P&C Comprehensive top Exam Questions and answers, 100% Accurate, rated A

Document Content and Description Below

P&C Comprehensive top Exam Questions and answers, 100% Accurate, rated A Which of the following is defined as the failure to act in a reasonable and prudent manner? - ✔✔- Negligence Under th... e Worker's Compensation policy, physical therapy benefits are a type of: - ✔✔-Rehabilitation Benefit The loss of property when the cause of loss is not known is considered: - ✔✔-Mysterious Didappearance Which type of risk involves the possibility of loss or gain? - ✔✔-Speculative S carries a Personal Auto Policy with Liability limits of 50/100/25. What is the maximum the policy will pay if S struck another vehicle causing injury to the occupants as follows: Driver - $70,000; Passenger 1- $30,000; Passenger 2-$50,000 and property damage to the other vehicle - $20,000? - ✔✔-$120,000 Which statement concerning the Dwelling Special Form (DP-3) is true? - ✔✔-The dwelling and other structures are provided open perils coverage on a replacement cost basis Which term describes the situation that occurs when two policies covering the same property contain different policy periods? - ✔✔-Nonconcurrency Which statement is true regarding inspections and surveys under the BOP? - ✔✔-The insurer has the right, but is not obligated to make inspections and surveys at any time Under the dwelling policy, household and personal property, including property in transit between the insured's old and new residences, are covered under: - ✔✔-Coverage C Employees NOT exempted from Workers' Compensation is: - ✔✔-Part-Time Employees Which statement is correct regarding the Supplemental Extended Reporting Period? - ✔✔-The premium is a one time charge and fully earned at issuance While driving in another state with higher coverage requirements, which of the following sections of the PAP automatically provides the required coverage? - ✔✔-Out of State Coverage The shifting of risk of loss to another party is known as which of the following? - ✔✔-Risk Transfer Which of the following perils is not covered under the Extended Coverage Endorsement to the DP-1? - ✔✔-Weight of ice, snow or sleet Choose the claim that is not covered under the Dwelling Broad Form (DP-2) - ✔✔-Theft of personal property at the insured premises The predictability of loss improves when the number of similar units increase because of which principle? - ✔✔-The law of large numbers Medical payments under Section II of the Homeowners Policy would covet all of the following, except: - ✔✔-Loss of Income of an Injured Person An insured has a homeowners broad form with a $200,000 limit on the dwelling and the standard deductible, if the insured's $2500 boat and trailer are stolen from his driveway, what is the most the insured will collect from the policy? - ✔✔-$1250 Which of the following involves vicarious liability? - ✔✔-Employer and Employee Which type of liability limit applies to Medical Payments coverage? - ✔✔-Per person Inland marine insurance is not typically used to insure which type of property? - ✔✔-Autos All of the following types of property may be covered by a Personal Articles Floater, except: - ✔✔- Buildings Which is true of Coverage C of the Dwelling Policy? - ✔✔-Coverage C provides coverage for the personal property of a guest Policyholder S has a HO-5 Policy with a $250,000 Coverage A Limit. After a strong wind blows a mailbox into S's front picture window, causing $2,500 damage, S immediately buys $250 of wood and plastic sheeting to cover the damaged window and prevent further damage. How much will S's policy pay? - ✔✔-$2,750 (2,500 + 250) Which of the following workers would be covered by the Jones Act? - ✔✔-A sailor injured by the negligence of others Which of the following is true regarding the boat owners policy? - ✔✔-It is similar in design to a Homeowners Policy and similar in coverage to the Personal Auto Policy If a bird hits a windshield and breaks it, which personal auto policy coverage would pay the loss? - ✔✔- Other than Collision coverage The damage to Premises Rented to You coverage under the business owners policy is subject to which of the following limits of liability? - ✔✔-Per Fire Limit Which of the following would not be covered by a commercial crime policy with an extortion endorsement? - ✔✔-A bank teller has a chance to report a threat to coworkers or the police, but declines to do so before the ransom is paid All of the following statements regarding the voluntary compensation endorsement is correct, except: - ✔✔-It exempts employers from state Worker's Compensation law An agency for ABC insurance company is representing an insured in an insurance transaction. The principal in the agency relationship is: - ✔✔-ABC insurance company In property insurance, which clause prevents the insured from relinquishing ownership and leaving damaged property to the insurer and claiming a total loss? - ✔✔-Abandonment All