Flood Insurance & NFIP Flashcards
7 cards from real CFM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Flood Insurance & NFIP flashcards as text
What is the Community Rating System (CRS) in the context of the NFIP?
Answer: A voluntary program that rewards communities implementing floodplain management activities exceeding NFIP minimums with reduced flood insurance premiums
The CRS is a voluntary FEMA incentive program that recognizes and encourages community floodplain management activities beyond the NFIP minimum requirements, providing discounts of 5–45% on flood insurance premiums for policyholders in participating communities.
CRS discounts on flood insurance premiums are organized into class levels. What is the range of CRS classes?
Answer: Class 1 through 10
CRS classes range from Class 10 (no discount, just meeting NFIP minimums) to Class 1 (the highest discount of 45%), with each class improvement providing an additional 5% discount on premiums.
Which of the following is NOT one of the four CRS credit series activity categories?
Answer: Emergency Management Training (Series 700)
The four CRS credit series are: Public Information (300), Mapping and Regulations (400), Flood Damage Reduction (500), and Warning and Response (600); Emergency Management Training is not a CRS credit series.
What is the Biggert-Waters Flood Insurance Reform Act of 2012 primarily known for?
Answer: Phasing out subsidized NFIP rates and moving toward risk-based premiums
The Biggert-Waters Act of 2012 was landmark legislation that sought to phase out subsidized flood insurance rates and move NFIP toward actuarially sound, risk-based premiums, though many provisions were later modified by the Homeowner Flood Insurance Affordability Act of 2014.
Under the NFIP, what does 'substantial improvement' mean for an existing building in the floodplain?
Answer: Any reconstruction or improvement where the cost equals or exceeds 50% of the market value of the structure
Substantial improvement is any reconstruction, rehabilitation, addition, or improvement of a structure where the cost equals or exceeds 50% of the market value of the structure before the start of construction, triggering the requirement to bring the entire structure into compliance with current floodplain regulations.
What is a Letter of Map Amendment (LOMA) used for in the NFIP?
Answer: To officially amend a FIRM to show a property or structure has been inadvertently included in a Special Flood Hazard Area
A LOMA is an official amendment to an effective FIRM that removes a property or structure from the Special Flood Hazard Area (SFHA) based on natural ground elevations, when FEMA determines the property was inadvertently included.
Which NFIP document provides official flood zone designations and Base Flood Elevations for a community?
Answer: Flood Insurance Rate Map (FIRM)
The Flood Insurance Rate Map (FIRM) is the official map of a community on which FEMA has delineated Special Flood Hazard Areas, risk premium zones, and Base Flood Elevations, and is used by insurers and communities for floodplain management.