. Communities often require Elevation Certificates for = properties=20 as part of the permitting process. You can contact the local floodplain=20 administrator or the planning and zoning office to see if an Elevation=20 Certificate exists.

The Elevation Certificate also is often used to support an = application for a=20 Letter of = Map=20 Amendment or a Letter of Map Revision Based on Fill.

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10. Where can I view specific = information about=20 flood insurance?

Flood insurance information and documentation for both lenders and = insurers,=20 including Frequently Asked Questions, are available in the National Flood = Insurance=20 Program section of the FEMA Website. Additional information for = insurance=20 agents and lenders also is available on the FloodSmart.= gov=20 Website.

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Last Modified: Thursday, 24-Jul-2008 09:05:19 = EDT

FEMA 500 C Street SW, Washington, D.C. 20472
Disaster Assistance: = (800)=20 621-FEMA, TTY (800)=20 462-7585