PA PROPERTY AND CASUALTY TEST PAPER 2025/2026
QUESTIONS WITH ANSWERS RATED A+
✔✔binder - ✔✔instrument that provides interim, temporary coverage can be oral or
written
✔✔boatowners - ✔✔policy covering property and casualty losses associated with
owning or using a boat
✔✔bodily injury - ✔✔used extensively in liability contracts, refers to injuries sustained by
a human being or the death of a human being
✔✔boiler and machinery - ✔✔A policy or coverage form designed to cover damage
occurring to and damage
occurring from a Boiler or other piece of machinery. Only sudden and accidental
damage is covered.
Today, more commonly known as Equipment Breakdown Coverage.
✔✔breach of duty - ✔✔Failure to use a reasonable standard of care.
✔✔board form homeowners - ✔✔HO-2
✔✔board perils - ✔✔peril or cause of loss form in which 14 named perils plus collapse
can be covered in commercial lines policy
12 names perils plus collapse can be covered in personal lines forms
✔✔building ordinance - ✔✔building codes dictate how buildings must be constructed to
meet safety and other concerns. financial losses suffered by an insured that result from
the imposition of _________ are either not covered or limited - must be purchased with
endorsement
✔✔burglary - ✔✔taking of property from a premises that is closed and locked - must be
visible signs of forced entry or exit
✔✔business income - ✔✔Coverage is available under Commercial Property insurance,
Business Income is designed to replace lost income following a covered loss that
interrupts the income of a business.
Business income is a type of Business Interruption Insurance.
✔✔Business Interruption Insurance - ✔✔Coverage available under Commercial
Property insurance including
Business Income coverage and Extra Expense coverage
, ✔✔Business Personal Property - ✔✔Property owned, leased or rented by a business
that is used to conduct business (computers, desks, file cabinets, etc.)
✔✔Businessowners Policy (BOP) - ✔✔A policy for smaller, low-risk businesses that
includes both property and liability insurance bundled together in a package.
✔✔cancellation - ✔✔termination of an insurance contract during a policy period
either company or insured may effect cancellation
✔✔captive agency - ✔✔An agency agreement in which the agency agrees to
exclusively represent one insurance company.
✔✔care, custody or control - ✔✔Property in your possession belonging to others for
which you are legally responsible. Liability contracts typically exclude coverage for
property in your care, custody or control thus creating the need for Bailees coverage.
✔✔Cargo Coverage - ✔✔available in Ocean Marine policy. pays for cargo owner if the
cargo is damaged while being shipped over water
✔✔casualty - ✔✔the side of P&C insurance business concerned with protecting your
pocketbook should you become legally liable got injuring a third party's body or property
✔✔Catastrophic loss - ✔✔A loss that causes damage to a significant number of people
at the same time. Catastrophic losses include floods, wars, and earthquakes and are
typically excluded.
✔✔Certificate of Insurance - ✔✔proof of in force insurance
✔✔claims made policy - ✔✔A Commercial Liability policy in which the policy covering a
risk at the time a claim is made is obligated to defend or settle covered claims.
✔✔coinsurance clause - ✔✔A tool used by insurers in Commercial Property policies to
encourage policyowners to purchase sufficient insurance. Claims for a partial loss to
property not insured to a certain percentage of value will be reduced.
✔✔collapse - ✔✔cause of loss found in either board or special.
for buildinngs
✔✔collision - ✔✔available under coverage for Damage to Your Auto. occurs if your
automobile collides with another stationary object, another car or if it overturns
✔✔Commercial General Liability Policy - ✔✔The primary liability policy for commercial
entities. Can be sold as part of the Commercial Package policy or as a monoline
coverage.
QUESTIONS WITH ANSWERS RATED A+
✔✔binder - ✔✔instrument that provides interim, temporary coverage can be oral or
written
✔✔boatowners - ✔✔policy covering property and casualty losses associated with
owning or using a boat
✔✔bodily injury - ✔✔used extensively in liability contracts, refers to injuries sustained by
a human being or the death of a human being
✔✔boiler and machinery - ✔✔A policy or coverage form designed to cover damage
occurring to and damage
occurring from a Boiler or other piece of machinery. Only sudden and accidental
damage is covered.
Today, more commonly known as Equipment Breakdown Coverage.
✔✔breach of duty - ✔✔Failure to use a reasonable standard of care.
✔✔board form homeowners - ✔✔HO-2
✔✔board perils - ✔✔peril or cause of loss form in which 14 named perils plus collapse
can be covered in commercial lines policy
12 names perils plus collapse can be covered in personal lines forms
✔✔building ordinance - ✔✔building codes dictate how buildings must be constructed to
meet safety and other concerns. financial losses suffered by an insured that result from
the imposition of _________ are either not covered or limited - must be purchased with
endorsement
✔✔burglary - ✔✔taking of property from a premises that is closed and locked - must be
visible signs of forced entry or exit
✔✔business income - ✔✔Coverage is available under Commercial Property insurance,
Business Income is designed to replace lost income following a covered loss that
interrupts the income of a business.
Business income is a type of Business Interruption Insurance.
✔✔Business Interruption Insurance - ✔✔Coverage available under Commercial
Property insurance including
Business Income coverage and Extra Expense coverage
, ✔✔Business Personal Property - ✔✔Property owned, leased or rented by a business
that is used to conduct business (computers, desks, file cabinets, etc.)
✔✔Businessowners Policy (BOP) - ✔✔A policy for smaller, low-risk businesses that
includes both property and liability insurance bundled together in a package.
✔✔cancellation - ✔✔termination of an insurance contract during a policy period
either company or insured may effect cancellation
✔✔captive agency - ✔✔An agency agreement in which the agency agrees to
exclusively represent one insurance company.
✔✔care, custody or control - ✔✔Property in your possession belonging to others for
which you are legally responsible. Liability contracts typically exclude coverage for
property in your care, custody or control thus creating the need for Bailees coverage.
✔✔Cargo Coverage - ✔✔available in Ocean Marine policy. pays for cargo owner if the
cargo is damaged while being shipped over water
✔✔casualty - ✔✔the side of P&C insurance business concerned with protecting your
pocketbook should you become legally liable got injuring a third party's body or property
✔✔Catastrophic loss - ✔✔A loss that causes damage to a significant number of people
at the same time. Catastrophic losses include floods, wars, and earthquakes and are
typically excluded.
✔✔Certificate of Insurance - ✔✔proof of in force insurance
✔✔claims made policy - ✔✔A Commercial Liability policy in which the policy covering a
risk at the time a claim is made is obligated to defend or settle covered claims.
✔✔coinsurance clause - ✔✔A tool used by insurers in Commercial Property policies to
encourage policyowners to purchase sufficient insurance. Claims for a partial loss to
property not insured to a certain percentage of value will be reduced.
✔✔collapse - ✔✔cause of loss found in either board or special.
for buildinngs
✔✔collision - ✔✔available under coverage for Damage to Your Auto. occurs if your
automobile collides with another stationary object, another car or if it overturns
✔✔Commercial General Liability Policy - ✔✔The primary liability policy for commercial
entities. Can be sold as part of the Commercial Package policy or as a monoline
coverage.
