NY INDEPENDENT GENERAL ADJUSTER SERIES
17-70 CORRECT FINAL EXAM QUESTIONS AND
ANSWERS SURE A+
✔✔Jack is helping a friend move a pool table when he strains his back, causing a
disability. The insurer declines his claim because the injury is not considered accidental
under the terms of Jack's policy. Jack's policy must include; - ✔✔an accidental means
definition of an accident..
✔✔In order to issue a written binder for a commercial property policy, what is the
minimum consideration an agent must secure from an applicant? - ✔✔A promise to pay
the premium.
✔✔Does an aircraft policy cover a loss involving an unapproved pilot operating an
insured aircraft? - ✔✔No, a loss involving an unapproved pilot is excluded.
✔✔Under a business owners policy, the hired non-owner coverage would apply to: -
✔✔Vehicles borrowed by the insured.
✔✔An insured has a $2 million limit of insurance under a personal umbrella liability
policy with a $2,000 self-insured retention limit. The insured is sued for $1 million in
personal injury damages and $1.5 million in property damages arising from the same
, occurrence. The insured's underlying liability policies do not cover the damages. In this
case, the umbrella policy will pay: - ✔✔$1,998,000 of the damages. Since the
underlying coverage does not apply the insured must pay the $2,000 self-retained limit
and the umbrella insurer must pay the rest of the claim.
✔✔Which dwelling forms provide broad perils coverage for personal property? - ✔✔DP2
and DP3.
✔✔In ocean marine insurance, what is the purpose of the IVEL clause? - ✔✔To provide
excess hull and collision liability coverage.
✔✔An employee suffered a severe injury while operating a piece of machinery known to
be in need of repair. Unfamiliar with the workers compensation law, the spouse sued
the employer, claiming loss of consortium. What coverage if any in a standard workers
compensation policy would respond to this lawsuit? - ✔✔Employer's Liability Coverage.
✔✔What is the limit under the Businessowners Policy for pollution clean up? - ✔✔A
maximum of $10,000.
✔✔How are losses evaluated for payment under the Watercraft and Yacht policies? -
✔✔Actual cash value at the time of the loss.
✔✔Henry is the first named insured on a $1 million umbrella liability policy. His wife,
Dorothy, is also an insured. Both Henry and Dorothy were sued for $1 million in
separate, unrelated suits by separate third parties. Both insureds lost their suits on the
same day. In this possible but rare situation, if the umbrella policy is applicable and the
self-insured retention is not applicable: - ✔✔Henry will not receive more protection than
Dorothy and the policy could pay a total of the $2 million amount for the two awards,
subject to the "aggregate limit". .
✔✔The requirements of the Employment Retirement Income Security Act compel
employers to cover their professional liability exposure for honest errors and omissions
regarding employee benefit plans by purchasing: - ✔✔Fiduciary Liability.
✔✔How long is payroll coverage limited to in case of a business income loss under the
BOP? - ✔✔60 days.
✔✔Is coverage under the Terrorism Risk Insurance Act mandatory? - ✔✔No.
✔✔The most comprehensive coverage provided by the Dwelling Property program is
found in the: - ✔✔DP3.
17-70 CORRECT FINAL EXAM QUESTIONS AND
ANSWERS SURE A+
✔✔Jack is helping a friend move a pool table when he strains his back, causing a
disability. The insurer declines his claim because the injury is not considered accidental
under the terms of Jack's policy. Jack's policy must include; - ✔✔an accidental means
definition of an accident..
✔✔In order to issue a written binder for a commercial property policy, what is the
minimum consideration an agent must secure from an applicant? - ✔✔A promise to pay
the premium.
✔✔Does an aircraft policy cover a loss involving an unapproved pilot operating an
insured aircraft? - ✔✔No, a loss involving an unapproved pilot is excluded.
✔✔Under a business owners policy, the hired non-owner coverage would apply to: -
✔✔Vehicles borrowed by the insured.
✔✔An insured has a $2 million limit of insurance under a personal umbrella liability
policy with a $2,000 self-insured retention limit. The insured is sued for $1 million in
personal injury damages and $1.5 million in property damages arising from the same
, occurrence. The insured's underlying liability policies do not cover the damages. In this
case, the umbrella policy will pay: - ✔✔$1,998,000 of the damages. Since the
underlying coverage does not apply the insured must pay the $2,000 self-retained limit
and the umbrella insurer must pay the rest of the claim.
✔✔Which dwelling forms provide broad perils coverage for personal property? - ✔✔DP2
and DP3.
✔✔In ocean marine insurance, what is the purpose of the IVEL clause? - ✔✔To provide
excess hull and collision liability coverage.
✔✔An employee suffered a severe injury while operating a piece of machinery known to
be in need of repair. Unfamiliar with the workers compensation law, the spouse sued
the employer, claiming loss of consortium. What coverage if any in a standard workers
compensation policy would respond to this lawsuit? - ✔✔Employer's Liability Coverage.
✔✔What is the limit under the Businessowners Policy for pollution clean up? - ✔✔A
maximum of $10,000.
✔✔How are losses evaluated for payment under the Watercraft and Yacht policies? -
✔✔Actual cash value at the time of the loss.
✔✔Henry is the first named insured on a $1 million umbrella liability policy. His wife,
Dorothy, is also an insured. Both Henry and Dorothy were sued for $1 million in
separate, unrelated suits by separate third parties. Both insureds lost their suits on the
same day. In this possible but rare situation, if the umbrella policy is applicable and the
self-insured retention is not applicable: - ✔✔Henry will not receive more protection than
Dorothy and the policy could pay a total of the $2 million amount for the two awards,
subject to the "aggregate limit". .
✔✔The requirements of the Employment Retirement Income Security Act compel
employers to cover their professional liability exposure for honest errors and omissions
regarding employee benefit plans by purchasing: - ✔✔Fiduciary Liability.
✔✔How long is payroll coverage limited to in case of a business income loss under the
BOP? - ✔✔60 days.
✔✔Is coverage under the Terrorism Risk Insurance Act mandatory? - ✔✔No.
✔✔The most comprehensive coverage provided by the Dwelling Property program is
found in the: - ✔✔DP3.
