Texas Property and Casualty Exam Prep Terms With Complete Solution

A restaurant is out of business for 3 days after an insured's automobile hits an electrical pole. The pole falls and hits the building, knocking out all electrical power supply. Which of the following is NOT covered under the insured driver's auto policy? - Answer Lost revenues from the restaurant. The restaurant will need a business income policy to provide this coverage. Supplementary payments on a CGL provide all of the following EXCEPT Up to? - Answer $500 a day for lost earnings and $2,000 for the cost of bail bonds. Supplementary payments will cover only $250 for these. Which of the following is NOT settled on an actual cash value basis while covered under the business property coverage form? - Answer Valuable papers and records are valued at the cost of blank materials for reproducing the records and labor to copy the records. In the event of a loss covered by the policy, the named insured is required to? - Answer Submit to the insurer a signed sworn proof of loss within the allotted time (usually 60 days, but may vary). Property insurance that provides $100,000 coverage for a building and $50,000 coverage for personal property at a single location is called? - Answer One location is insured for a specific amount of insurance on the structure and contents. The date of "maximum medical improvement" is defined as? - Answer The earliest of the date that, based on medical probability, further medical improvement to an injury can no longer be reasonably anticipated, or 104 weeks from the date the income benefits begin. Insurers must file all rates and forms for Commissioner's approval within how many days prior to use? - Answer Each filing of rates and forms must be made no later than 60 days before the date of delivery or use. In Texas, the state's continuing education requirement are? - Answer Completing 24 hours of CE each biennium. An agent's license must be renewed every 2 years on their birthday in either even or odd numbered years depending on when the license was issued. Agents must complete 24 hours of continuing education every renewal period, unless otherwise exempt. Commisioner of Insurance is appointed by who? - Answer Appointed by the governor for a 2 year term. Commisioner must have? - Answer At least 5 years experience in business or government. Commisioner must provide a surety bond of? - Answer $50,000. State fees in excess of _______ must be submitted by electronic transfer? - Answer $500,000. Person must respond to Commissioners inquiries within? - Answer 15 days Insurers must be examined at least? - Answer Once every 5 years. What is the waiting period for licensing if it has been revoked? - Answer 5 years. Temporary license is valid up to? - Answer 90 days. Emergency license is valid up to? - Answer 90 days and may be renewed for an additional 90 days. Flood Insurance requires a _____+hour certification class? - Answer 3 hour. Change of address, felony convictions, or administrative actions must be reported to the Commissioner on a ____ basis? - Answer 30 days. Suspected fradulent acts must be reported to the Commissioner or law enforcement within _____ days? - Answer 30 days. Surplus lines insurer's capital and surplus must be at least _____ million? - Answer $15 million. Approval for rates and forms must be filed how many days before use? - Answer 60 days. 10 days in advance for cancellation, 30 days in advance for non renewal. - Answer