Environmental

The National Flood Insurance Program (NFIP) requires flood insurance for properties in:

AAll Illinois properties regardless of flood risk
BProperties located in Special Flood Hazard Areas (SFHA) that have a federally backed mortgage✓ Correct
COnly properties that have flooded in the past 10 years
DCommercial properties only in designated flood zones

Explanation

The NFIP requires that properties located in FEMA-designated Special Flood Hazard Areas (100-year floodplains) that have federally backed mortgages carry flood insurance. Flood damage is typically excluded from standard homeowner's insurance policies.

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