Flood Insurance - FEMA - Elevation Certificates

Five Things You Need to Know About FEMA Flood Zones and the Biggert-Waters Flood Insurance Reform Act of 2012 (BW-12)

By Scott D. McLain, Professional Surveyor 57817

1.) Banks and Lenders are Requiring Flood Insurance:

BW-12 will make The National Flood Insurance Program (NFIP) self-funding.
The penalty to lenders not following the rules has increased.
The purchase of any home will be reviewed for flood insurance needs.
Existing home owners may receive a letter from their lender that they have 45 days to obtain flood insurance or it will be forced on them through the lender.

2.) All Waterfront Properties are in a Flood Zone:

Yes, but that does not mean that your home is.
This is the good news. In my 25 years of filling out Elevation Certificates, only 10% of the structures where below the Base Flood Elevation (BFE).
Most lenders use an outstate company that looks at a Flood Insurance Rate Map (FIRM) to determine if you are in a flood zone.
They DONOT visit your property and have no way of knowing if your home is built in a low area or on a bluff 5 feet above the water.
If your house is above the BFE, you may still want or need flood insurance as part of your homeowner’s policy.

3.) eLOMA or LOMA could be the Answer:

A Letter Of Map Amendment (LOMA) will remove your home from the NFIP and the FEMA flood insurance requirements.
As a Professional Surveyor, in most cases, I can file online with FEMA to have the FIRM amended.
When I make a visit to the home to collect elevation information, I also need access inside and to any crawl spaces. FEMA needs the elevation of the lowest floor and any mechanical equipment, such as a furnace or water heater.
Most eLOMA’s can be completed in one week.

4.) Elevation Certificate:

If your home does not qualify for an eLOMA or if your home is in a Special Flood Hazard Area, then I will complete an Elevation Certificate.
This will be used by the insurance company to set your rate.
Without an Elevation Certificate, you could be charged at the highest rate.

5.) New Construction:

If you are thinking of building, you need an Elevation Certificate.
You also need an elevation benchmark set on the site.
You do not want to find out after your dream home is finished that it is in a special flood zone area
Michigan State Building Codes require that you be 1 foot above the Base Flood Elevation.

Call me any time: 231-325-2655