CISR COMMERCIAL CASUALTY 1 EVALUATION 2026/2027
QUESTIONS AND SOLUTIONS RATED A+
✔✔Environmental Impairment Liability - ✔✔Environmental impairment liability occurs
when the
operations or products of a business cause environmental
harm. For example, gas tanks at a filling station could leak
into the soil. But pollutants can be practically any material
that is not where it is supposed to be.
✔✔Professional Liability - ✔✔Professional liability will vary depending on the nature
of the business and the state(s) in which operations are
conducted. Think of an accountant providing the wrong
advice to a client, resulting in IRS penalties and/or fines.
Doctors, engineers, attorneys, and even insurance agents are
widely understood to be acting as professionals. However,
professional liability can extend beyond these licensed types
of vocations.
✔✔Bailee Liability - ✔✔Bailee liability exists as a direct result of possessing another's
property. Businesses that have custody or control of the property of others have this
exposure.
✔✔Liability Triggers - ✔✔A liability trigger is an occurrence or accident
that causes a tort or civil wrong. In other words, it is an event in
which someone is either injured or property is damaged because of the actions or
inactions of another party. (2 Types: Direct Liability and Vicarious Liability)
✔✔Direct Liability - ✔✔Direct liability occurs as a result of one's own conduct. A
landscaping contractor can be directly liable for their employee's hearing loss if they fail
to provide their crew with
appropriate safety equipment.
✔✔Vicarious/Contingent Liability - ✔✔Vicarious liability is the liability of one party based
upon the liability of another. Liability is said to be imputed (transferred from one party to
the other). Many times, the person or
organization is not actively involved in the conduct that causes injury or damage and, in
fact, may have actually discouraged it or tried to prevent it.
✔✔Types of Legal Liability - ✔✔1. Torts (Negligence, Intentional tors, Strict
liability/absolute liability
2. Statutes (Laws written by legislative bodies, Modifies common law)
3. Contracts (Assumption of liability, breach of contract)
✔✔Examples of intentional torts include: - ✔✔a) Libel
, b) Slander
c) Wrongful entry or wrongful eviction
d) Assault and/or battery
e) Wrongful detention
f) False arrest
g) Copyright infringement, trademark infringement, etc.
✔✔Intentional Torts - ✔✔While negligence is an act committed in such a way that is
considered accidental, an intentional tort is a voluntary act,
done intentionally, which results in injury or loss to another.
Examples of intentional torts include:
a) Libel
b) Slander
c) Wrongful entry or wrongful eviction
d) Assault and/or battery
e) Wrongful detention
f) False arrest
g) Copyright infringement, trademark infringement, etc.
✔✔Libel - ✔✔is the act of writing and publishing
untrue and damaging information about another person or business.
✔✔Slander - ✔✔intentional tort delivered in a spoken form
✔✔Common law - ✔✔the set of legal rules used in the United States to resolve
civil—not criminal—disputes in courts. In modern society, every entity has
responsibilities or
obligations under the law for which they can be held legally liable if they have committed
a
civil wrong.
✔✔Liability - ✔✔the state of being bound or obliged in law or justice to do, pay, or make
good something; legal responsibility.
✔✔Liability Exposures / Major categories of business liability: - ✔✔Premises liability
Operations liability
Products liability
Completed operations liability
Automobile liability
Conveyance liability (mobile equipment)
Employer liability
Liquor liability
Environmental/pollution liability
Professional liability
Bailee liability
QUESTIONS AND SOLUTIONS RATED A+
✔✔Environmental Impairment Liability - ✔✔Environmental impairment liability occurs
when the
operations or products of a business cause environmental
harm. For example, gas tanks at a filling station could leak
into the soil. But pollutants can be practically any material
that is not where it is supposed to be.
✔✔Professional Liability - ✔✔Professional liability will vary depending on the nature
of the business and the state(s) in which operations are
conducted. Think of an accountant providing the wrong
advice to a client, resulting in IRS penalties and/or fines.
Doctors, engineers, attorneys, and even insurance agents are
widely understood to be acting as professionals. However,
professional liability can extend beyond these licensed types
of vocations.
✔✔Bailee Liability - ✔✔Bailee liability exists as a direct result of possessing another's
property. Businesses that have custody or control of the property of others have this
exposure.
✔✔Liability Triggers - ✔✔A liability trigger is an occurrence or accident
that causes a tort or civil wrong. In other words, it is an event in
which someone is either injured or property is damaged because of the actions or
inactions of another party. (2 Types: Direct Liability and Vicarious Liability)
✔✔Direct Liability - ✔✔Direct liability occurs as a result of one's own conduct. A
landscaping contractor can be directly liable for their employee's hearing loss if they fail
to provide their crew with
appropriate safety equipment.
✔✔Vicarious/Contingent Liability - ✔✔Vicarious liability is the liability of one party based
upon the liability of another. Liability is said to be imputed (transferred from one party to
the other). Many times, the person or
organization is not actively involved in the conduct that causes injury or damage and, in
fact, may have actually discouraged it or tried to prevent it.
✔✔Types of Legal Liability - ✔✔1. Torts (Negligence, Intentional tors, Strict
liability/absolute liability
2. Statutes (Laws written by legislative bodies, Modifies common law)
3. Contracts (Assumption of liability, breach of contract)
✔✔Examples of intentional torts include: - ✔✔a) Libel
, b) Slander
c) Wrongful entry or wrongful eviction
d) Assault and/or battery
e) Wrongful detention
f) False arrest
g) Copyright infringement, trademark infringement, etc.
✔✔Intentional Torts - ✔✔While negligence is an act committed in such a way that is
considered accidental, an intentional tort is a voluntary act,
done intentionally, which results in injury or loss to another.
Examples of intentional torts include:
a) Libel
b) Slander
c) Wrongful entry or wrongful eviction
d) Assault and/or battery
e) Wrongful detention
f) False arrest
g) Copyright infringement, trademark infringement, etc.
✔✔Libel - ✔✔is the act of writing and publishing
untrue and damaging information about another person or business.
✔✔Slander - ✔✔intentional tort delivered in a spoken form
✔✔Common law - ✔✔the set of legal rules used in the United States to resolve
civil—not criminal—disputes in courts. In modern society, every entity has
responsibilities or
obligations under the law for which they can be held legally liable if they have committed
a
civil wrong.
✔✔Liability - ✔✔the state of being bound or obliged in law or justice to do, pay, or make
good something; legal responsibility.
✔✔Liability Exposures / Major categories of business liability: - ✔✔Premises liability
Operations liability
Products liability
Completed operations liability
Automobile liability
Conveyance liability (mobile equipment)
Employer liability
Liquor liability
Environmental/pollution liability
Professional liability
Bailee liability
