Questions Answered About Being In A Flood Zone
- Information provided by G.C. Engineering, www.gcengineering.com

When you purchase property near a body of water or a watershed area, there is a risk the property may be designated as “located in a 100-year flood zone.” Here are answers to some common questions that may help you understand flood insurance, the process for determining whether the property is in a flood zone and how to possibly remove it from that zone.

Q. What does the term 100-year flood zone imply?
A. This is when a property is determined to have a 1% chance per year of being inundated by a potential flood, in which case you are required by federal law to have flood insurance.

Q. What determines whether a property is in a flood zone?
A. When you purchase property, federal law requires that a Life of Loan Flood Determination be performed using a Flood Insurance Rate Map (FIRM) that is produced by FEMA ( Federal Emergency Management Agency ). There are generally two zones on the map, (X) which signifies a less than 1% chance per year of flood inundation and (A) or (AE) which signifies a 1% chance or more of being inundated by flood.

Q. The building has been there for twenty years and has never flooded before, how could it be in a flood zone now?
A. In some communities the flood area was not designated until recently. Also, the Life of Loan requirement is a newer regulation, so some properties that have been in a flood one were never correctly designated as such. Since that property was determined to have a 1% chance in 100 years of flooding, you may go without incident until that 100-year storm arrives. It is as possible for a property to flood more frequently as it is to never flood at all. If your property is in the flood zone, federal flood insurance is required because standard homeowners insurance does not cover flood damage.

Q. What can I do if my property is located in a 100-year flood zone?
A. If your property is in the A or AE zone there are a few options for you to explore:

• If you feel the determination is in error, you and your lender can request that FEMA perform a Letter of Map Review. FEMA then has 45 days to issue a statement as to whether the property is in the 100-year flood zone or not. This decision is binding and cannot be challenged again.
  
  
• You may have a licensed Engineer, Surveyor or Architect perform an Elevation Certification if you feel that the house is elevated or higher than the area where the flooding could possibly occur. This will determine the elevation of the surface of the bottom floor of the structure in relation to the Base Flood Elevation (BFE). The basement of the house is considered the top of the bottom floor, so the first floor may be higher than the BFE, but if the basement is not, insurance will still be required.
  
  
• You can apply through FEMA for a Letter of Map Amendment (LOMA) if the home is found to be higher than the BFE. FEMA will review this document and based on the information provided may remove the structure from the flood zone permanently by issuing a statement and physically changing the FIRM in the next review.

Q. I have purchased flood insurance and after having an Elevation and Certification done on the property found out my property is above the BFE. Am I eligible for a refund of my premium?
A. Yes. If you have purchased flood insurance and it is found that the property is not in a flood zone after the Elevation Certification is done, you should be eligible for a refund of premiums for the last two years if the property is removed from the flood zone.