CPCU 552 FINAL EXAM 2026 ACTUAL QUESTIONS AND
SOLUTIONS RATED A+
✔✔How much does the CGL form pay out in lost earnings? - ✔✔$250
✔✔What are the 6 limits in the CGL form? - ✔✔1.) Each occurrence limit (related to
coverage A and C only)
2.) Personal and advertising injury limit (related to coverage B only)
3.) Damages of premise rented to you limit (usually $100K, but can increase)
4.) Medical expense limit (5K, but can be increased)
5.) General aggregate limit
6.) Products completed operation aggregate limit
✔✔What are the 9 CGL conditions? - ✔✔1.) Bankruptcy
2.) Duties in the event of occurrence, offense, claim or suit
3.) Legal Action against us
4.) Other insurance
5.) Premium audit
6.) representation
7.) Separation of insureds
8.) Transfer of rights of recovery against others to us
9.) When we do not renew
✔✔Is business personal property covered under a CGL form? - ✔✔No
✔✔When does the nuclear energy exclusion endorsement need to be added to a CGL
policy? - ✔✔Any time there is a commercial liability coverage part
✔✔What are the 6 unmanned aircrafts endorsements?
What is the definition of an unmanned aircraft? - ✔✔1.) exclusion for coverage A and B
2.) Exclusion for coverage A only (Affirms that coverage does not apply to bodily injury
or property damage arising from certain activities of "unmanned aircraft.")
3.) exclusion for coverage B only
4.) limited coverage for A and B
5.) limited coverage for A only
6.) limited coverage for B only
that control is not by a person in or on the aircraft
✔✔What are the 4 other GL coverage forms? - ✔✔1.) Electronic data liability coverage
form
2.) Owners and contractors protective liability coverage form (OCP-- occurrence only)
3.) Railroad Protective Liability Coverage form (coverage A= BI and PD, coverage
B=property PD) One of the coverage limits applies to physical damage to property
owned by or leased or entrusted to the railroad
4.) Liquor Liability Coverage Form
, ✔✔BACF (Business Auto Coverage Form) has 3 duties to pay, what are they? - ✔✔1.)
Duty to Pay damage
2.) Duty to pay pollution costs or expense
3.) Duty to defend
✔✔What are the 6 exclusions under BACF? - ✔✔1.) Expected or intended injury and
contractual liability
2.) Workers Comp and Related
3.) Care, Custody, or control
4.) Exclusions related to loading and unloading
5.) Operations and Completed Operations
6.) Pollution, war and racing
✔✔When transporting property, is that property covered if damaged when unloading un
BACF? - ✔✔cover damage from accidents that occur while property is being moved
from a covered auto to the place where the property is finally delivered. Damage to the
pavers is not covered because of the care, custody, or control exclusion.
✔✔Section III of the BACF is physical damage coverage. What are the 4 that are
covered and 2 extensions? - ✔✔1.) Collision
2.) Comprehensive (animal damage)
3.) Specified Causes of Loss
4.) Towing
Extensions:
1.) Transportation (when vehicle is stolen)
2.) Loss of Use expenses
✔✔What are the 5 loss conditions of BACF part 4? - ✔✔1.) Appraisal for physical
damages (employees are not insured while using their own autos in the named
insured's business.)
2.) Duties in the event of a loss (The insurer must defend against even false or
fraudulent claims or suits as long as they allege covered damages. Fellow employees'
suits are excluded)
3.) Legal action against the insurer
4.) Loss payment
5.) Transfer of rights against others
✔✔What policy is needed when employees drive their own cars for business? -
✔✔Employers nonownership liability
✔✔A hit and run is covered by what symbol? - ✔✔Symbol 6—Owned Autos Subject to
a Compulsory Uninsured Motorists Law
SOLUTIONS RATED A+
✔✔How much does the CGL form pay out in lost earnings? - ✔✔$250
✔✔What are the 6 limits in the CGL form? - ✔✔1.) Each occurrence limit (related to
coverage A and C only)
2.) Personal and advertising injury limit (related to coverage B only)
3.) Damages of premise rented to you limit (usually $100K, but can increase)
4.) Medical expense limit (5K, but can be increased)
5.) General aggregate limit
6.) Products completed operation aggregate limit
✔✔What are the 9 CGL conditions? - ✔✔1.) Bankruptcy
2.) Duties in the event of occurrence, offense, claim or suit
3.) Legal Action against us
4.) Other insurance
5.) Premium audit
6.) representation
7.) Separation of insureds
8.) Transfer of rights of recovery against others to us
9.) When we do not renew
✔✔Is business personal property covered under a CGL form? - ✔✔No
✔✔When does the nuclear energy exclusion endorsement need to be added to a CGL
policy? - ✔✔Any time there is a commercial liability coverage part
✔✔What are the 6 unmanned aircrafts endorsements?
What is the definition of an unmanned aircraft? - ✔✔1.) exclusion for coverage A and B
2.) Exclusion for coverage A only (Affirms that coverage does not apply to bodily injury
or property damage arising from certain activities of "unmanned aircraft.")
3.) exclusion for coverage B only
4.) limited coverage for A and B
5.) limited coverage for A only
6.) limited coverage for B only
that control is not by a person in or on the aircraft
✔✔What are the 4 other GL coverage forms? - ✔✔1.) Electronic data liability coverage
form
2.) Owners and contractors protective liability coverage form (OCP-- occurrence only)
3.) Railroad Protective Liability Coverage form (coverage A= BI and PD, coverage
B=property PD) One of the coverage limits applies to physical damage to property
owned by or leased or entrusted to the railroad
4.) Liquor Liability Coverage Form
, ✔✔BACF (Business Auto Coverage Form) has 3 duties to pay, what are they? - ✔✔1.)
Duty to Pay damage
2.) Duty to pay pollution costs or expense
3.) Duty to defend
✔✔What are the 6 exclusions under BACF? - ✔✔1.) Expected or intended injury and
contractual liability
2.) Workers Comp and Related
3.) Care, Custody, or control
4.) Exclusions related to loading and unloading
5.) Operations and Completed Operations
6.) Pollution, war and racing
✔✔When transporting property, is that property covered if damaged when unloading un
BACF? - ✔✔cover damage from accidents that occur while property is being moved
from a covered auto to the place where the property is finally delivered. Damage to the
pavers is not covered because of the care, custody, or control exclusion.
✔✔Section III of the BACF is physical damage coverage. What are the 4 that are
covered and 2 extensions? - ✔✔1.) Collision
2.) Comprehensive (animal damage)
3.) Specified Causes of Loss
4.) Towing
Extensions:
1.) Transportation (when vehicle is stolen)
2.) Loss of Use expenses
✔✔What are the 5 loss conditions of BACF part 4? - ✔✔1.) Appraisal for physical
damages (employees are not insured while using their own autos in the named
insured's business.)
2.) Duties in the event of a loss (The insurer must defend against even false or
fraudulent claims or suits as long as they allege covered damages. Fellow employees'
suits are excluded)
3.) Legal action against the insurer
4.) Loss payment
5.) Transfer of rights against others
✔✔What policy is needed when employees drive their own cars for business? -
✔✔Employers nonownership liability
✔✔A hit and run is covered by what symbol? - ✔✔Symbol 6—Owned Autos Subject to
a Compulsory Uninsured Motorists Law
