I'm trying to find supporting documentation regarding flood zone discrepancies. I have read the NFIP manual and know it says the insurance company should issue the policy with the highest rated zone when a discrepancy arises, but does that mean its between a SFHA and an non-SFHA or could that be between zone A vs zone AE? I remember seeing verbiage somewhere that stated a dispute is not required when its between zones A & AE, but I cannot locate it. If you have the answer, can you point me to your supporting documentation?

I appreciate your help!

From the Interagency Q&A:

XIV. Flood Zone Discrepancies
71. What should a lender do when there is a discrepancy between the flood hazard zone designation on the flood determination form and the flood insurance policy?

[Answer:] A lender should only be concerned about a discrepancy on the Standard Flood Hazard Determination Form (the SFHDF) and the one on the flood insurance policy if the discrepancy is between a high-risk zone (A or V) and a low- or moderate-risk zone (B, C, D, or X). In other words, a lender need not be concerned about subcategory differences between flood zones on these two documents.

Thank you very much!