Pearson VUE Property Insurance Practice Exam – 50 Verified Questions & Answers for 2024 Licensing

Pearson Vue Property Insurance Exam
Practice Questions with Verified Answers
100% Guarantee passing score of 90% or higher


Consist of 50 multichoice Questions with Answers



1. S is purchasing a Commercial Property policy to cover a commercial build-

ing with a replacement cost of $100,000. The policy includes an 80 percent

Coinsurance clause. To avoid a coinsurance penalty in the event of a partial loss,

S should purchase a policy with minimum limits of AT LEAST which of the

following amounts?


A. $100,000

B. $90,000

C. $80,000

D. $20,000

Answer: C




,2. The MAXIMUM amount a policy will pay in the event of a loss is called the:


A. coinsurance amount


B. deductible


C. limit of liability


D. pro rata return

Answer: C



3. The National Flood Insurance Program provides coverage for losses caused by

all of the following occurrences EXCEPT:


A. mudslides


B. runoff from heavy rain


C. overflow of tidal waters


D. water-main breakage

Answer: D


, 4. Special Form or Open Perils coverage:


A. Provides coverage against the named perils


B. Provides coverage against scheduled risks


C. Is limited by the named exclusions


D. Includes no exclusions

Answer: C




5. Which of the following businesses would be eligible for a Businessowners

policy?


A. Auto body shop


B. Theater


C. Branch bank