Fundamentals of Insurance - Chapter 6 Exam Questions and Correct Answers (Rated A+) Already
Passed
True or False? A person living with the named insured as husband or wife for a period of two years is
considered an insured - Answers False
True or False? The definition of dwelling includes buildings which are rented to others on a long term
lease - Answers False
True or False? A detached private structure includes any structure or building separated from the
dwelling by a clear space - Answers True
True or False? The definition of personal property excludes trailers, aircraft and some motorized vehicles
- Answers True
True or False? Additional Living Expense covers all expenses incurred when the dwelling is damaged by
an insured peril and made unfit for occupancy - Answers True
Would a portable gas barbeque be considered in the definition of dwelling? - Answers No
Outdoor trees, shrubs and plants are insured for all of the following perils, except one. Pick the
exception;
1. Vandalism
2. Windstorm
3. Riot
4. Lightning - Answers 2. Windstorm
Which of the following does the Insuring Agreement for Personal Property include coverage for?
1. Automobiles
2. Trailers
3. Aircraft
4. Watercraft - Answers 4. Watercraft
Consequential Loss Coverage would provide coverage for food spoilage from - Answers The deep freeze
breaking down
The damage caused by a "Falling Object" will only be insured if the "Falling Object" - Answers Strikes the
exterior of the building
, Identify four persons included in the definition of "you" or "your" and who would be "insureds" under
the policy - Answers -The person named on the policy
- Spouse or partner of the insured
- The relatives or either spouse/partner
- Any person under the age of 21 in the care of the Named Insured
When only one person is named as the Insured on the policy and the claim is made by their "spouse" or
common law partner, the insurer will agree to pay the claim when certain evidence is provided to it.
Identify three ways in which such persons might qualify for coverage - Answers - Evidence that the
person is married to the insured
- Evidence the person has been living with the insured in a conjugal relationship outside marriage for 3
years
- Evidence the person is the natural or adoptive parent of a child, living with the Named Insured for a
period of one year
What are the two coverage sections each Homeowners Form contains? - Answers Section 1 - Property
Coverages
Section 2 - Liability Coverages
What is included under Property Coverages on a Homeowners Form? - Answers A) Dwelling Building
B) Detached Private Structures
C) Personal Property
D) Additional Living Expense
What is included under Liability Coverages on a Homeowners Form? - Answers E) Personal Liability
F) Voluntary Medical Payments
G) Voluntary Payments for Damage to Property
H) Voluntary Compensation for Residence Employees
Identify the items insured under Coverage A - Dwelling Building - Answers The dwelling and attached
structures (ex. the house itself, and any attached garage, greenhouse, sundeck, etc)
You can apply up to ___% from the amount of insurance on the dwelling building towards "Outdoor
Trees, Shrubs and Plants" - Answers 5%
Passed
True or False? A person living with the named insured as husband or wife for a period of two years is
considered an insured - Answers False
True or False? The definition of dwelling includes buildings which are rented to others on a long term
lease - Answers False
True or False? A detached private structure includes any structure or building separated from the
dwelling by a clear space - Answers True
True or False? The definition of personal property excludes trailers, aircraft and some motorized vehicles
- Answers True
True or False? Additional Living Expense covers all expenses incurred when the dwelling is damaged by
an insured peril and made unfit for occupancy - Answers True
Would a portable gas barbeque be considered in the definition of dwelling? - Answers No
Outdoor trees, shrubs and plants are insured for all of the following perils, except one. Pick the
exception;
1. Vandalism
2. Windstorm
3. Riot
4. Lightning - Answers 2. Windstorm
Which of the following does the Insuring Agreement for Personal Property include coverage for?
1. Automobiles
2. Trailers
3. Aircraft
4. Watercraft - Answers 4. Watercraft
Consequential Loss Coverage would provide coverage for food spoilage from - Answers The deep freeze
breaking down
The damage caused by a "Falling Object" will only be insured if the "Falling Object" - Answers Strikes the
exterior of the building
, Identify four persons included in the definition of "you" or "your" and who would be "insureds" under
the policy - Answers -The person named on the policy
- Spouse or partner of the insured
- The relatives or either spouse/partner
- Any person under the age of 21 in the care of the Named Insured
When only one person is named as the Insured on the policy and the claim is made by their "spouse" or
common law partner, the insurer will agree to pay the claim when certain evidence is provided to it.
Identify three ways in which such persons might qualify for coverage - Answers - Evidence that the
person is married to the insured
- Evidence the person has been living with the insured in a conjugal relationship outside marriage for 3
years
- Evidence the person is the natural or adoptive parent of a child, living with the Named Insured for a
period of one year
What are the two coverage sections each Homeowners Form contains? - Answers Section 1 - Property
Coverages
Section 2 - Liability Coverages
What is included under Property Coverages on a Homeowners Form? - Answers A) Dwelling Building
B) Detached Private Structures
C) Personal Property
D) Additional Living Expense
What is included under Liability Coverages on a Homeowners Form? - Answers E) Personal Liability
F) Voluntary Medical Payments
G) Voluntary Payments for Damage to Property
H) Voluntary Compensation for Residence Employees
Identify the items insured under Coverage A - Dwelling Building - Answers The dwelling and attached
structures (ex. the house itself, and any attached garage, greenhouse, sundeck, etc)
You can apply up to ___% from the amount of insurance on the dwelling building towards "Outdoor
Trees, Shrubs and Plants" - Answers 5%
