Audience
For lenders
Give lending teams a structured way to review flood map change files without blurring underwriting discretion.
Lenders need a precise explanation of what a LOMA or LOMR-F may change, what it does not change, and how to triage borrower files efficiently. This page supports that workflow without overpromising outcomes.
Key takeaways
Use this page when
Frequently asked questions
Does a LOMA satisfy the mandatory flood insurance purchase requirement?
A final LOMA from FEMA removes the federal mandatory purchase requirement under the National Flood Insurance Reform Act for most federally regulated loans. However, the lending institution retains discretion to impose its own flood insurance requirements regardless of the LOMA.
How should a lender handle a pending LOMA at closing?
Most lenders require flood insurance to be in force at closing regardless of a pending LOMA. Once the determination is issued, the borrower can request removal of the requirement and potential cancellation of the policy, subject to the lender's written approval.
What documentation does a lender need from a LOMA?
The lender typically needs the final FEMA determination letter showing the property address, effective map panel, and the specific structure or lot removed from the SFHA. A copy of the supporting Elevation Certificate may also be requested for file documentation.
Can a lender initiate a LOMA on behalf of a borrower?
Lenders do not typically file LOMAs, but they can encourage borrowers to pursue one and facilitate the process by sharing the flood determination and communicating requirements clearly. The property owner or their licensed professional submits the actual request.
How does a LOMA affect the Life of Loan flood determination?
A LOMA changes the property's zone status for future determinations. The flood determination company should reflect the LOMA when issuing or updating Life of Loan tracking. Lenders should ensure their tracking provider is aware of the new determination.
What if a borrower's LOMA is superseded by a new FIRM?
When FEMA issues a new effective FIRM, existing LOMAs may be revalidated or may require a new submission. Lenders should check whether the prior determination carries forward under the new map before making coverage decisions.