Property and Casualty Insurance
Mastery Exam A 125 correct solutions.
Property and Casualty Insurance
Mastery Exam A 125 correct solutions.
An insured rents a car while on vacation in Canada and causes an accident. Is there coverage under his
personal auto policy? - ANSWER The loss is covered under an unendorsed personal auto policy.
Under the workers' compensation laws, which of the following would NOT be covered? - ANSWER
Heart-related illness resulting from hereditary causes
An insurance policy covers fire, will not cover nuclear contamination, and loss must be reported as soon
as possible. In this order, where are these facts found in the policy? - ANSWER Insuring agreement,
exclusions, and conditions
Which of the following principles holds that a person should not profit by collecting on insurance? -
ANSWER Principle of indemnity
Which of the following is NOT a benefit of workers' compensation insurance? - ANSWER Pain and
suffering
The building and personal property form covers all the following EXCEPT - ANSWER highway billboards
The personal auto policy's comprehensive physical damage coverage covers all of the following EXC -
ANSWER freezing
Who is responsible for controlling the content, form, and distribution of insurance policy
advertisements? - ANSWER The insurer
An automobile policy may be canceled for any of the following reasons EXCEPT - ANSWER being involved
in a hit-and-run accident for which the insured was not at fault
, Property and Casualty Insurance
Mastery Exam A 125 correct solutions.
The Terrorism Risk Insurance Act provides federal compensation for insured losses resulting from acts of
terrorism. All of the following would qualify as acts of terrorism EXCEPT - ANSWER acts causing property
damage and loss of life in foreign countries
Which of the following is NOT a commercial general liability exposure? - ANSWER Owned investment
portfolio
Open peril coverage for both the dwelling and personal property is provided by the - ANSWER HO-5
All of the following would be covered property by the CPP building and personal property form EXCEPT -
ANSWER bailee property
An agent license is renewed by paying the applicable renewal fee and completing - ANSWER continuing
education
In an insurance transaction, who does a licensed agent legally represent? - ANSWER Insurer
The listing of the perils covered under a policy is found in - ANSWER the insuring agreement
If a loss paid by a workers' compensation policy was caused by a negligent third party, the insurer
retains the right to - ANSWER subrogate
The term unoccupied means - ANSWER the insured has gone on vacation
States give an insurer permission to transact insurance with a certificate of - ANSWER authority
Which of the following situations would most likely be covered by a commercial general liability (CGL)
policy? - ANSWER A surfboard falls off a shelf and injures a shopper.
Which of the following is inland marine insurance? - ANSWER Commercial property floaters
Mastery Exam A 125 correct solutions.
Property and Casualty Insurance
Mastery Exam A 125 correct solutions.
An insured rents a car while on vacation in Canada and causes an accident. Is there coverage under his
personal auto policy? - ANSWER The loss is covered under an unendorsed personal auto policy.
Under the workers' compensation laws, which of the following would NOT be covered? - ANSWER
Heart-related illness resulting from hereditary causes
An insurance policy covers fire, will not cover nuclear contamination, and loss must be reported as soon
as possible. In this order, where are these facts found in the policy? - ANSWER Insuring agreement,
exclusions, and conditions
Which of the following principles holds that a person should not profit by collecting on insurance? -
ANSWER Principle of indemnity
Which of the following is NOT a benefit of workers' compensation insurance? - ANSWER Pain and
suffering
The building and personal property form covers all the following EXCEPT - ANSWER highway billboards
The personal auto policy's comprehensive physical damage coverage covers all of the following EXC -
ANSWER freezing
Who is responsible for controlling the content, form, and distribution of insurance policy
advertisements? - ANSWER The insurer
An automobile policy may be canceled for any of the following reasons EXCEPT - ANSWER being involved
in a hit-and-run accident for which the insured was not at fault
, Property and Casualty Insurance
Mastery Exam A 125 correct solutions.
The Terrorism Risk Insurance Act provides federal compensation for insured losses resulting from acts of
terrorism. All of the following would qualify as acts of terrorism EXCEPT - ANSWER acts causing property
damage and loss of life in foreign countries
Which of the following is NOT a commercial general liability exposure? - ANSWER Owned investment
portfolio
Open peril coverage for both the dwelling and personal property is provided by the - ANSWER HO-5
All of the following would be covered property by the CPP building and personal property form EXCEPT -
ANSWER bailee property
An agent license is renewed by paying the applicable renewal fee and completing - ANSWER continuing
education
In an insurance transaction, who does a licensed agent legally represent? - ANSWER Insurer
The listing of the perils covered under a policy is found in - ANSWER the insuring agreement
If a loss paid by a workers' compensation policy was caused by a negligent third party, the insurer
retains the right to - ANSWER subrogate
The term unoccupied means - ANSWER the insured has gone on vacation
States give an insurer permission to transact insurance with a certificate of - ANSWER authority
Which of the following situations would most likely be covered by a commercial general liability (CGL)
policy? - ANSWER A surfboard falls off a shelf and injures a shopper.
Which of the following is inland marine insurance? - ANSWER Commercial property floaters
