Borrow did not pay renewal premium within the allotted 30 day grace period. Premium has been paid and a new flood insurance policy was issued but will not be in effect for 30 days.Is this correct even though it is in regards to a loan?

If not we will have to force place flood insurance until the new effective date.

The 30 day wait period is only waived for a loan event (such as originating the loan). You will need force place until the new policy goes into effect.

If you would have force placed during the first 30 days, you wouldn't have encountered this problem. Something to consider going forward.