FUNDAMENTALS OF INSURANCE – PRACTICE
EXAM TEST STUDY SET |WITH 100%VERIFIED
SOLUTIONS, EXAMS OF ADVANCED EDUCATION
Three Main Categories Of Risk - ANSWER-1) Personal Risk
2)Property Risk
3)Liability Risk
What are the FIVE elements of a contract?
A) Agreement, Risk, Loss, Consideration, Legality
B) Legal Capacity, Legality of Object, Consideration, Agreement, Genuine Intention
,C) Agreement, Legal Capacity, Risk, Loss, Consideration.
D) None of the above - ANSWER-B) Legal Capacity, Legality of Object, Consideration,
Agreement, Genuine Intention
What is needed for an agreement to exist? - ANSWER-An offer made; AND an
unconditional acceptance of the terms of that offer
What do these abbreviations stand for?
1) T/a
2)D/b/a
3)O/a - ANSWER-1) Trading as
2) Doing Business as
3) Operating as
How long are insurance contracts usually written for?
A) 6 Months
B) 3 Years
,C) 1 Year
D) For life unless cancelled and reissued - ANSWER-C) 1 Year
An insurer is not required to provide coverage when losses are caused by:
A) Application of heat
B) Lightening / Electrical surges that cause damage to electrical devices
C) Contamination by radioactive material
D) All of the Above
E) A and C - ANSWER-D) All of the Above
The onus to prove Misrepresentation rests with:
A) The Insured
B) The Insurer
C) The Police
D) A Bailee for hire - ANSWER-B) The Insurer
, Material Facts can include:
A) Details concerning previous claims
B) Details regarding previous cancellation or refusal of Insurance
C) Details concerning existing property protection systems
D) All of the Above
E) A and B - ANSWER-D) All of the Above
The following are examples of the Statutory Condition Requirements After Loss
EXCEPT:
A) Required to give a complete inventory of destroyed or damaged property
B) Stating when and how the loss occurred
C) Stating the loss did not occur due to a negligent or willing act
D) All of the above - ANSWER-D) All of the above
Which of the following is NOT a Statutory Condition of Insuring the peril of fire?
EXAM TEST STUDY SET |WITH 100%VERIFIED
SOLUTIONS, EXAMS OF ADVANCED EDUCATION
Three Main Categories Of Risk - ANSWER-1) Personal Risk
2)Property Risk
3)Liability Risk
What are the FIVE elements of a contract?
A) Agreement, Risk, Loss, Consideration, Legality
B) Legal Capacity, Legality of Object, Consideration, Agreement, Genuine Intention
,C) Agreement, Legal Capacity, Risk, Loss, Consideration.
D) None of the above - ANSWER-B) Legal Capacity, Legality of Object, Consideration,
Agreement, Genuine Intention
What is needed for an agreement to exist? - ANSWER-An offer made; AND an
unconditional acceptance of the terms of that offer
What do these abbreviations stand for?
1) T/a
2)D/b/a
3)O/a - ANSWER-1) Trading as
2) Doing Business as
3) Operating as
How long are insurance contracts usually written for?
A) 6 Months
B) 3 Years
,C) 1 Year
D) For life unless cancelled and reissued - ANSWER-C) 1 Year
An insurer is not required to provide coverage when losses are caused by:
A) Application of heat
B) Lightening / Electrical surges that cause damage to electrical devices
C) Contamination by radioactive material
D) All of the Above
E) A and C - ANSWER-D) All of the Above
The onus to prove Misrepresentation rests with:
A) The Insured
B) The Insurer
C) The Police
D) A Bailee for hire - ANSWER-B) The Insurer
, Material Facts can include:
A) Details concerning previous claims
B) Details regarding previous cancellation or refusal of Insurance
C) Details concerning existing property protection systems
D) All of the Above
E) A and B - ANSWER-D) All of the Above
The following are examples of the Statutory Condition Requirements After Loss
EXCEPT:
A) Required to give a complete inventory of destroyed or damaged property
B) Stating when and how the loss occurred
C) Stating the loss did not occur due to a negligent or willing act
D) All of the above - ANSWER-D) All of the above
Which of the following is NOT a Statutory Condition of Insuring the peril of fire?
