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Fundamentals of Insurance: Final Questions and Answers with
Solutions UPDATED!!!!
98% of those who purchase crop insurance buy ___________
protection. - ANSWER Revenue
A combine fire that burns your bean field and the neighbor corn
would be covered by your crop insurance - ANSWER False
Amount person must pay before insurance starts to kick in -
ANSWER Deductible
Claim - ANSWER request for reimbursement to cover losses due
to an event
Conditions - ANSWER A requirement that must be met before
the policy will pay
Coverage - ANSWER promise to pay a certain type of claim if it
occurs
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Declarations page - ANSWER where the insured's address is
found
Deductible - ANSWER Amount paid by insured before insurer
pays on a claim
Definitions - ANSWER A glossary or terms used in a policy
Does your landlords policy cover your personal belongings? -
ANSWER No
Endorsement - ANSWER Describes obligations of the policy
holder and provider
Exclusions - ANSWER A policy provision that eliminates
coverage
Explain the different between replacement cost and actual cost
value when determining the value of a claim. - ANSWER
Replacement cost is what it would cost to rebuild your home
and actual cost value is what your item is worth
Fundamentals of Insurance: Final Questions and Answers with
Solutions UPDATED!!!!
98% of those who purchase crop insurance buy ___________
protection. - ANSWER Revenue
A combine fire that burns your bean field and the neighbor corn
would be covered by your crop insurance - ANSWER False
Amount person must pay before insurance starts to kick in -
ANSWER Deductible
Claim - ANSWER request for reimbursement to cover losses due
to an event
Conditions - ANSWER A requirement that must be met before
the policy will pay
Coverage - ANSWER promise to pay a certain type of claim if it
occurs
, Page |2
Declarations page - ANSWER where the insured's address is
found
Deductible - ANSWER Amount paid by insured before insurer
pays on a claim
Definitions - ANSWER A glossary or terms used in a policy
Does your landlords policy cover your personal belongings? -
ANSWER No
Endorsement - ANSWER Describes obligations of the policy
holder and provider
Exclusions - ANSWER A policy provision that eliminates
coverage
Explain the different between replacement cost and actual cost
value when determining the value of a claim. - ANSWER
Replacement cost is what it would cost to rebuild your home
and actual cost value is what your item is worth
