Certified Floodplain Manager (CFM) Practice Exam

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Prepare for the Certified Floodplain Manager exam with comprehensive quizzes featuring multiple-choice questions paired with insights and explanations. Get ready to demonstrate your expertise in floodplain management and advance your professional credentials!

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What is a Preferred Risk Policy intended for?

  1. High-risk flood areas only

  2. Properties with previous flood claims

  3. Moderate-to-low risk areas

  4. Commercial zones exclusively

The correct answer is: Moderate-to-low risk areas

A Preferred Risk Policy (PRP) is designed to provide an affordable insurance option for properties located in moderate-to-low risk areas. This is unlike option A, which specifies high-risk flood areas only, or option B which is for properties with previous flood claims. Additionally, option D is incorrect because PRP is not limited to commercial zones. It is important to note that PRP does not cover damages caused by severe or repeated flooding, and homeowners in these areas may still be required to obtain additional flood insurance.

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