of the following statements is correct about a Homeowners Policy, except: - ✔✔-Coverage D of a Homeowners Policy includes loss of income from an incidental business Which coverage applies to the building described in the Dwelling Policy Declarations? - ✔✔-Coverage A Which section of the BAP provides coverage for autos in the care, custody and control of the insured? - ✔✔-This coverage is not provided under the Business Auto Coverage form All of the following are true of liability policies, except: - ✔✔-They will cover damage to the insured's own property Which of the following is not essential in determining if an action is due to negligence? - ✔✔-The injured party must prove the wrongdoer committed a criminal act All of the following are true of the Business Auto Coverage Form except: - ✔✔-Uninsured Motorist Coverage is included in Section II Under the Building and Personal Property Coverage Form, a limit of how much is applied to business personal property temporarily away from the premises. - ✔✔-$10,000 The Boatowners Policy does not cover which of the following? - ✔✔-Personal Property Driver D slid into another car causing an accident in which three people in the other car were injured. Two injured parties claimed $15,000 in medical expenses and the third person claimed $25,000. How much will D's insurance company pay if her policy has 25/50 limits for bodily injury? - ✔✔-$50,000 Which form responds to loss that occur while the policy is in force, regardless of when the claim is made? - ✔✔-Occurrence Which of the following Homeowners coverage does not have a deductible? - ✔✔-Damage to Property of Others The Lay Up Warranty under the Yacht Policy is best described by which of the following? - ✔✔-It applies when the insured yacht is in storage and allows a return of premium due to the lower risk Under the Dwelling policy, which is correct regarding coverage of trees, shrubs or plants? - ✔✔-Damage by wind, hail, weight of ice, snow or sleet is not covered The Basic Cause of Loss form covers damage caused by bacteria during what period of time following policy inception? - ✔✔-12 months Which of the following prevents all recovery for injuries if the claimant was also considered partially negligent? - ✔✔-Contributory Negligence Which of the following could be a "custodian" under the terms of a commercial crime policy? - ✔✔- Partner Under the Homeowners Policy, Medical Payments Coverage will apply to expenses that are incurred within what length of time following an accident? - ✔✔-3 years A flood damages a home that is in a community in early stages of participation in NFIP, but are not yet considered a participating community. What is the maximum a resident may receive for damages to personal property? - ✔✔-$10,000 Which of the following statements is true regarding the eligibility of flood insurance? - ✔✔-In order to qualify for a federal loan, the property owner must purchase flood insurance if the property is located in a flood area A second negligent act that interferes with the chain of events leading to a loss is known as a(n): - ✔✔- Intervening Cause Under the Voluntary Compensation Endorsement to a Worker's Compensation Policy, an employer must provide which of the following? - ✔✔-The class of employees to be covered An accounting firm discovers that someone has hacked into its records to steal the account numbers and routing numbers of its employees, and used these numbers to fraudulently draw funds from those accounts. Under which Commercial Crime insuring agreement would this loss be covered? - ✔✔- Computer Fraud Named Non-Owner Endorsement - ✔✔-Covers only the person named on the endorsement Who administers and supervises the Worker's Compensation program? - ✔✔-The Office of Workers' Compensation Administration under the supervision of the Department of Labor Transportation Expenses Coverage under Part D of the Personal Auto Policy begins how long after the covered auto has been stolen? - ✔✔-48 hours Employee M was hired by ABC Jewelers to guard and protect store property during its hours of operation. Under the terms of the Commercial Crime Policy, Employee M would be known as an - ✔✔- Watchperson Which of the following vehicles would be excluded under the Personal Auto Policy? - ✔✔-Motorcycle Which of the following Coverage forms covers the cost of replacing or reproducing documents that are important for the continuation of business such as books, files and maps - ✔✔-Valuable Papers and Records Coverage Form The formal statement that verifies details so the insurer can determine liability is called: - ✔✔-Proof of Loss The part of an insurance contract that varies with each Individual policy, but is still a mandatory part of the policy, is the: - ✔✔-Declarations What is the term for tangible property, that cannot be used because it is defective, inadequate, deficient, or dangerous? - ✔✔-Impaired proper [Show More]

Last updated: 2 years ago

Preview 1 out of 15 pages