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Practice test · 15 questions
Flood Insurance (NFIP) Practice Test (Part 2 of 2)
Part 2 continues the flood insurance (nfip) question bank with 15 new questions. Answer each one to see the correct choice and a full explanation; your progress is saved in this browser.
Questions
15
Suggested time
18 min
Difficulty mix
1 / 9 / 5
Passing target
70%
Subtopics in this part: Coverage B special limits, Waiting period, Waiting period: loan exception, Waiting period: map revision exception, Waiting period: post-wildfire exception, Claims: proof of loss, Claims: proof of loss extensions and waivers, Claims: adjuster's role, Claims: advance payments, Claims: appeals, Claims: suit against the insurer, Exclusions: mold and failure to mitigate and more.
0 of 15 answered
Coverage B special limits · Challenging
A flood damages Victor's contents, including jewelry with an actual cash value of $2,000 and a fur coat with an actual cash value of $1,800. Ignoring the deductible, what is the most his Dwelling Form policy will pay for these two items?
Show answer and explanation
Correct answer: A. $2,500
The Dwelling Form pays no more than $2,500 for any one loss to one or more of the listed kinds of property combined: artwork and collectibles, rare books or autographed items, jewelry and precious metals, furs, and business personal property. Because the limit applies collectively, the $3,800 of jewelry and fur damage is capped at $2,500. Treating the limit as $2,500 per category would wrongly allow more.
On June 1, Pedro signs an application for a new NFIP policy on his home and pays the full amount due. The insurer receives both on June 5. No loan transaction, map revision, or wildfire exception applies. When does coverage begin?
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Correct answer: B. 12:01 a.m. on July 1
New policies carry a 30-day waiting period. When the insurer receives the application and full amount due within 10 calendar days of the application date, coverage begins at 12:01 a.m. on the 30th calendar day after the application date: June 1 plus 30 days is July 1. If receipt came later than that (and it was not sent by certified mail within 4 days), the 30 days would run from receipt.
Yuki is buying a house in Zone A with a mortgage. Before the loan closes, she applies for an NFIP policy as her lender requires, and the insurer receives the application and full premium three days after closing. When does her flood coverage take effect?
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Correct answer: C. At the time of the loan closing
When flood insurance is purchased in connection with making, increasing, extending, or renewing a loan secured by the property, is requested on or before closing, and the insurer receives the application and full amount due within the required timeframe, no waiting period applies. Coverage is effective as of the time of the loan closing. The 1-day wait belongs to the map revision and post-wildfire exceptions.
A FIRM revision effective March 1 moves Omar's home from Zone X into Zone AE. On August 10 of the same year, he applies and pays for his first NFIP policy, and the insurer receives everything within 10 days. What waiting period applies?
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Correct answer: A. A 1-day waiting period, because he applied within 13 months of the map revision
The map revision exception provides a 1-day waiting period when a flood map revision newly places a building in an SFHA, as long as the insurer receives the application and full amount due within 13 months of the revision's effective date. Coverage starts at 12:01 a.m. on the day after the application date. After 13 months, the standard 30-day waiting period applies.
Which situation qualifies for the post-wildfire exception to the NFIP's standard 30-day waiting period?
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Correct answer: D. A private home flooded from federal land due to post-wildfire conditions, insured within 60 days of containment
The post-wildfire exception allows a 1-day waiting period when privately owned property is damaged by flooding that originated on federal land, post-wildfire conditions on that land caused or worsened the flooding, and the coverage was bought on or before the fire containment date or within 60 calendar days after it. Government-owned property does not qualify, and the 13-month window belongs to the map revision exception.
A flood damages Bianca's home on April 10, and she reports the loss to her insurer the next day. Absent any FEMA extension, by when must she send the insurer a signed and sworn proof of loss?
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Correct answer: C. Within 60 days after the date of loss
The SFIP requires the insured to send a proof of loss, the insured's signed and sworn statement of the amount claimed, within 60 days after the loss. Prompt written notice of loss is a separate duty. Additional proofs of loss for supplemental amounts are allowed, but they are subject to the same 60-day limit unless FEMA extends the deadline or approves a waiver.
Claims: proof of loss extensions and waivers · Challenging
After a hurricane, a WYO claims examiner receives Jamal's signed proof of loss 75 days after the date of loss. FEMA did not issue any bulletin extending the deadline for that event. What must the insurer do before paying the amount claimed?
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Correct answer: B. Request and receive a proof of loss waiver from FEMA
The insurer has no authority to extend the 60-day proof of loss deadline, because the SFIP allows its provisions to be waived only with the Federal Insurance Administrator's written consent. FEMA may extend the deadline for a major event through a published bulletin. Otherwise, when a signed proof of loss arrives late, the insurer must request a proof of loss waiver from FEMA and receive approval before issuing payment.
During the inspection, Mei asks the independent adjuster assigned to her NFIP claim whether the insurer will approve it. According to the SFIP Dwelling Form, what is the adjuster's authority?
