TEXAS PROPERTY AND CASUALTY
EXAM 2026 COMPLETE QUESTIONS
AND VERIFIED ANSWERS GRADED
A+
◉ What is the maximum coverage for a residence under the Regular
Program of the national flood program? Answer: $250,000
◉ What coverage will an insurance agent request if a client's
homeowners policy application is rejected? Answer: Assigned Risk Plan
◉ Where can a homeowner get more liability coverage? Answer:
Umbrella
◉ Which type of property is not covered by a Personal Effects Floater?
Answer: Buildings
◉ What kind of insurance can a person buy from the FAIR plan after
being denied by 2 admitted insurers in Texas? Answer: Wind
◉ What must be done after a claim on a Texas Windstorm Insurance
Association (TWIA) Policy? Answer: Must be inspected
◉ What does an Umbrella Liability policy provide? Answer: An
additional layer of insurance protection above the limits in the
underlying primary policies
,◉ What does the Businessowners Policy, Employee Dishonesty
Optional Coverage cover? Answer: Damage or loss to business or
personal property, including money and securities, resulting from
dishonest acts of employees
◉ After how many consecutive days of vacancy does the vacancy
provision in the Business Owners Policy apply? Answer: 30
◉ Which coverage under the Businessowners Policy covers bodily
injury or property damage that occurs away from the premises? Answer:
Products and Completed Operations
◉ After a claim has been paid under Businessowners Liability
Coverage, recovery rights belong to whom? Answer: The insurer
◉ Which business is eligible for coverage on a Businessowners policy?
Answer: 6-unit apartment building
◉ Outdoor furniture in the Businessowners policy is covered under
which section? Answer: Building
◉ What tort is NOT included in personal injury under a Businessowners
Policy? Answer: Professional malpractice
, ◉ What is the maximum number of stories for a motel to be written
under the Businessowners Policy? Answer: 3 stories
◉ Which coverage is NOT included in a builders risk policy? Answer:
Liability
◉ What should a roofer use to cover tools and supplies at a job site?
Answer: Contractors equipment floater
◉ What kind of insurance does a beautician need if a customer becomes
gravely ill from a dye application? Answer: Professional
◉ If an insurance producer fails to renew an insured's policy and a claim
occurs, what covers the wrongful action? Answer: Errors and Omissions
Liability Policy
◉ Where do Inland Marine policies generally cover property? Answer:
On land only
◉ What does Equipment Breakdown coverage not cover? Answer:
Motor vehicles
◉ What does Coverage A in a Homeowners Policy include? Answer:
The dwelling on the premises, plus structures attached to the dwelling.
EXAM 2026 COMPLETE QUESTIONS
AND VERIFIED ANSWERS GRADED
A+
◉ What is the maximum coverage for a residence under the Regular
Program of the national flood program? Answer: $250,000
◉ What coverage will an insurance agent request if a client's
homeowners policy application is rejected? Answer: Assigned Risk Plan
◉ Where can a homeowner get more liability coverage? Answer:
Umbrella
◉ Which type of property is not covered by a Personal Effects Floater?
Answer: Buildings
◉ What kind of insurance can a person buy from the FAIR plan after
being denied by 2 admitted insurers in Texas? Answer: Wind
◉ What must be done after a claim on a Texas Windstorm Insurance
Association (TWIA) Policy? Answer: Must be inspected
◉ What does an Umbrella Liability policy provide? Answer: An
additional layer of insurance protection above the limits in the
underlying primary policies
,◉ What does the Businessowners Policy, Employee Dishonesty
Optional Coverage cover? Answer: Damage or loss to business or
personal property, including money and securities, resulting from
dishonest acts of employees
◉ After how many consecutive days of vacancy does the vacancy
provision in the Business Owners Policy apply? Answer: 30
◉ Which coverage under the Businessowners Policy covers bodily
injury or property damage that occurs away from the premises? Answer:
Products and Completed Operations
◉ After a claim has been paid under Businessowners Liability
Coverage, recovery rights belong to whom? Answer: The insurer
◉ Which business is eligible for coverage on a Businessowners policy?
Answer: 6-unit apartment building
◉ Outdoor furniture in the Businessowners policy is covered under
which section? Answer: Building
◉ What tort is NOT included in personal injury under a Businessowners
Policy? Answer: Professional malpractice
, ◉ What is the maximum number of stories for a motel to be written
under the Businessowners Policy? Answer: 3 stories
◉ Which coverage is NOT included in a builders risk policy? Answer:
Liability
◉ What should a roofer use to cover tools and supplies at a job site?
Answer: Contractors equipment floater
◉ What kind of insurance does a beautician need if a customer becomes
gravely ill from a dye application? Answer: Professional
◉ If an insurance producer fails to renew an insured's policy and a claim
occurs, what covers the wrongful action? Answer: Errors and Omissions
Liability Policy
◉ Where do Inland Marine policies generally cover property? Answer:
On land only
◉ What does Equipment Breakdown coverage not cover? Answer:
Motor vehicles
◉ What does Coverage A in a Homeowners Policy include? Answer:
The dwelling on the premises, plus structures attached to the dwelling.
