If a borrower purchases an optional flood insurance policy (the property is not in a SFHA), and we hold the mortgage on the property, should we be added as a loss payee on the flood policy? What are the pitfalls if we request this? I don't think we'd need to escrow for the flood insurance premiums, but I'm trying to determine the risk if we don't get added to the policy as a loss payee. Thank you for your input.