FREE AND STUDY GAMES ABOUT COMMERCIAL PACKAGE

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FREE AND STUDY GAMES ABOUT COMMERCIAL PACKAGE

P EXAM QUESTIONS

Actual Qs and Ans Expert-Verified Explanation

This Exam contains:

-Guarantee passing score -70 Questions and Answers -format set of multiple-choice -Expert-Verified Explanation Question 1: "Nonowned detached trailers" on a BPP coverage extension covers what?

Answer:

$5000 only if in care, custody or control and contractually obligated.Question 2: What is this practice? A way for the insurance company to examine and audit the insurer's books and records at any time during the policy

Answer:

Examination of Books and Records Question 3: In the "available coverage forms", "Accounts receivable" is:

Answer:

accounts due that become uncollectible due to loss of records.Question 4: Commercial general liability (CGL) "Exclusions" on coverage "B"- Personal and

advertising injury are?:

Answer:

1)knowingly publishing False material 2) Copyright infringement 3) Criminal acts 4) Media and internet- type businesses

5) Breach of contract 6) Violation of communication laws.

Question 5: When a policy is cancelled, the premium is refunded how?

• Within 60 days to first named insured
• By written notice within 10 days pro rata
• Refunds are not issued because contract is cancelled
• To first insured on pro rata basis

Answer:

• To first insured on pro rata basis

Question 6: On a Commercial general liability (CGL)- Coverage "B" Are:

Answer:

1) "PERSONAL INJURY"- injuries to third parties that result from mental anguish, false arrest or imprisonment, etc.2) "ADVERTISING INJURY": injuries that occur if, in the course of Advertising, labels, slanders, defames or violates the privacy of another Question 7: What are the common basic perils included in a "Causes of loss form"

Answer:

Sprinkler leakage and sinkhole collapse Question 8: Things to consider on "Retroactive date": 1) No coverage before this date 2) Inception date of FIRST claims-made policy 3) Future renewals with same insurer have SAME retro date.

Answer:

4) UNINTERRUPTED coverage from an accurate policy to latest claims-made

5) Eliminates duplication when claims-made REPLACES occurrence.

Question 9: Commercial Crime includes?

Answer:

1)Employee 2)Banking premises 3)Funds 4)Money 5)Securities

Question 10: In the optional BPP coverage section- What is "Inflation Guard"?

Answer:

Automatic Annual increase- 80% level of coverage required.Question 11: What coverage is it when the limits of insurance to which coverage applies are automatically increased by annual percentage in declarations and prorated?

• Inflation guard
• Agreed Value
• Extension of replacement cost
• Replacement Cost

Answer:

• Inflation guard

Question 12: What are the common broad perils included in a "Causes of loss form"?

Answer:

Sprinkler leakage, sinkhole collapse and water damage.Question 13: What type of coverage is it when the insured and insurer will determine a value for property and will not pay no more than the proportion limit?

• Inflation guard
• Replacement Cost
• Agreed Value
• Coinsurance rate

Answer:

• Agreed Value

Question 14: "Newly acquired or constructed" on a BPP coverage extension covers what?

Answer:

1) Up to 30 days of coverage 2) newly acquired building up to $250.000 3) personal property- up to $100.000 Question 15: In the optional BPP coverage section- What is "Replacement cost"?

Answer:

Instead of ACV- added though endorsement.

Question 16: True or False about Claims-made: if BI or PD occurs on or after the retroactive date, and the CLAIM is MADE during the policy period, the claim will be paid. If the claim is made AFTER the policy expires, there is NO coverage.

Answer:

TRUE Question 17: In the "available coverage forms", "Contractors equipment" is:

Answer:

Mobile equipment and contractor's equipment owned rented or borrowed.Question 18: What are the special open perils included in a "Causes of loss forms"?

Answer:

All risks except those specifically excluded.

Question 19: What is a policy that covers one type of insurance?

• monoline policy
• Interline policy
• Byline policy
• Single Coverage line policy

Answer:

• Monoline policy

Question 20: In the "available coverage forms", "Bailee's customer" is:

Answer:

Loss to customer's property in care, custody or control.Question 21: Buildings and personal property covers all the following except:

• Buildings
• Business Personal Property
• Property of Others
• Motorized vehicles on property

Answer:

• Motorized vehicles on property