Property and Casualty Exam Prep Questions and Answers Already Passed

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Property and Casualty Exam Prep Questions and Answers Already Passed Who is considered the first party to an insurance contract? ✔✔The Insured Who is considered the second party to an insurance... contract? ✔✔The insurance company In a commercial property policy, the company providing the insurance is referred to as: ✔✔"We" Insurance Agent ✔✔Appointed by the company and are paid commissions for policies sold. Insurance Broker ✔✔represents the client to the company. They post a $10,000 bond and charge a fee. Which claim would most likely be covered under "other than collision " ✔✔An insured who hit a deer Which of the following characterizes a speculative risk? ✔✔A situation that offers the possibility for a loss or a gain. What is the type of loss exposure that would include land and property attached to it? ✔✔Liability loss exposure Which of the following types of loss would result in a claim for monetary damages due to injury to another or damage to another's property ✔✔Liability Loss. Personal Property ✔✔possessions such as jewelry, furniture, and boats Real Property ✔✔physical property such as land and buildings The possibility of financial loss resulting from the ownership of property is known as: ✔✔Insurable interest A grandparent owns a house and in his will, he is going to leave it to his grandson. the grandson goes and buys a homeowner policy on the house. The house burns down, can the grandson collect? ✔✔No, the grandson doesnt own the house at the time of purchase of the policy. He is expecting to own the house he doesn't own it yet. Bill and bob have an equal ownership interest in a building worth $100,000. Bill purchases a property policy on the building for $100,000. Bob was not listed on Bills policy and bob does not buy his own policy. If the building were to burn down and it is a total loss, how much would each of them collect? ✔✔Bill $50,000 Bob $0 Bill only owns half of the building so he can only collect half of the $100,000 policy. Bill didn't buy any coverage so he gets nothing. Which type of exposure can best be defined as a condition or situation for any exposure or financial loss which is presented to an individual or family by such causes an injury, disability, death or sickness ✔✔Personal Loss Exposure Which of the following is also known as a human loss exposure ✔✔Personal loss exposure. Which of the type is a business exposed to death, retirement, resignation, or disability of a key employee ✔✔Personnel Loss exposure Where do insurers get their policy forms from? ✔✔ISO and NAIC Where do most states require insurers to file policy forms? ✔✔The insurance Department endorsement ✔✔amendment that alters the terms of the contract either by expanding or restricting coverage All of the following are elements necessary for the formation of a valid contract EXCEPT: ✔✔Conditions Automobile Limits of Liability expressed as 25/50/10 mean: ✔✔$25,000 Bodily Injury for each person, $50,000 Bodily Injury each accident, $10,000 Property damage each accident Damage done by an earthquake to an insured auto is covered by the personal auto policy: ✔✔If the other than collision coverage is purchased Under a personal auto policy, which of the following is not a collision loss? ✔✔Impact between the covered auto and a deer or any other animal. What is the most important factor in rating someone for liability coverage? ✔✔Proposition 103/ Unruh act Proposition 103 ✔✔-Driving Safe Record - Number of miles driven - Number of years of driving experience - Other factors that have a substantial relationship to the risk. Under tort law, a person can face a claim for legal liability on the basis of all of the following, except: ✔✔Breach of contract Tort Law ✔✔Involving an act that brings harm to a person or damage to property [Show More]

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