MISSISSIPPI INSURANCE 2026/2027 QUESTIONS AND
SOLUTIONS RATED A+
✔✔In Mississippi, workers' compensation insurance is compulsory for private sector
employers who employ - ✔✔5 or more workers
✔✔To be eligible for coverage under the Mississippi Automobile Assigned Risk Plan, an
applicant must certify that she has sought unsuccessfully to obtain coverage within the
preceding - ✔✔60 days
✔✔To nonrenew an automobile insurance policy, an insurer must give the insured
written notice at least - ✔✔30 days in advance
✔✔If an insurer cancels an automobile policy for a reason other than nonpayment of
premium, the insurer must notify the named insured of possible eligibility for - ✔✔The
assigned risk plan
✔✔Workers' compensation total disability benefits are retroactive to the start of disability
if the disability continues for - ✔✔2 weeks
✔✔Workers' compensation benefits are subject to - ✔✔No dollar amount
✔✔Which of the following is correct regarding uninsured motorist coverage? - ✔✔The
insured may reject the coverage
✔✔When an industrial fire insurance policy is written in Mississippi, the maximum limit
of coverage that may be written for any one dwelling - ✔✔$40,000
✔✔When an industrial fire insurance policy is written in Mississippi, the maximum limit
of coverage that may be written on the contents of any one dwelling is - ✔✔$20,000
✔✔Under Mississippi's valued policy law, if a building is totally destroyed by fire, the
insurer - ✔✔Must pay the full amount of insurance
✔✔Which of the following may the Windstorm Underwriting Association use to
determine if a property is insurable - ✔✔Occupancy
✔✔The Windstorm Underwriting Association was created primarily to provide wind and
hail coverage for what areas of the state - ✔✔Coastal areas
✔✔Which of the following is NOT insurable with the Windstorm Underwriting
Association? - ✔✔Motor vehicles
, ✔✔An insurance company incorporated in Wisconsin and conducting business in
Wisconsin is known as a domestic company. What kind of company are they
considered of they do business in Minnesota? - ✔✔Foreign
✔✔All of the following statements about a stock insurance company are true EXCEPT -
✔✔A stock company is a participating company
✔✔What do insurance companies use to help predict how many losses will occur in a
group or class of individuals? - ✔✔The law of large numbers
✔✔States require companies to have a license to sell insurance in the state. The
license is called - ✔✔A certificate of authority
✔✔Which of the following is not a part of the structure of a property or casualty
insurance policy? - ✔✔Explanations
(DICEE)
Declarations - Insuring Agreement(s) - Conditions - Endorsements - Exclusions
✔✔Allison's auto insurance policy is due on the 10th of each month. Ever since she has
had the policy, she has sent the premium in on the 16th of the month. The insurer has
been accepting the premium this way for the past 5 years. A new CEO takes over and
decides to cancel Allison's policy for a nonpayment of premium. Allison contests this
decision and legally gets the policy reinstated. The decision to reinstate the policy is an
example of - ✔✔Estoppel
✔✔Which of the following terms describes the person listed first on the declarations
page of a policy when there is more than one named insured? - ✔✔First-named insured
✔✔When an insured decides to cancel an insurance policy before the expiration date,
the unearned premium is returned on - ✔✔A short rate basis
✔✔Greg's policy states that a loss will not be covered unless it occurs within the United
States or Canada. What is the name of this provision in his policy? - ✔✔The policy
territory provision
✔✔Todd and Mary have insurance protection for their home with a policy deductible of
$500. One night, a thunderstorm knock a tree onto their roof and causes $2,500 in
damage. How much money will the insurance company pay to Todd and Mary to fix
their roof - ✔✔$2,000
✔✔An insured owns a $200,000 home and insures it for $100,000. If the insured's home
was completely destroyed by a fire, how much money would the insurance company
pay if the insured has a policy that requires a minimum of 80% coverage - ✔✔$100,000
SOLUTIONS RATED A+
✔✔In Mississippi, workers' compensation insurance is compulsory for private sector
employers who employ - ✔✔5 or more workers
✔✔To be eligible for coverage under the Mississippi Automobile Assigned Risk Plan, an
applicant must certify that she has sought unsuccessfully to obtain coverage within the
preceding - ✔✔60 days
✔✔To nonrenew an automobile insurance policy, an insurer must give the insured
written notice at least - ✔✔30 days in advance
✔✔If an insurer cancels an automobile policy for a reason other than nonpayment of
premium, the insurer must notify the named insured of possible eligibility for - ✔✔The
assigned risk plan
✔✔Workers' compensation total disability benefits are retroactive to the start of disability
if the disability continues for - ✔✔2 weeks
✔✔Workers' compensation benefits are subject to - ✔✔No dollar amount
✔✔Which of the following is correct regarding uninsured motorist coverage? - ✔✔The
insured may reject the coverage
✔✔When an industrial fire insurance policy is written in Mississippi, the maximum limit
of coverage that may be written for any one dwelling - ✔✔$40,000
✔✔When an industrial fire insurance policy is written in Mississippi, the maximum limit
of coverage that may be written on the contents of any one dwelling is - ✔✔$20,000
✔✔Under Mississippi's valued policy law, if a building is totally destroyed by fire, the
insurer - ✔✔Must pay the full amount of insurance
✔✔Which of the following may the Windstorm Underwriting Association use to
determine if a property is insurable - ✔✔Occupancy
✔✔The Windstorm Underwriting Association was created primarily to provide wind and
hail coverage for what areas of the state - ✔✔Coastal areas
✔✔Which of the following is NOT insurable with the Windstorm Underwriting
Association? - ✔✔Motor vehicles
, ✔✔An insurance company incorporated in Wisconsin and conducting business in
Wisconsin is known as a domestic company. What kind of company are they
considered of they do business in Minnesota? - ✔✔Foreign
✔✔All of the following statements about a stock insurance company are true EXCEPT -
✔✔A stock company is a participating company
✔✔What do insurance companies use to help predict how many losses will occur in a
group or class of individuals? - ✔✔The law of large numbers
✔✔States require companies to have a license to sell insurance in the state. The
license is called - ✔✔A certificate of authority
✔✔Which of the following is not a part of the structure of a property or casualty
insurance policy? - ✔✔Explanations
(DICEE)
Declarations - Insuring Agreement(s) - Conditions - Endorsements - Exclusions
✔✔Allison's auto insurance policy is due on the 10th of each month. Ever since she has
had the policy, she has sent the premium in on the 16th of the month. The insurer has
been accepting the premium this way for the past 5 years. A new CEO takes over and
decides to cancel Allison's policy for a nonpayment of premium. Allison contests this
decision and legally gets the policy reinstated. The decision to reinstate the policy is an
example of - ✔✔Estoppel
✔✔Which of the following terms describes the person listed first on the declarations
page of a policy when there is more than one named insured? - ✔✔First-named insured
✔✔When an insured decides to cancel an insurance policy before the expiration date,
the unearned premium is returned on - ✔✔A short rate basis
✔✔Greg's policy states that a loss will not be covered unless it occurs within the United
States or Canada. What is the name of this provision in his policy? - ✔✔The policy
territory provision
✔✔Todd and Mary have insurance protection for their home with a policy deductible of
$500. One night, a thunderstorm knock a tree onto their roof and causes $2,500 in
damage. How much money will the insurance company pay to Todd and Mary to fix
their roof - ✔✔$2,000
✔✔An insured owns a $200,000 home and insures it for $100,000. If the insured's home
was completely destroyed by a fire, how much money would the insurance company
pay if the insured has a policy that requires a minimum of 80% coverage - ✔✔$100,000
