CIC COMMERCIAL PROPERTY UPDATED EXAMS
PAPER SCRIPTED QUESTIONS AND ANSWERS
SURE A+
✔✔Value Reporting Form - ✔✔Used when values fluctuate and the insured reports
values periodically
✔✔Value reporting no report penalty - ✔✔If values are never reported, a first late report
example pays 75% of the otherwise payable amount
✔✔Value reporting underreporting penalty - ✔✔Loss is paid proportionally based on
reported versus actual values
✔✔Debris Removal - ✔✔Expense must be reported within 180 days of direct physical
loss
✔✔Debris Removal limit - ✔✔Pays up to 25% of the amount paid for direct physical loss
or damage plus the deductible amount
✔✔Debris Removal extra amount - ✔✔Additional $25,000 if the limit is exhausted or
debris removal exceeds the available amount
, ✔✔Debris Removal with no covered property damaged - ✔✔Up to $5,000 per location
for debris removal of other property
✔✔Preservation of Property - ✔✔Applies when property is moved to protect it from a
covered loss; covers transit and temporary location
✔✔Preservation of Property duration - ✔✔30 days after property is first moved
✔✔Newly Acquired Building coverage - ✔✔Coverage Extension up to $250,000
✔✔Newly Acquired Building duration - ✔✔Ends after 30 days, when values are
reported, or policy expiration, whichever comes first
✔✔Personal Effects and Property of Others - ✔✔Coverage Extension up to $2,500 at
each location
✔✔Higher Limits endorsement - ✔✔Raises limits for items such as Fire Department
Service Charge, Electronic Data, Valuable Papers and Records, and Non-owned
Detached Trailers
✔✔Deductible with separate limits - ✔✔If more than one item is damaged and separate
limits apply, the deductible is generally applied only once
✔✔Deductibles By Location - ✔✔Single occurrence at multiple locations can trigger a
separate deductible at each location
✔✔Multiple Deductible Form - ✔✔Single occurrence at multiple locations applies only
the largest applicable deductible
✔✔Vacancy threshold - ✔✔After a building has been vacant more than 60 consecutive
days, vacancy penalties apply
✔✔Vacancy penalty - ✔✔Certain causes of loss are not covered and payment for
others is reduced by 15%
✔✔Default valuation - ✔✔Actual Cash Value unless changed
✔✔Stock sold but not delivered valuation - ✔✔Valued at selling price less discounts and
expenses otherwise incurred
✔✔Functional Building Valuation - ✔✔Modifies the Valuation Condition for older
buildings using less costly materials
PAPER SCRIPTED QUESTIONS AND ANSWERS
SURE A+
✔✔Value Reporting Form - ✔✔Used when values fluctuate and the insured reports
values periodically
✔✔Value reporting no report penalty - ✔✔If values are never reported, a first late report
example pays 75% of the otherwise payable amount
✔✔Value reporting underreporting penalty - ✔✔Loss is paid proportionally based on
reported versus actual values
✔✔Debris Removal - ✔✔Expense must be reported within 180 days of direct physical
loss
✔✔Debris Removal limit - ✔✔Pays up to 25% of the amount paid for direct physical loss
or damage plus the deductible amount
✔✔Debris Removal extra amount - ✔✔Additional $25,000 if the limit is exhausted or
debris removal exceeds the available amount
, ✔✔Debris Removal with no covered property damaged - ✔✔Up to $5,000 per location
for debris removal of other property
✔✔Preservation of Property - ✔✔Applies when property is moved to protect it from a
covered loss; covers transit and temporary location
✔✔Preservation of Property duration - ✔✔30 days after property is first moved
✔✔Newly Acquired Building coverage - ✔✔Coverage Extension up to $250,000
✔✔Newly Acquired Building duration - ✔✔Ends after 30 days, when values are
reported, or policy expiration, whichever comes first
✔✔Personal Effects and Property of Others - ✔✔Coverage Extension up to $2,500 at
each location
✔✔Higher Limits endorsement - ✔✔Raises limits for items such as Fire Department
Service Charge, Electronic Data, Valuable Papers and Records, and Non-owned
Detached Trailers
✔✔Deductible with separate limits - ✔✔If more than one item is damaged and separate
limits apply, the deductible is generally applied only once
✔✔Deductibles By Location - ✔✔Single occurrence at multiple locations can trigger a
separate deductible at each location
✔✔Multiple Deductible Form - ✔✔Single occurrence at multiple locations applies only
the largest applicable deductible
✔✔Vacancy threshold - ✔✔After a building has been vacant more than 60 consecutive
days, vacancy penalties apply
✔✔Vacancy penalty - ✔✔Certain causes of loss are not covered and payment for
others is reduced by 15%
✔✔Default valuation - ✔✔Actual Cash Value unless changed
✔✔Stock sold but not delivered valuation - ✔✔Valued at selling price less discounts and
expenses otherwise incurred
✔✔Functional Building Valuation - ✔✔Modifies the Valuation Condition for older
buildings using less costly materials
