Frequently Asked Questions (FAQ's)

If my mortgage company and insurance agent say my home or building is in a Special Flood Hazard Area (SFHA), isn't it? No. Not necessarily. Mortgage companies and insurance agents do not evaluate flood risk as thoroughly as the Federal Emergency Management Agency (FEMA) would like, which leads to a very high rate of inaccuracies. Here's an astonishing fact: Over 90% of the flood zone determinations evaluated by Flood Zone Correction, Inc. were wrong! Our company has corrected all of them by (1) performing an extensive flood risk analysis that includes all relevant data and (2) petitioning FEMA to obtain a LOMA or LOMR for the property owner that provides the correct determination.

Am I eligible for a LOMA or LOMR? A home or building that does not have a history of flooding and that meets criteria set forth by FEMA will qualify for a LOMA or LOMR.

What is a LOMA or LOMR? A Letter Of Map Amendment (LOMA) or Letter Of Map Revision (LOMR) is a final flood zone determination that is issued by FEMA after performing a detailed analysis of the flood risk associated with your home or building. FEMA issues a LOMA or LOMR to remove your home or building from a high-risk flood zone (Special Flood Hazard Area “SFHA”) and put it into the correct flood zone, which is always a low-risk flood zone where flood insurance is not required.

Will my mortgage company accept a LOMA or LOMR? Yes. FEMA issues a LOMA or LOMR to evidence that your home or building has been removed from the SFHA. FEMA's final flood zone determination supercedes the determinations provided by mortgage companies and insurance companies. The LOMA or LOMR removes the federal flood insurance requirement that your mortgage company is imposing on you. Mortgage companies accept this final determination.

How much can I expect to save? The savings can be substantial over time.

•  The average homeowner saves $500 on flood insurance every year – which adds up to savings of $15,000 over the course of a 30-year mortgage.

•  The average condominium association saves approximately $8,000 every year, which significantly improves capital reserves for the community.

•  The average commercial property owner saves $10,000 every year per property – which may add $100,000 of new value to the property that may be captured at refinance or disposition by capitalizing the new earnings (savings).

I'm moving soon, so should I bother? Yes. By eliminating the requirement to maintain flood insurance, your home or building becomes less expensive to own and operate than comparable homes or buildings. This makes it more attractive to buyers and increases its value.

What are my insurance options after obtaining a LOMA or LOMR? If you obtain a written waiver of your mortgage company's flood insurance requirement and have not filed a flood claim in the current policy year, you may cancel your flood insurance policy and receive a refund of the premium paid in the current year. From that point, you have the option to choose the level of flood insurance coverage that meets your needs and budget instead of being forced to purchase an amount of flood insurance coverage that is dictated to you by a third party. Ask your insurance agent for information about flood insurance options for homes and buildings located in low risk flood zones.

How long does the flood zone correction process take? Three months to a year, so start now so we may complete the process before your next insurance renewal.