CA P&C Top Questions pool. (Accurately answered) graded A

CA P&C Top Questions pool. (Accurately answered) graded A All of the following are true of reciprocal insurance company except: - ✔✔-A reciprocal insurer is a corporation. What coverage is provided by coverage D of ...

CA P&C Top Questions pool. (Accurately answered) graded A All of the following are true of reciprocal insurance company except: - ✔✔-A reciprocal insurer is a corporation. What coverage is provided by coverage D of the dwelling policy? - ✔✔-Fair rental value The coverage B limit is what percent of the coverage A limit? (Dwellings) - ✔✔-10% Under coverage C of the special Dwelling form, all of the following are included, except: - ✔✔-Pets belonging to the insured Which is true of the special dwelling form - ✔✔-The special form insurance personal property on an open perils basis The dwelling broad form DP2 includes coverage for all of the following except - ✔✔-Accidental discharge or overflow of water or stream for my heating or air conditioning system or household appliance The California standard form fire policy has how many lines - ✔✔-158 In the event of a loss or no laws have been broken, the insured is required to all the following except - ✔✔-Notify the police Which section of an insurance policy list the rules and procedures to be followed during the policy period - ✔✔-Conditions All of the following are included in the declarations of a property policy except - ✔✔-The perils not insured against Which of the following is not a basis for loss valuation - ✔✔-Arbitration Which of the following is correct about the rights of salvage - ✔✔-The insurer has the right to take possession of damaged property after payment of a loss What is the name of the attachment to a policy that broadens or restricts the policies coverage - ✔✔- Endorsement What is the term for condition existing inside the property that increases the risk of a loss - ✔✔-Inherent vice Which of the following is not specified by an insurance binder - ✔✔-The premium amount Which statement is true about estoppel - ✔✔-Estoppel prevents the denial of the fact that was admitted to be true by previous action Which term describes a contract prepared by one party and submitted to the other party on a take it or leave it basis without negotiation - ✔✔-Contract of adhesion A peril is: - ✔✔-The specific cause of a loss Dwelling forms do not ensure against loss caused by any of the following - ✔✔-Earth movement, Ordinance or law, water damage, power failure What coverage is not added to the policy by the Broad theft endorsement - ✔✔-Damage by robbers because it is already included in the policy under the broad form Which coverage is provided by the personal liability - ✔✔-The supplement provides both medical payments and personal liability Is Fire damage to an insured residence is considered a direct loss? - ✔✔-Yes, A fire loss, including any resulting smoke damage, or water damage incurred by the fire department in extinguishing the fire would all be considered a direct loss. Which statement is not true about FAIR plans? A The perils covered are generally limited to fire, lightning and extended coverage B They must accept all submitted risks C They are state supervised plans run by the insurance industry D Their purpose is to provide property insurance in high-risk areas - ✔✔-They must accept all submitted risks Which of the following is not an implied warranty in relation to Ocean Marine Insurance? A Legality B Full value C No deviation in voyage D Seaworthiness - ✔✔-Full value Which of the following is not a covered peril under the Garage Form's Specified Causes of Loss property damage coverage? A Hail B Wind C Flood D Repossession - ✔✔-D Repossession The specified perils for Garage form PD are: fire, lightning, explosion, theft, mischief, windstorm, hail, earthquake, flood, vandalism, or the sinking, burning, collision or derailment of any conveyance transporting the covered auto. California uses which type of rating plan for Workers' Compensation policies? A Experience B Retrospective C Manual D Premium Discount - ✔✔-A Experience Within what time period from the date of the injury must a medical expense be incurred in order for coverage to apply under BOP liability? - ✔✔-Medical expenses for bodily injury caused by an accident on the insured's premises or due to the insured's operations must have incurred within one year of the date of the accident. Which of the following describes actual cash value? - ✔✔-Replacement cost less depreciation Which of the following are true about the Theft Inside The Premises insuring agreement? A It covers loss to safes on the premises B It covers money and securities outside the premises, while in the custody of an armored vehicle company C It covers money and securities outside the premises, when in the custody of a messenger D It does not cover damage to the exterior of the premises - ✔✔-A It covers loss to safes on the premises Theft Inside the Premises covers money and securities only inside the premises; and it does cover damage to the exterior of the premises. The premium amount or method of determination if premium can only be calculated at the end of the policy period for a CPP is located in the: A Supplementary part B Statements of coverage part C Cover Page D Consideration part - ✔✔-C Cover Page Which statement is false? A Insurer investigation expenses are in addition to the limits stated in Coverage E B Total liability coverage resulting from any one occurrence may not exceed the Coverage E limit that is stated in the policy C Obligations of an insurer end when it pays damages equal to the policy limit for any one occurrence D Coverage F limits are subject to a deductible - ✔✔-D Coverage F limits are subject to a deductible Which risk management type shifts the risk of loss to a larger homogeneous group? A Risk Avoidance B Risk Assumption C Risk Reduction D Risk Transfer - ✔✔-D Risk Transfer Pain and suffering, disfigurement, mental anguish and other similar types of losses are classified as: A Respondeat superior damages B Loss of consortium C General damages D Specific damages - ✔✔-C General damages Which of the following personalizes an insurance policy? A The Mortgage Clause B The Declarations C The Definitions D The Insuring Agreement - ✔✔-B The Declarations Which statement is correct concerning the Optional Coverage - Inflation Guard under the Building and Personal Property Coverage Form? A The percentage of increase applies only to the renewal policy B The percentage of increase is applied to the policy pro rata, on a weekly basis C The percentage of increase is applied to the policy pro rata, on a monthly basis D The annual percentage of increase is applied to the policy at the rate of 1/365 each day - ✔✔-D The annual percentage of increase is applied to the policy at the rate of 1/365 each day All of the following are true of Earthquake Coverage in California, except: A The California Earthquake Authority has no authority to sell anything other than earthquake coverage B For those who desire earthquake insurance, policies may only be purchased through the California Earthquake Authority C No residential insurance policy may be issued or delivered unless the insured is offered coverage for loss or damage caused by the peril of earthquake D All California Earthquake Authority policies are marketed and serviced by a participating insurer who is compensated for the claims and services they provide on behalf of the authority - ✔✔-B For those who desire earthquake insurance, policies may only be purchased through the California Earthquake Authority The Businessowners Policy provides coverage on which of the following basis? A Open Peril B Actual Cash Value