IDAHO PERSONAL LINES SIMULATION
EXAM | COMPREHENSIVE EXAM PREP,
PRACTICE QUESTIONS, CORRECT ANSWERS
AND STUDY GUIDE
| GRADED A+ | GUARANTEED SUCCESS
Updated 2026 Questions and Answers
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,Which of the following best describes the amount of loss Up to $1,000 per occurrence Section II - Loss Assessment Coverage - applies to
assessment coverage included under a homeowners policy assessments against the insured by a condominium association or other cooperative
liability coverage section? body of property owners. Coverage is limited to $1,000, but an increased limit of
1. Up to $2,500 per occurrence coverage is available by endorsement.
2. Up to $10,000 aggregate for the policy period
3. Up to $5,000 aggregate for the policy period
4. Up to $1,000 per occurrence
What insurance policy provision defines how the policy will Other insurance
respond if there is more than one insurance policy written on
the same risk?
1. Primary and excess
2. Other insurance
3. Valid insurance
4. Nonconcurrency
On a DP-3 Dwelling Property Special Form policy, the The same as provided on the DP-2 Broad Form.
coverage provided for personal property is
1. The same as provided on the DP-1 Basic Form.
2. The same as provided on the DP-2 Broad Form.
3. All risk.
4. Open peril
The part of a property policy that shows the amount of Declarations.
insurance, premium, and policy term is the Who, what, when, where, and how much insurance and premium all are stated in the
1. Endorsements. policy Declarations.
2. Declarations.
3. Insuring clause.
4. Conditions.
Which of the following perils is covered by the HO-2 and HO- Sudden and accidental rupture of a heating system
3?
1. Loss due to power interruption that occurs off the premises
2. Flood
3. War
4. Sudden and accidental rupture of a heating system
,Which of the following property coverages would provide Coverage C
protection to contents damaged by fire?
1. Coverage D
2. Coverage A
3. Coverage B
4. Coverage C
Where is the policy period stated? On the declarations page of the policy
1. On the definitions page of the policy
2. On an endorsement attached to the policy
3. On the declarations page of the policy
4. On the conditions page of the policy
All of the following are true regarding physical damage The limit of liability is the greater of the actual cash value of the vehicle at the time of loss
coverage EXCEPT or the amount necessary to repair or replace the vehicle.
1. The policy will pay up to $20 per day up to a maximum of
$600 for rental transportation.
2. The insurer will pay for direct and accidental loss to a
covered auto minus any applicable deductible.
3. The limit of liability is the greater of the actual cash value of
the vehicle at the time of loss or the amount necessary to
repair or replace the vehicle.
4. Losses to nonowned autos will be covered the same as the
broadest coverage available for any covered auto, except
nonowned trailers are limited to $1,500.
An insurer neglects to pay a legitimate claim that is covered Consideration
under the terms of the policy. Which of the following
insurance principles has the insurer violated?
1. Representation
2. Adhesion
3. Consideration
4. Good faith
, When the amount of insurance written in a property policy is Stated amount.
not subject to any coinsurance provision and that amount is
paid in the event of a covered loss, the coverage is said to be
written as
1. Replacement cost.
2. Actual cash value.
3. Specific insurance.
4. Stated amount.
Which of the following types of insurance companies is an Mutual Insurer
incorporated insurer without capital stock or shares?
1. Reciprocal Insurer
2. Stock Insurer
3. Mutual Insurer
4. Fraternal Insurer
In a personal auto policy, the medical payments coverage is Accident insurance, because it pays medical expenses regardless of fault.
similar to
1. Accident insurance, because it pays medical expenses
regardless of fault.
2. Accident insurance, because it has the same limits.
3. Bodily injury coverage, because it pays the insured's doctor
bills.
4. Bodily injury coverage, because it provides legal protection
if the insured causes injuries to others.
All of the following are true of Coverage B - Other Structures It must be added by endorsement to a homeowners policy.
EXCEPT
1. The amount of coverage provided by Coverage B is an
amount equal to 10% of Coverage A.
