What Is an Elevation Certificate and How Do You Know if You Need One?
An elevation certificate is an administrative document issued to a property owner by the National Flood Insurance Program (NFIP). This document helps to maintain compliance with building codes in high flood risk areas, but it also informs the pricing of premiums for flood insurance.
Basically, the elevation certificate states the elevation of a structure in relation to the base flood line, which is a way of estimating how likely flooding is to occur as well as helping to set flood insurance rates for your home. Here are the parts of an elevation certificate you need to know about.
1. Your home’s location
An elevation certificate is for a specific structure, such as your home. On the certificate, the structure’s location is clearly defined with the address and a property description. This ensures accuracy and prevents any confusion about if the certificate applies to your building.
2. Lowest point of elevation
In terms of flood risk, the base of a building is more prone to damage than its top. So, the identification of the lowest point of elevation in relation to the base flood level is of prime importance in flood risk assessment and determining flood insurance premiums. The elevation information is, after all, where the foundation on which the rest of a building lies.
For perspective, the elevation point of base flood level has a 1% annual chance of flooding. As the lowest point of elevation decreases, the risk of flooding increases, and vice versa.
3. Flood zone
An elevation certificate also lists the flood zone of your home. This designation may be a letter or a combination of a letter and a number. The letter indicates a range between low and high risk of flooding, while the number relates to either specific parts of the zone or degree of risk.
The letter A denotes a high risk flood zone while the letter V denotes a high risk coastal flood zone, and these high risk areas areas that will have the highest flood insurance premium rates. The letter B or X (with shading on the map) indicates moderate flood risk, while the letter A or X (with no shading) indicates low risk areas.
4. Other characteristics
Other characteristics of the structure or property that influence flood risk are also listed on elevation certificates. This could be if a body of water lies nearby. It might also show if your home has any structural properties that increase or decrease flood risk.
In general, a homeowner only needs an elevation certificate if the property is in a high-risk area for flooding. If you have opted for additional flood insurance coverage in lower risk areas, you will also need an elevation certificate for the insurance company to calculate your premium.
To obtain an elevation certificate, you might first check with the NFIP to see if one is on record. If you are in the middle of purchasing the property, you can ask for an elevation certificate to be provided at closing. Alternately, you may wish to hire a licensed land surveyor to look at your property and craft a new or updated elevation certificate. This will help ensure your insurance agent is able to correctly determine the base flood elevation and issue you the best rates for your flood insurance policy.
If you’re planning to flood proof your home, you need additional permissions from the NFIP. Flood proofing means making the parts of your home watertight that lie below the base flood level.