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Correct answer: D. The adjuster has no authority to approve or deny the claim or predict the outcome
The SFIP states that the insurer has not authorized the adjuster to approve or disapprove claims or to tell the insured whether a claim will be approved. The adjuster investigates and estimates the loss and may furnish or help complete a proof of loss, but only as a courtesy. The insured remains responsible for submitting a signed, sworn proof of loss on time.
According to the June 2025 NFIP Claims Manual, how are pre-inspection advance payments handled when FEMA has authorized them?
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Correct answer: A. They are deducted from the final claim payment after the loss is adjusted
When FEMA authorizes them, insurers may issue pre-inspection advance payments, for example up to $5,000, or up to $20,000 with photographs and verified expenses, on building and contents combined, less deductibles. Advances help policyholders start recovery but must be deducted from the final claim payment after full inspection and adjustment. The SFIP does not cover additional living expenses at all.
Carmen's insurer sends her a letter denying part of her flood claim. She disagrees and wants FEMA to review the decision through the NFIP claims appeal process. Within what time must she submit her written appeal?
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Correct answer: C. Within 60 days of the date of the insurer's written denial
Under 44 CFR 62.20 and the Flood Insurance Manual, a policyholder must submit a written appeal to FEMA within 60 days of the date of the insurer's written denial, with a copy of the denial letter and supporting documentation. One year is the separate deadline to file suit, and filing an appeal does not extend it. An appeal is unavailable once the policyholder sues or invokes appraisal.
Ivan's WYO insurer sends a written denial of part of his flood claim on March 3, 2026. He files a FEMA appeal in April. If he later decides to sue, what is the deadline, and where must he file?
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Correct answer: B. By March 3, 2027, in the U.S. District Court where the property is located
The SFIP requires suit within one year after the date of the written denial of all or part of the claim, filed in the U.S. District Court for the district where the property was located at the time of loss. The appeals process does not extend this period, and later denial letters do not restart it. A WYO policyholder sues the WYO company; an NFIP Direct policyholder sues FEMA.
Exclusions: mold and failure to mitigate · Application
After floodwater recedes from Priya's home, she leaves on a three-week trip without drying out the building, although nothing prevented her access. Extensive mold grows, including on walls the flood never touched. How does the SFIP Dwelling Form treat the mold damage?
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Correct answer: A. Excluded, because it stems from failure to inspect and maintain after the flood
The SFIP excludes water, moisture, mildew, or mold damage resulting primarily from conditions within the insured's control, including failure to inspect and maintain the property after a flood recedes. FEMA guidance allows an exception only when the policyholder was reasonably prevented from accessing the property to remove damaged items promptly. Loss Avoidance Measures pays for sandbags, supplies, labor, and moving property, not mold.
Floodwater enters Tomas's home and attached garage, which are insured under the Dwelling Form with both building and contents coverage. Which flood-damaged item or expense is covered?
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Correct answer: D. A riding mower, not road-licensed, used for the yard and kept in the garage
The SFIP excludes self-propelled vehicles but covers those not licensed for public roads that are used mainly to service the described location, such as a riding mower kept inside. It does not insure currency, coins, or money; land, lawns, trees, or shrubs; or additional living expenses while the building is repaired. Swimming pools, fences, and licensed vehicles are also not covered.
A 10-unit residential condominium building with a $2,000,000 replacement cost carries $1,200,000 of RCBAP building coverage with a $5,000 deductible. A flood causes $100,000 of building damage. How much will the RCBAP pay?
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Correct answer: B. $70,000
Unlike the Dwelling Form, which has no coinsurance penalty, the RCBAP applies coinsurance to building coverage. Required insurance is the lesser of 80 percent of replacement cost ($1,600,000) or the NFIP maximum for the building. $1,200,000 divided by $1,600,000 equals 0.75; $100,000 times 0.75 equals $75,000; minus the $5,000 deductible leaves $70,000. Paying $95,000 ignores the penalty.
NFIP vs private flood: other insurance · Challenging
Jordan has an NFIP Dwelling Form policy and also buys a private (non-NFIP) flood policy on the same home. The private policy states that it is excess over any other flood insurance. A covered flood loss occurs. How does the SFIP's Other Insurance condition apply?
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Correct answer: C. The NFIP policy is primary, and the private policy responds as excess
When flood insurance not issued under the National Flood Insurance Act also covers a loss, the SFIP generally pays only its pro rata share based on amounts of insurance. But if the other policy states that it is excess insurance, the SFIP is primary. NFIP rules bar more than one NFIP policy on a building (with a condominium exception), not the combination of NFIP and private flood coverage.
Pick an answer and the correct choice appears with an explanation and the policy form, statute or FEMA document it comes from. Difficulty is labeled on each question: recall items test a definition, application items put the rule into a short claim scenario, and challenging items combine two rules or require a calculation.
Aim for at least 80% before moving on, since the real exam mixes these topics with state law under time pressure. When you are consistently above that line, take a full timed exam or the version for your state: Texas or Florida 6-20.