CBS 11 has learned the companies that determine whether homeowners are in a flood zone are not regulated by any government agency - they're self-regulated.
http://cbs11tv.com/investigators/flood.insurance.wyie.2.1807856.html.
It seems like every week that I am dealing with this issue here.
These off shore and FZD companies here need to be shut down now.
The period at the end of your link is killing it,
Flood Zone Determination Companies Article
Tar and feather I say.
Until the banks quit accepting $25 junk just to fill in a box on the paperwork, nothing is going to change. If you want change, get bank regulations to require a determiniation by someone that is qualified. Or maybe get the state survey boards to determine that this is surveying.
In Oklahoma the Board has taken a very view that they will only get involved if it is Land Surveying with title implications. These flood people are causing all kinds of problems. DW
the article implies almost a racketeering gig between bank & this flood zone determining company. That is scary stuff, I've never heard of a financial institution refusing to budge even after an LS & FEMA vouch for the correction! Hopefully, if he's had any money into this forced insurance policy, he'll get it back; elsewise time to lawyer up for sure.
After some recent flooding in OKC in areas outside Zone X, where less than 2% of the people had flood insurance, I would not be surprised to see most lending institutions requiring flood insurance on all developed real estate loans.
Of course when those FZD companies are wrong(often)you can get a professional opinion and get the lowest insurance rates for your area. Then send the bill for the professional opinion to the FZD company with a letter from your lawyer.
I dealt with one last April. The FZD company did not dig into the LOMAs and find where about 3 miles next to a creek that had been turned into a concrete lined drainage ditch and been removed from the flood zone.
SJ
