AD Banker Property & Casualty Practice Test Questions and Answers Best rated A+ Guaranteed Success Latest Update

Which part of a property insurance policy describes the perils? - CORRECT ANSWER-Insuring Agreement The formal statement that verifies details so the insurer can determine liability is called _ _____ __ ____. - CORRECT ANSWER-A Proof of Loss An applicant makes a statement on the insurance application which becomes part of the contract that she has an alarm system which qualifies her for a premium discount. This statement is considered a ________. - CORRECT ANSWER-Warranty In an insurance contract, the value that each party gives the other is called the _____________. - CORRECT ANSWER-Consideration An insurer that is authorized to do business in a particular state is said to be ________. - CORRECT ANSWER-Admitted All of the following are true regarding the Broad Theft Endorsement on a Dwelling policy, except: A. It applies only to owner occupied structures B. It may be added to any of the Dwelling forms C. It also includes vandalism resulting from theft D. Only on-premises coverage is available - CORRECT ANSWER-Only on-premises coverage is available Section II of a Homeowner's policy may cover which of the following incidents? A. Bodily injury caused by an insured's activities while picnicking at a city park B. An insured's guest damages the stair railing during a visit C. The insured hits and injures a swimmer while enjoying a ride in an owned inboard motorboat D. The homeowner's family dog bites their 2 year old son - CORRECT ANSWER-Bodily injury caused by an insured's activities while picnicking at a city park Medical payments under Section II of the Homeowners Policy would cover all of the following, except: A. Prosthetic devices B. Medical and surgical expensesC. Loss of Income of an injured Person D. Dental expenses - CORRECT ANSWER-Loss of Income of an injured person Under the unendorsed Homeowners Policy, jewelry is covered up to what amount? - CORRECT ANSWER-$1,500 for loss by theft In respect to Section II of a Homeowners Policy, all of the following are true, except: A. Individual and family cemetery plots qualify as an insured location B. Bodily injury or property damage arising from a vehicle used to assist the handicapped, such as a wheelchair, is covered C. Damage to Property of Others pays up to $1,000 per occurrence D. Section II losses are subject to a standard $250 deductible - CORRECT ANSWERSection II losses are subject to a standard $250 deductible An insured has a homeowners broad form with a $200,000 limit on the dwelling and the standard deductible. If the insured's $2,500 boat and trailer are stolen from his driveway, what is the most the insured will collect from the policy? - CORRECT ANSWER-$1,250 All of the following are covered under Section II of the Homeowners Policy, except: A. Medical expenses for an accident arising out of the premises or non-business activities of an insured B. The insured's liability for bodily injury to others C. Property of the insured D. The insured's liability for damages to property of others - CORRECT ANSWER-Property of the insured Coverage E of a Homeowners Policy would cover which of the following? A. The transmission of a communicable disease by an insured B. Bodily Injury arising out of the sale of a controlled substance C. Bodily Injury to a guest caused by the insured's pet dog D. Bodily Injury to an insured - CORRECT ANSWER-Bodily Injury to a guest caused by the insured's pet dog Which of the following is true concerning the Home Day Care Coverage Endorsement to the Homeowners Policy? A. It covers injury to an employee, as well as attendees, arising out of day care operations B. It provides Commercial General Liability coverage for the day care operation C. It extends Section II coverages to the insured's home day care business D. It covers injury to attendees while loading or unloading them from draft or saddle animals - CORRECT ANSWER-It extends Section II coverages to the insured's home day care business Which of the following are covered under section II of the Homeowners Policy, except: A. Medical expenses for an accident arising out of the premises or non-business activities of an insured B. The insured's liability for bodily injury to othersC. Property of the insured D. The insured's liability for damages to property of others - CORRECT ANSWER-Property of the insured Coverage E of a Homeowners Policy would cover which of the following? A. The transmission of a communicable disease by an insured B. Bodily Injury arising out of the sale of a controlled substance C. Bodily Injury to a guest caused by the insured's pet dog D. Bodily Injury to an insured - CORRECT ANSWER-Bodily Injury to a guest caused by the insured's pet dog Which of the following is true concerning the Home Day Care Coverage Endorsement to the Homeowners Policy? A. It covers injury to an employee, as well as attendees, arising out of day care operations B. It provides Commercial General Liability coverage for the day care operation C. It extends Section II coverages to the insured's home day care business D. It covers injury to attendees while loading or unloading them from draft or saddle animals - CORRECT ANSWER-It extends Section II coverages to the insured's home day care business