NFIP Test Questions With Correct Answers

cause more property damage in the United States than any other type of natural disaster. - Answer Floods created by the federal government to fill the gap left by the private insurance industry, and is administered by the Federal Insurance and Mitigation Administration (FIMA), a part of the Federal Emergency Management Agency (FEMA). - Answer National Flood Insurance Program (NFIP) National Flood Insurance Program (NFIP) consists of 3 main components: - Answer 1. Insurance ; 2. Floodplain management; and 3. Floodplain mapping the NFIP makes federally backed flood insurance available to - Answer 1. homeowners 2. renters ess owners mandated flood insurance in the following situations: 1. Flood insurance is required in certain flood-prone areas as a condition for receiving loans through, or backed by, the federal government; 2. Property owners who fail to purchase flood insurance within 1 year after it becomes available will not be eligible for full disaster relief funding. The amount of disaster relief will be reduced by the amount of insurance that could have been purchased. - Answer Flood Disaster Protection Act of 1973 National Flood Insurance is sold and serviced through 1 of 2 ways: - Answer 1. directly through the NFIP gh a write your own (WYO) insurance program The private insurers that participate in a WYO program write and service policies on a no risk-bearing basis through a special arrangement with the - Answer Federal Insurance Administration (FIA). If the premium is insufficient to cover losses, the insurers will be reimbursed for the excess costs by the - Answer NFIP NFIP flood insurance has a policy term of - Answer 1 year NFIP flood insurance policies expire at 12:01 a.m. on the last day of the effective term, but the insureds remain covered for ? days after the expiration - Answer 30 days To be eligible for the flood program an insured must live in a community that has met the minimum floodplain management guidelines. An eligible structure must have - Answer 2 solid walls and a roof, be principally above ground, and not entirely over water may deny coverage through a provision in the 1968 Act for any property that is in violation of state or local laws, regulations or ordinances. - Answer FIMA Upon purchase of a flood policy, a ?-day waiting period is in place beginning from the time of application and premium payment - Answer 30 day