Pearson Vue Practice Exam 1 Questions and answers, 100% Accurate, rated A+

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Pearson Vue Practice Exam 1 Questions and answers, 100% Accurate, rated A+ Which of the following persons may assign a Standard Fire Policy? - ✔✔-A Claims Adjuster Under the standard flood ins... urance policy, all of the following loss avoidance measures are covered up to $1,000 when damage to the insured property due to flooding is imminent EXCEPT: - ✔✔-The value of work, at the federal minimum wage, that a member of the household performs The Insurance Commissioner is empowered to: - ✔✔-Enforce state laws relating to insurance After an insurer receives a satisfactory proof of loss from an insured on a fire loss, payment is due within a MAXIMUM of how many days? - ✔✔-30 days *Upon determining that a producer has violated the insurance law, the Insurance Commissioner is required to take which of the following actions? - ✔✔-Publish notice of the violation The Insurance Commissioner may suspend, revoke, or deny a producer's license for all of the following reasons EXCEPT: - ✔✔-Conviction of a misdemeanor *If an owner-occupied dwelling is totally destroyed without criminal fault on the part of the insured. The amount of the loss covered by a property policy would be based on: - ✔✔-The market value of the dwelling A candidate for licensure as a property insurance produce must have completed a MINIMUM of how many hours of prelicensing education? - ✔✔-50 hours An insurer that permits different rate classifications for individuals of the same class and same hazard may be guilty of: - ✔✔-Unfair discrimination Making false or misleading statements about dividends or shares of surplus previously paid on an insurance policy is known as: - ✔✔-Misrepresentation *The Insurance Company may issue a limited insurance representative license to an individual who wants to sell which of the following types of policies? - ✔✔-Automobile In this state, a domestic insurer is defined as a company that: - ✔✔-Is headquarted in this state *If a commercial insurer fails to meet the requirements of the forty-five days Notice of Nonrenewal Rule prior to the expiration date of the existing policy, the company MUST: - ✔✔-Provide a renewal policy that *matches* the expiring policy's coverages and premium (key word- matches) *The purpose of the FAIR Plan is to provide: - ✔✔-Basic Property insurance for which coverage is not available in the regular market XYZ Insurance Company recently received its certificate of authority to sell property insurance in Illinois. XYZ is an Iowa insurer but will sell its products through its licensed Illinois producers. Which of the following statements is CORRECT about XYZ Company's involvement in the FAIR Plan? - ✔✔- Membership in the FAIR Plan is optional for XYZ *All of the following items continued in a basement are covered under the standard flood insurance policy EXCEPT: - ✔✔-Drywall for walls and ceilings and the cost of labor to nail it, unfinished and unfloated and not taped, to the framing *An incorporated insurer with capital divided into shares and owned by its shareholders is known as: - ✔✔-A stock company *An insurer that intends to nonrenew a Homeownwers policy MUST take which of the following actions? - ✔✔-Send a notice stating the reason for nonrenewal to the insured *An insurer that generally fails to affirm or deny coverage of claims with a reasonable period of time after receiving Proof of Loss may be found guilty of: - ✔✔-An improper claims practice *In order to be reimbursed for a covered loss under a Standard Fire policy in this state, and insured MUST: - ✔✔-Protect the property from future loss *To obtain coverage from this state's FAIR plan, an applicant MUST: - ✔✔-Apply at least thirty days prior to the desired effective date of coverage Coverage for goods in transit is usually provided by which of the following types of insurance? - ✔✔- Inland Marine *After an insurance producer license is issued, a license MUST complete how many hours of approved continuing education courses every two years? A. Cumulative hours B. How many hours involving ethics C. How many hours pertaining to HO insurance D. How many hours of training in approved courses - ✔✔-A. 24 hours B. 3 hours specifically pertaining to insurance industry ethics C. 3 hours pertaining to HO insurance D. 18 hours Which of the following situations is considered an insurance transaction? - ✔✔-Two parties negotiate the term of coverage when executing an insurance contract A Commercial Package Policy must include at least how many coverage parts? - ✔✔-Two *A Commercial Property Policy specifies which of the following responsibilities as a duty of the insured? - ✔✔-To provide a sworn Proof of Loss statement if requested by the company *Which of the following businesses would be eligible for a Businessowners policy? - ✔✔-Barbershop The owner operator of a computer store often leaves expensive computers balanced negligently on the edges of the table , believing that any damage to the computers will be paid by the insurance policy. This situation BEST described as: - ✔✔-Morale Hazard An Insured's HO-2 Form has a $100,000 coverage limit on the dwelling and a $50,000 Personal Property limit with the standard deductible. If the sailboat valued at $1,500 is stolen form the insured's premises, the insured will collect a MAXIMUM of which of the following amounts? - ✔✔-$1,250 (deductible= $250) *S is purchasing a Commercial Property policy to cover a commercial building with a replacement cost of $100,000. The policy includes an 80 percent Coinsurance clause. To avoid a coinsurance penalty in the event of a partial loss, S should purchase a policy with minimum limits of AT LEAST which of the following amounts? - ✔✔-$80,00 [Show More]

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