2. Land where the other structures are located is not covered.
3. It must be added by endorsement to a homeowners policy.
4. This coverage is not applicable on the HO-4 policy form.
EXAM | COMPREHENSIVE EXAM PREP,
PRACTICE QUESTIONS, CORRECT ANSWERS
AND STUDY GUIDE
| GRADED A+ | GUARANTEED SUCCESS
Updated 2026 Questions and Answers
100% Verified Exam Prep
,Which of the following best describes the amount of loss Up to $1,000 per occurrence Section II - Loss Assessment Coverage - applies to
assessment coverage included under a homeowners policy assessments against the insured by a condominium association or other cooperative
liability coverage section? body of property owners. Coverage is limited to $1,000, but an increased limit of
1. Up to $2,500 per occurrence coverage is available by endorsement.
2. Up to $10,000 aggregate for the policy period
3. Up to $5,000 aggregate for the policy period
4. Up to $1,000 per occurrence
What insurance policy provision defines how the policy will Other insurance
respond if there is more than one insurance policy written on
the same risk?
1. Primary and excess
2. Other insurance
3. Valid insurance
4. Nonconcurrency
On a DP-3 Dwelling Property Special Form policy, the The same as provided on the DP-2 Broad Form.
coverage provided for personal property is
1. The same as provided on the DP-1 Basic Form.
2. The same as provided on the DP-2 Broad Form.
3. All risk.
4. Open peril
The part of a property policy that shows the amount of Declarations.
insurance, premium, and policy term is the Who, what, when, where, and how much insurance and premium all are stated in the
1. Endorsements. policy Declarations.
2. Declarations.
3. Insuring clause.
4. Conditions.
Which of the following perils is covered by the HO-2 and HO- Sudden and accidental rupture of a heating system
3?
1. Loss due to power interruption that occurs off the premises
2. Flood
3. War
4. Sudden and accidental rupture of a heating system
,Which of the following property coverages would provide Coverage C
protection to contents damaged by fire?
1. Coverage D
2. Coverage A
3. Coverage B
4. Coverage C
Where is the policy period stated? On the declarations page of the policy
1. On the definitions page of the policy
2. On an endorsement attached to the policy
3. On the declarations page of the policy
4. On the conditions page of the policy
All of the following are true regarding physical damage The limit of liability is the greater of the actual cash value of the vehicle at the time of loss
coverage EXCEPT or the amount necessary to repair or replace the vehicle.
1. The policy will pay up to $20 per day up to a maximum of
$600 for rental transportation.
2. The insurer will pay for direct and accidental loss to a
covered auto minus any applicable deductible.
3. The limit of liability is the greater of the actual cash value of
the vehicle at the time of loss or the amount necessary to
repair or replace the vehicle.
4. Losses to nonowned autos will be covered the same as the
broadest coverage available for any covered auto, except
nonowned trailers are limited to $1,500.
An insurer neglects to pay a legitimate claim that is covered Consideration
under the terms of the policy. Which of the following
insurance principles has the insurer violated?
1. Representation
2. Adhesion
3. Consideration
4. Good faith
, When the amount of insurance written in a property policy is Stated amount.
not subject to any coinsurance provision and that amount is
paid in the event of a covered loss, the coverage is said to be
written as
1. Replacement cost.
2. Actual cash value.
3. Specific insurance.
4. Stated amount.
Which of the following types of insurance companies is an Mutual Insurer
incorporated insurer without capital stock or shares?
1. Reciprocal Insurer
2. Stock Insurer
3. Mutual Insurer
4. Fraternal Insurer
In a personal auto policy, the medical payments coverage is Accident insurance, because it pays medical expenses regardless of fault.
similar to
1. Accident insurance, because it pays medical expenses
regardless of fault.
2. Accident insurance, because it has the same limits.
3. Bodily injury coverage, because it pays the insured's doctor
bills.
4. Bodily injury coverage, because it provides legal protection
if the insured causes injuries to others.
All of the following are true of Coverage B - Other Structures It must be added by endorsement to a homeowners policy.
EXCEPT
1. The amount of coverage provided by Coverage B is an
amount equal to 10% of Coverage A.
2. Land where the other structures are located is not covered.
3. It must be added by endorsement to a homeowners policy.
4. This coverage is not applicable on the HO-4 policy form.
