[Edited to reflect the correct change date] I located the below in the VA Lenders Handbook, Chapter 12, Minimum Property Requirement:
8. Special Flood Hazard Area
Change Date October 18, 2019
This chapter has been revised in its entirety.
f. Private Flood Insurance
Veterans may elect to obtain private flood insurance instead of obtaining flood insurance through the National Flood Insurance Program.
Link here:
https://www.benefits.va.gov/WARMS/docs/admin26/m26-07/Ch12_Minimum_Property_Requirement_NEW.pdf