We were notified by our flood servicer of several loans now located in a flood zone during the lapse of the flood insurance program. We issued letters promptly of their requirements to purchase insurance. Concerning the 45 day force placement rule, would we count the days that insurance was not able to be purchased due to the lapse?

We are not counting the 18 days that the program was on hiatus in the 45-day deadline calculation.

Why not?

Everything I've read in the guidelines says, "If the borrower fails to obtain flood insurance within 45 days after notification..."

Once you've properly notified them, they have 45 days to obtain coverage...period.

Even if the insurance is unavailable for the entire 45 days, they can still make application, submit premium payments, etc. to show they're acting in good faith and that the insurance would become effective immediately upon availability/reinstatement.

I'd be curious to know others' take on this.