FREE INSURANCE AND STUDY GAMES ABOUT PC

PDF Download FREE INSURANCE AND STUDY GAMES ABOUT P&C

INSURANCE EXAM QUESTIONS

Actual Qs and Ans Expert-Verified Explanation

This Exam contains:

-Guarantee passing score -425 Questions and Answers -format set of multiple-choice -Expert-Verified Explanation

Question 1: Nonconcurrency

Answer:

Situation that exists when the same property is covered by more than one policy, but the policies are not identical as to the extent of coverage provided.

Question 2: Trip transit policy

Answer:

(Nonfiled commercial inland marine policy) Covers a single shipment of goods.

Question 3: Valued policy (Agreed amount policy)

Answer:

Policy written for a specified amount that lists the value of the insured property as agreed to by both the insured and the insurer; this amount is used to value losses.

Question 4: Contractors equipment floater

Answer:

(Nonfiled commercial inland marine form) Covers the heavy machinery. equipment, and tools a contractor uses in business.

Question 5: Repair cost

Answer:

The cost to repair a damaged or destroyed item of property. May be the basis of reimbursement for a loss.

Question 6: Special damages

Answer:

Type of compensatory damages that reimburse the injured party for direct and specific expenses involved in the loss, such as medical expenses and lost wages,

Question 7: Public official bonds

Answer:

(Type of surety bond) Furnished by principals who are elected or appointed to fill positions of trust that guarantee their faithful and honest performance in office.

Question 8: PAP (Personal auto policy)

Answer:

Auto policy that provides property and liability coverage for both owned and nonowned autos used, maintained, or operated by the insured and her family members.

Question 9: Optional limits transportation expenses coverage endorsement

Answer:

PAP endorsement that allows the insured to select the daily and maximum limits of coverage provided for transportation and loss of use expenses.

Question 10: Imports

Answer:

(Category of nationwide definition) Includes risks eligible for ocean marine insurance.

Question 11: Condition contract

Answer:

A contract that contains a number of conditions that both parties must comply with.

Question 12: Outboard motor and boat insurance

Answer:

Insurance against physical damage to boats; usually provided by inland marine forms.

Question 13: Commercial lines

Answer:

Insurance designed for businesses, institutions, or organizations.

Question 14: CGL (Commercial general liability) coverage part

Answer:

(Part of the CPP) Provides liability coverage for businesses.

Question 15: Insurance guaranty association

Answer:

State funds created by law that pay claims of insurers domiciled in that state become insolvent; generated by making assessments against other insurers operating in the state.

Question 16: Owners and contractors protective liability coverage form

Answer:

Commercial general liability coverage form that covers claims caused by the negligence of a contractor or subcontractor hired by the insured.

Question 17: Robbery

Answer:

In crime insurance, the taking or attempted taking of property by one who has cause or threatened to cause bodily harm, or committed a witnessed obviously unlawful act.

Question 18: FELA (Federal employers liability act)

Answer:

Federal law that provides benefits to injured railroad workers who are exempt under state workers' compensation laws.

Question 19: Implied warranties

Answer:

(Ocean marine insurance) Warranties that are not written into the policy, but have become a part of the policy by custom.

Question 20: Assessment mutual company

Answer:

Mutual insurance company that charges members a pro-rata share of losses ate the end of each policy period.

Question 21: Package policy (Multiline policy)

Answer:

Policy that includes more than one type of insurance coverage.

Question 22: Condominium commercial unit-owner coverage form

Answer:

(Commercial property coverage form the may only be purchase by owners of commercial condominiums.) Covers the condominium's contents, including business personal property and the personal property of others.

Question 23: Concealment

Answer:

The withholding of a material fact involved in the contract on which the insurer relies.

Question 24: Underinsured motorists coverage

Answer:

Auto coverage that pays the difference between the insured's actual damages for BI and the amount of liability insurance carried by the as-fault drive; may be added to the personal of commercial auto policy endorsement.Question 25: Longshore and Harbor Workers' Compensation Act coverage endorsement

Answer:

Used with the Workers' Compensation and Employers Liability policy that covers the additional benefit required by federal law for maritime workers injured while working on navigable waters or shore-site areas.

Question 26: Dwelling policy

Answer:

Policy provides property coverage to individuals and families; covers dwellings, other structures, personal property, and fair rental value.