A recent flood determination yielded the property in zone AE. The Insurance provider underwrote the policy but their documentation showed the same property in zone X. We have been told by two credible sources that this discrepancy must be resolved or will result in a serious violation even though we have a current flood policy. We have exhausted our efforts to resolve with both providers and neither is motivated to help us resolve the issue. Do you have any recommendations?
Is it required that a flood policy be supplied on a property by a WYO approved carrier or can a borrower go to any agent to get coverage?
We have a customer who refuses to purchase flood insurance (Zone A); required notices were sent out, with no action. However, we have now been told by three different insurance companies that they will not force-place flood insurance for banks. What are our options? Is this something that is common in the insurance industry?
We have a customer who has a Catastrophe Policy for their homeowners and flood insurance. Does this comply with FEMA Regulations?
We have a borrower who has used real property as collateral located in a designted flood zone, and we have required flood insurance. Another entity related to this borrower is pledging contents as collateral (he doesn't own the real property). Would FEMA require flood insurance on the contents?
On 1/11/10 David Dickinson answered a question regarding Flood Insurance renewal. Can you provide the citation for the annual forty-five day notice when a force placed policy is due to expire? I understood the forty-five day notice requirement to apply when we initially force placed flood insurance, not at each annual renewal.
Can you please clarify the amount of flood insurance a loan in a flood zone must have? I believe there is a maximum of $250,000. We have been requiring our borrowers retain flood insurance in the amount of the loan, not the appraised value of the home. Is that correct?
We have a loan with collateral located in flood zone A. The collateral includes the principal dwelling, a pump shed, eight grain silos, a dog kennel, a barn, a building previously used as beauty parlor and several other small buildings. If the amount of flood coverage on the home meets or exceeds the loan amount, are we required to have the customer carry flood coverage on the other buildings? Can you give me the publication or legislation and page numbers that would back the yes or no answer?
I have a customer whose property has been deemed to be in the SFHA. The first letter suggested by FEMA to send to him states "...in the event you wish to challenge the zone determination, you must provide written evidence which supports your challenge. This may be obtained from..." What type of documentation is required of him if he wishes to challenge the determination and how long do I give him to act before I need to force place this coverage? I want to give him every chance as long as he is moving forward with a LOMA or other information to take him out of the SFHA. I especially don't want him tagging me along just to avoid the additional insurance.
How do we determine the amount of the flood insurance premium when disclosing the premium on the Good Faith Estimate? When we prepare the GFE we don't have much more than the flood zone designation. Every insurance agent I question asks for the elevation of the property.