2024 /2025 | © copyright | This work may not be copied for profit gain Excel!
Utah Property-Property and Casualty Basics
Questions and Correct Answers | Latest
Update
Which of the following is a property policy with a provision agreed upon by the insurer and
insured as to the amount of insurance that represents a fair valuation for the property at the
time the insurance is written and suspends any coinsurance or other contribution clauses in
the policy? a) Market value b) Agreed value c) Replacement cost d) Stated amount.
✓ -:- B
With regard to fire insurance premiums, structures with which of the following type of
construction would most likely have the most favorable premium rate for the peril of fire?
a) Masonry b) Noncombustible c) Fire-resistive d) Frame.
✓ -:- C
A contractor who builds homes has never made a claim on his business insurance policy. His
agent discovers that his policy is written on a scheduled rating. If the contractor changes to
an experience rating policy, which is most likely? a) Premiums would be unchanged b)
Coinsurance would be necessary c) Premiums would go down d) Premiums would go up.
✓ -:- C
1|P a g e | G r a d e A + | 2 0 2 0 2 5
, 2024 /2025 | © copyright | This work may not be copied for profit gain Excel!
Property insurance that provides $100,000 coverage for a building and $50,000 coverage for
personal property at a single location is called a) Blanket coverage b) Described coverage c)
Specific coverage d) Schedule coverage.
✓ -:- C
The secretary of the treasury estimates that a recent terrorist attack caused losses of more
than $100 billion. According to the 2007 reauthorization of the Terrorism Risk Insurance
Program, how many days' notice must the secretary provide to Congress? a) 15 b) 30 c) 45
d) 60.
✓ -:- A
Compared with other drivers in his age group, a driver has had more minor accidents and
traffic violation. Which of the following rating types would most accurately reflect the
driver's true insurance risk? a) Retrospective b) Special c) Schedule d) Experience.
✓ -:- A
An additional loss that results from a direct loss of property is called a/an a) Liability loss b)
Punitive loss c) Indirect loss d) Proximate loss.
✓ -:- C
2|P a g e | G r a d e A + | 2 0 2 0 2 5
Utah Property-Property and Casualty Basics
Questions and Correct Answers | Latest
Update
Which of the following is a property policy with a provision agreed upon by the insurer and
insured as to the amount of insurance that represents a fair valuation for the property at the
time the insurance is written and suspends any coinsurance or other contribution clauses in
the policy? a) Market value b) Agreed value c) Replacement cost d) Stated amount.
✓ -:- B
With regard to fire insurance premiums, structures with which of the following type of
construction would most likely have the most favorable premium rate for the peril of fire?
a) Masonry b) Noncombustible c) Fire-resistive d) Frame.
✓ -:- C
A contractor who builds homes has never made a claim on his business insurance policy. His
agent discovers that his policy is written on a scheduled rating. If the contractor changes to
an experience rating policy, which is most likely? a) Premiums would be unchanged b)
Coinsurance would be necessary c) Premiums would go down d) Premiums would go up.
✓ -:- C
1|P a g e | G r a d e A + | 2 0 2 0 2 5
, 2024 /2025 | © copyright | This work may not be copied for profit gain Excel!
Property insurance that provides $100,000 coverage for a building and $50,000 coverage for
personal property at a single location is called a) Blanket coverage b) Described coverage c)
Specific coverage d) Schedule coverage.
✓ -:- C
The secretary of the treasury estimates that a recent terrorist attack caused losses of more
than $100 billion. According to the 2007 reauthorization of the Terrorism Risk Insurance
Program, how many days' notice must the secretary provide to Congress? a) 15 b) 30 c) 45
d) 60.
✓ -:- A
Compared with other drivers in his age group, a driver has had more minor accidents and
traffic violation. Which of the following rating types would most accurately reflect the
driver's true insurance risk? a) Retrospective b) Special c) Schedule d) Experience.
✓ -:- A
An additional loss that results from a direct loss of property is called a/an a) Liability loss b)
Punitive loss c) Indirect loss d) Proximate loss.
✓ -:- C
2|P a g e | G r a d e A + | 2 0 2 0 2 5
