EXAM FX 4 ACTUAL TEST PAPER QUESTIONS CORRECT ANSWERS GRADED A PLUS
Question:
Under a dwelling policy, which of the following is NOT a factor in determining a loss?
Answer:
The amount negotiated by the insured
Question:
All of the following are essential elements of a commercial package policy (CPP) EXCEPT
Answer:
Valuations and/or settlement provisions
Question:
An insured carries a property policy on her home in the amount of $250,000. A bank is shown as the
mortgagor in the policy. Last month the insured made her final mortgage payment, but did not
remove the bank from the policy. In the event of a covered loss to her home, how much will the
bank receive?
Answer:
Nothing Because the bank does not have a financial interest in the house at the time of loss, they will
receive nothing.
Question:
The commercial property declarations page contains which of the following information?
Answer:
Description of the property insured
Question:
Under a dwelling policy, which of the following is NOT a factor in determining a loss?
Answer:
The amount negotiated by the insured
Question:
All of the following are essential elements of a commercial package policy (CPP) EXCEPT
Answer:
Valuations and/or settlement provisions
Question:
An insured carries a property policy on her home in the amount of $250,000. A bank is shown as the
mortgagor in the policy. Last month the insured made her final mortgage payment, but did not
remove the bank from the policy. In the event of a covered loss to her home, how much will the
bank receive?
Answer:
Nothing Because the bank does not have a financial interest in the house at the time of loss, they will
receive nothing.
Question:
The commercial property declarations page contains which of the following information?
Answer:
Description of the property insured
