AINS 103 Questions with CORRECT Answers
Question:
What does a commercial general liability coverage form protect?
Answer:
An organization against financial losses stemming from liability for damages to people
or property.
Question:
Jenny owns a convenience store. A customer slipped and fell in an aisle but only
required minor medical care at a local clinic. What coverage might apply for this
occurrence?
Answer:
Coverage C might apply, because Coverage C-Medical Payments, pays medical
expenses of others in certain circumstances.
Question:
Sean entered a bookstore and asked for a book on the highest shelf. The bookstore's
worker got a ladder to retrieve the book, but the ladder fell and hit Sean. Sean required
hospitalization and overnight observation. What coverage would apply for the
bookstore?
Answer:
Coverage A might apply, because Coverage A-Bodily Injury and Property Damage
Liability covers bodily injury or property damage, such as when a customer is injured in
a store.
Question:
Occurrence:
Answer:
An accident or event that leads to a claim being filed.
Question:
Bodily Injury:
Answer:
Any physical injury to a person, including sickness, disease, and death.
, Question:
Property Damage:
Answer:
The injury to, destruction of, or loss of use of tangible property.
Question:
Conditions of CGL Coverage A:
Answer:
1. Insured must be legally liable for the damages.
Question:
Jimmy owns an auto body shop in AZ that is insured under an unendorsed CGL form. He
took a trip to Europe, offered to repair his host's car and accidently damaged the
vehicle. If his host sues, would Jimmy's CGL form cover the claim?
Answer:
No, because the event happened outside the policy coverage zone.
Question:
Taylor slipped on a puddle in a deli and was hospitalized, but was unable to file a claim
for 2 years. The store's CGL policy was in effect when the accident occurred. Would
Taylor's damages be covered?
Answer:
Yes, because the damages occurred within the time period the policy was in effect.
Question:
For the purposes of the CGL form, what can the term "injury" include?
Answer:
Mental anguish, mental injury, fright, shock, humiliation, and loss of reputation.
Question:
The CGL Coverage B insuring agreement states that the insurer will pay any damages
assessed against the insured for several specific offenses, such as:
Answer:
False imprisonment, malicious prosecution, wrongful eviction, libel, slander,
infringement on copyright.
Question:
What does a commercial general liability coverage form protect?
Answer:
An organization against financial losses stemming from liability for damages to people
or property.
Question:
Jenny owns a convenience store. A customer slipped and fell in an aisle but only
required minor medical care at a local clinic. What coverage might apply for this
occurrence?
Answer:
Coverage C might apply, because Coverage C-Medical Payments, pays medical
expenses of others in certain circumstances.
Question:
Sean entered a bookstore and asked for a book on the highest shelf. The bookstore's
worker got a ladder to retrieve the book, but the ladder fell and hit Sean. Sean required
hospitalization and overnight observation. What coverage would apply for the
bookstore?
Answer:
Coverage A might apply, because Coverage A-Bodily Injury and Property Damage
Liability covers bodily injury or property damage, such as when a customer is injured in
a store.
Question:
Occurrence:
Answer:
An accident or event that leads to a claim being filed.
Question:
Bodily Injury:
Answer:
Any physical injury to a person, including sickness, disease, and death.
, Question:
Property Damage:
Answer:
The injury to, destruction of, or loss of use of tangible property.
Question:
Conditions of CGL Coverage A:
Answer:
1. Insured must be legally liable for the damages.
Question:
Jimmy owns an auto body shop in AZ that is insured under an unendorsed CGL form. He
took a trip to Europe, offered to repair his host's car and accidently damaged the
vehicle. If his host sues, would Jimmy's CGL form cover the claim?
Answer:
No, because the event happened outside the policy coverage zone.
Question:
Taylor slipped on a puddle in a deli and was hospitalized, but was unable to file a claim
for 2 years. The store's CGL policy was in effect when the accident occurred. Would
Taylor's damages be covered?
Answer:
Yes, because the damages occurred within the time period the policy was in effect.
Question:
For the purposes of the CGL form, what can the term "injury" include?
Answer:
Mental anguish, mental injury, fright, shock, humiliation, and loss of reputation.
Question:
The CGL Coverage B insuring agreement states that the insurer will pay any damages
assessed against the insured for several specific offenses, such as:
Answer:
False imprisonment, malicious prosecution, wrongful eviction, libel, slander,
infringement on copyright.
