Final answer:
The security practice that does not address physical and environmental protection is the one concerned with preventing information theft by unauthorized parties, which is not related to the physical environment or structure of a facility.
Step-by-step explanation:
The security practice that does NOT address the physical and environmental protection for a facility is A: Measures are taken to prevent theft of information by unauthorized individuals. This practice is more concerned with data security and protecting information rather than physical and environmental aspects of a facility, such as structural integrity, natural disaster preparedness, and physical access control.
Option B, upgrading flood-warning systems, C, changing entry codes, and D, monitoring entry and exit with CCTVs, all relate to physical or environmental security measures. Upgrading flood-warning systems is an environmental protection, changing entry codes addresses physical security access controls, and CCTVs are a part of physical security surveillance.
In the context of insurance and facilities, companies can reduce moral hazard by installing security and fire sprinkler systems. This is in line with maintaining a minimum level of security and protecting the physical environment of a business, which may result in reduced insurance premiums if these systems are inspected regularly.