Federal regulations state that it is mandatory for lenders to require mortgagors to carry flood insurance if the property is located in a Special Flood Hazard Area (zones A, AE, A4,AR,AR/AE, AO, VA, V12, AH, AO as designated by the Federal government).
A determination is used to map the flood zone location of the property.
If an escrow account is established for the hazard insurance premium or any other escrowed item, it must also include collection for the flood insurance premiums.
Customers with questions relating to the flood determination should contact the Federal Emergency Management Agency (FEMA) at: (800) 638-6620
Single Family, Multi-Family and Detached Condos and PUDs
Flood zones are subject to change after the loan closes. FEMA may issue a Letter of Map Amendment (LOMA) or a Letter of Map Revision (LOMR). When this takes place the borrower is notified by letter by both FEMA and the Servicer.
Servicers do not determine the flood zone. All borrowers disputing their flood zones are directed to FEMA.
Borrowers who send in a recent LOMA or LOMR will have their flood zone verified with the servicers Flood Vendor.