We show that if $D \subset \mathbb P^N$ is obtained from a codimension two
local complete intersection $C$ by adding embedded points of multiplicity $\leq
3$, then $D$ is a flat limit of $C$ and isolated points. As applications, we
determine the irreducible components of Hilbert schemes of space curves with
high arithmetic genus, show the smoothness of the Hilbert component whose
general member is a plane curve union a point in $\mathbb P^3$, and construct a
Hilbert component whose general member has an embedded point.Comment: 16 pages, amsart style. New examples added to show that hypotheses of
main theorem are necessary, showing sharpness of resul