KAPLAN BUSINESS QUIZ: END OF UNIT REVIEW TERMS

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KAPLAN BUSINESS QUIZ: END OF UNIT REVIEW TERMS &

DEFINITIONS EXAM QUESTIONS

Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -100 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: which of the following would not be covered under coverage A or coverage b of the homeowners policy A)an insureds gardening storage shed B)a stack of lumber at the edge of the insureds property that will be used to build a storage shed

• a barn rented to a neighbor for a retail craft store

D)the insureds home

Answer:

C Question 2: all of the following classes of personal property are specifically excluded from homeowners coverage EXCEPT

• credit cards

B)animals C)property of boarders D)clothing

Answer:

D

Question 3: The failure to disclose known facts is

• fraud

B)concealment C)waiver D)material misrepresentation

Answer:

B Question 4: Which of the following terms describes the person listed first on the declarations page of a policy when there is more than one named insured?A)named insured B)additional insured C)first name insured D)policyholder

Answer:

C Question 5: Anthony intentionally lied on his insurance application to obtain coverage. This is an example of A)estoppel B)fraud C)concealment D)adhesion

Answer:

B Question 6: Which of the following is not a part of the structure of a property or casualty insurance policy?

• conditions

B)endorsements C)Declarations D)explanations

Answer:

D

Question 7: Marcus has two policies that will cover his $20,000 loss. Company A will pay the first $15,000, and Company B pays the remainder. In this example, Company A's policy is considered A)pro rata insurance

• primary insurance

C)excess insurance D)other insurance

Answer:

B Question 8: Thomas wants the maximum comprehensive protection for his home and personal property. Which homeowners policy should he purchase?

A)HO-2

B)HO-1

C)HO-8

D)HO-5

Answer:

D

Question 9: which is not an element of insurable risk?

A)accidental B)measurable C)catastrophic D)affordable

Answer:

C

Question 10: a statement that is guaranteed to be true is

A)warranty B)a misrepresentation

• a representation

D)an impersonation

Answer:

A

Question 11: Damage to covered property caused by glass breakage is

A)covered in DP-1 B)covered in all dwelling forms C)excluded in all dwelling forms D)covered in DP-2 and DP-3

Answer:

C Question 12: Under the NFIP policy, losses to which of the following could be paid on a replacement cost basis?

• single family homes
• watercraft

C)mobile homes

• personal property

Answer:

A Question 13: all of the following could be covered under a dwelling policy except

• townhouse

B)home rented to another person C)premanently located mobile home D)six-unit apartment building

Answer:

D

Question 14: an aggreagte limit is the most a company will pay for

• an event in the lifetime of the contract
• any one evednt
• over the policy period
• any one person of item of property

Answer:

C