VA P&C PRACTICE EXAM
When must an insured choose to waive subrogation?
A. At application
B. Before a loss occurs
C. With proof of loss
D. After claim is closed - ANSWERS-B. Before a loss occurs
Swimming pools are covered under what Coverage?
A. Coverage A
B. Coverage B
C. Coverage C
D. Coverage D - ANSWERS-B. Coverage B
What HO policy form is best for a farm?
A. HO-2
B. HO-8
C. HO-5
D. None, farms are not eligible for any HO policies - ANSWERS-D. None, farms are
not eligible for any HO policies
,Automatic Increase or Inflation Guard is an automatic provision in the BOP
providing a standard increase in the limit of coverage annually at what percent?
A. 5
B. 8
C. 10
D. 12 - ANSWERS-B. 8
Which of the following is not a property coverage offered under the BOP?
A. The Standard Form
B. The Broad Form
C. The Special Form - ANSWERS-B. The Broad Form
Businessowners Package Policy is very similar to which other policy?
A. Business Auto Policy
B. Commercial Package Policy
C. Commercial General Liability
D. Dwelling Policy - ANSWERS-C. Commercial General Liability
Vandalism and Malicious Mischief is an optional coverage that can be added by
endorsement to which policy?
A. DP-3
,B. DP-4
C. DP-2
D. DP-1 - ANSWERS-D. DP-1
(INCLUDED IN ALL OTHER DP POLICIES AUTOMATICALLY)
An insured must file a proof of loss within how many days after a loss?
A. 90
B. 120
C. 30
D. 60 - ANSWERS-B. 120
Which of the following is not true about Difference in Conditions (DIC) insurance?
A. DIC policies provide property and liability coverages
B. Basic perils are usually excluded by DIC policies
C. DIC supplements other coverages and fills insurance gaps.
D. DIC can provide considerable protection at a reasonable cost - ANSWERS-A. DIC
policies provide property and liability coverages
Under the Equipment Breakdown Protection Coverage Form, which of the
following causes of damage to covered equipment would not be covered?
A. Electrical failure, including arcing
B. Leakage at any valve fitting, shaft seal, gland packing, joint, or connection
, C. Failure of pressure or vacuum equipment
D. Mechanical failures, including rupture or bursting caused by centrifugal force -
ANSWERS-B. Leakage at any valve fitting, shaft seal, gland packing, joint, or
connection
What part of an insurance policy describes what property and/or perils will be
covered by the contract?
A. Definitions
B. Exclusions
C. Insuring Agreement
D. Conditions - ANSWERS-C. Insuring Agreement
Which of the following represents pure risk?
A. Purchase of stock in a new company
B. An investment in real estate
C. Purchase of a lottery ticket
D. Chance of fire in a dwelling - ANSWERS-D. Chance of fire in a dwelling
WHICH OF THE FOLLOWING IS A PERIL?
A. ATTITUDE TOWARDS SAFETY
B. FIRE
C. DEDUCTIBLE
D. AN EXCLUSION - ANSWERS-B. FIRE
When must an insured choose to waive subrogation?
A. At application
B. Before a loss occurs
C. With proof of loss
D. After claim is closed - ANSWERS-B. Before a loss occurs
Swimming pools are covered under what Coverage?
A. Coverage A
B. Coverage B
C. Coverage C
D. Coverage D - ANSWERS-B. Coverage B
What HO policy form is best for a farm?
A. HO-2
B. HO-8
C. HO-5
D. None, farms are not eligible for any HO policies - ANSWERS-D. None, farms are
not eligible for any HO policies
,Automatic Increase or Inflation Guard is an automatic provision in the BOP
providing a standard increase in the limit of coverage annually at what percent?
A. 5
B. 8
C. 10
D. 12 - ANSWERS-B. 8
Which of the following is not a property coverage offered under the BOP?
A. The Standard Form
B. The Broad Form
C. The Special Form - ANSWERS-B. The Broad Form
Businessowners Package Policy is very similar to which other policy?
A. Business Auto Policy
B. Commercial Package Policy
C. Commercial General Liability
D. Dwelling Policy - ANSWERS-C. Commercial General Liability
Vandalism and Malicious Mischief is an optional coverage that can be added by
endorsement to which policy?
A. DP-3
,B. DP-4
C. DP-2
D. DP-1 - ANSWERS-D. DP-1
(INCLUDED IN ALL OTHER DP POLICIES AUTOMATICALLY)
An insured must file a proof of loss within how many days after a loss?
A. 90
B. 120
C. 30
D. 60 - ANSWERS-B. 120
Which of the following is not true about Difference in Conditions (DIC) insurance?
A. DIC policies provide property and liability coverages
B. Basic perils are usually excluded by DIC policies
C. DIC supplements other coverages and fills insurance gaps.
D. DIC can provide considerable protection at a reasonable cost - ANSWERS-A. DIC
policies provide property and liability coverages
Under the Equipment Breakdown Protection Coverage Form, which of the
following causes of damage to covered equipment would not be covered?
A. Electrical failure, including arcing
B. Leakage at any valve fitting, shaft seal, gland packing, joint, or connection
, C. Failure of pressure or vacuum equipment
D. Mechanical failures, including rupture or bursting caused by centrifugal force -
ANSWERS-B. Leakage at any valve fitting, shaft seal, gland packing, joint, or
connection
What part of an insurance policy describes what property and/or perils will be
covered by the contract?
A. Definitions
B. Exclusions
C. Insuring Agreement
D. Conditions - ANSWERS-C. Insuring Agreement
Which of the following represents pure risk?
A. Purchase of stock in a new company
B. An investment in real estate
C. Purchase of a lottery ticket
D. Chance of fire in a dwelling - ANSWERS-D. Chance of fire in a dwelling
WHICH OF THE FOLLOWING IS A PERIL?
A. ATTITUDE TOWARDS SAFETY
B. FIRE
C. DEDUCTIBLE
D. AN EXCLUSION - ANSWERS-B. FIRE
