XCEL Solutions Chapter 4: Property and Casualty Insurance
Policy Provisions Exam Questions AND Correct Answers
A combined single limit - ✔✔A total policy limit per occurrence
Additional Insured - ✔✔A third party who is added to a policy because
they also have the potential to suffer a loss.
Additional Insureds - ✔✔Third parties that may be listed on the policy
because they also possess an insurable interest int he subject of the
insurance policy.
Aggregate Limit - ✔✔The total amount a policy will pay for all covered
losses in a given policy period regardless of the total number of claims
brought by any number of claimants.
Aggregate Limit - ✔✔The total amount a policy will pay for all covered
losses that occur during a given policy period, regardless of the total
number of claims brought by any number of claimants.
For insurance properties, the aggregate is calculated by adding all of
the sub-limits together
Agreed Value - ✔✔Coverage available through specialty insurance
companies. Coverage is based on the value of a property that is
, agreed to by both the insured and the company based on appraisal
and any other corroborating documentation.
Apportionment - ✔✔Describes how the losses will be allocated
between all insurance companies that insure the same piece of
property if a loss were to occur
Appraisal - ✔✔A condition in the property policy that addresses how
a situation in which the insured and the insurer cannot agree on the
value of a loss is handled.
Appraisal - ✔✔If value of loss is in dispute -
Two parties cannot agree on the value of the loss, so they each select
a disinterested third-party appraiser to assess. The appraisers select a
third appraiser aka the umpire
Arbitration/mediation - ✔✔If any other fact is in dispute (not value of
loss) -
Also deals with dispute resolution, but not limited to loss settlement
disputes.
Disagreeing parties hire 2 arbitrators and share the expense of an
umpire. After the arbitrators have reviewed details of dispute, the
Policy Provisions Exam Questions AND Correct Answers
A combined single limit - ✔✔A total policy limit per occurrence
Additional Insured - ✔✔A third party who is added to a policy because
they also have the potential to suffer a loss.
Additional Insureds - ✔✔Third parties that may be listed on the policy
because they also possess an insurable interest int he subject of the
insurance policy.
Aggregate Limit - ✔✔The total amount a policy will pay for all covered
losses in a given policy period regardless of the total number of claims
brought by any number of claimants.
Aggregate Limit - ✔✔The total amount a policy will pay for all covered
losses that occur during a given policy period, regardless of the total
number of claims brought by any number of claimants.
For insurance properties, the aggregate is calculated by adding all of
the sub-limits together
Agreed Value - ✔✔Coverage available through specialty insurance
companies. Coverage is based on the value of a property that is
, agreed to by both the insured and the company based on appraisal
and any other corroborating documentation.
Apportionment - ✔✔Describes how the losses will be allocated
between all insurance companies that insure the same piece of
property if a loss were to occur
Appraisal - ✔✔A condition in the property policy that addresses how
a situation in which the insured and the insurer cannot agree on the
value of a loss is handled.
Appraisal - ✔✔If value of loss is in dispute -
Two parties cannot agree on the value of the loss, so they each select
a disinterested third-party appraiser to assess. The appraisers select a
third appraiser aka the umpire
Arbitration/mediation - ✔✔If any other fact is in dispute (not value of
loss) -
Also deals with dispute resolution, but not limited to loss settlement
disputes.
Disagreeing parties hire 2 arbitrators and share the expense of an
umpire. After the arbitrators have reviewed details of dispute, the
