Certified Floodplain Manager (CFM) Practice Exam

What part of the insurance process was focused on by the 2004 National Flood Insurance Reform Act?

1. Agent education

2. Community Rating System

3. Increased Cost of Compliance

4. Erosion hazard prevention

The correct answer is: Agent education

The 2004 National Flood Insurance Reform Act focused on agent education because it aimed to improve agents' knowledge about flood insurance, its coverage, and how to properly guide consumers in understanding their policies. This was an important aspect of the reform act as it aimed to increase transparency and reduce the confusion surrounding flood insurance policies. The other options are incorrect because they either refer to other initiatives within the National Flood Insurance Program (NFIP) or do not align with the goal of the 2004 reform act. B. The Community Rating System is a voluntary program that rewards communities for taking steps to reduce flood risk but it was not the main focus of the 2004 reform act. C. Increased Cost of Compliance is a policy add-on that helps cover the cost of compliance with floodplain management regulations, but it is not the main focus of the reform act. D. Erosion