PSI Examination NY Insurance Property and Casualty Test
with All Correct & 100% Verified Answers |Actual
Complete Update |Already Graded A+
Punitive damages are intended to do all of the following except?
a. compensate for actual financial losses.
b. discourage others from doing wrong.
c. discipline the insured.
d. make an example of bad behavior ✔Correct Answer-a. compensate for actual financial
losses
Which of the following BEST differentiates the terms vacant versus unoccupied?
a. vacant means insured is a way for a period of time
b. vacant means the absence of people
c. unoccupied means absence of people and property
d. vacant means the absence of people and property ✔Correct Answer-d. vacant means the
absence of people and property
Which of the following types of policy BEST describes the DP-2 broad form policy?
a. all risk
b. expanded
c. named perils
d. open perils ✔Correct Answer-c. named perils
Which of the following business liability exposure does a slip and fall loss fall under?
a. indirect and contingent
b. medical expenses
c. premises and operations
d. retail hazards ✔Correct Answer-c. premises and operations
Which of the following defines a loss which is consequential and comes as a result of an original
loss?
a. direct loss
b. indirect loss
c. partial loss
d. total loss ✔Correct Answer-b. indirect loss
Which of the following situations under dwelling policy conditions describe how the insurance
company will settle a loss?
a. pay the full value of a pair of earrings when only one is lost
b. company has the option to repair to pre-loss condition
, c. if loss is covered by other insurance the other insurance pays full loss
d. property is replaced by company at full replacement value at loss ✔Correct Answer-b.
company has the option to repair to pre-loss condition
All of the following are examples of insurable interest except?
a. insuring your home
b. insuring expensive jewelry
c. insuring your friend's automobile
d. insuring business property you own ✔Correct Answer-c. insuring your friend's automobile
When an employer sends employees out of state on work related business, which of the
following must he do to ensure the appropriate workers' compensation coverage?
a. purchase a separate policy for the state in question
b. list the names of the employees sent out of state
c. list the state on the information page for other states' coverage
d. report the work to the insurance company as soon as it is completed ✔Correct Answer-c.
list the state on the information page for other states' coverage
Which homeowner form covers fixtures, installations, and improvements made or acquired at
the insured's expense?
a. HO-6
b. HO-4
c. HO-3
d. HO-2 ✔Correct Answer-b. HO-4
Which of the following would be covered by a commercial package policy?
a. small to medium sized businesses
b. ocean marine
c. loss due to crime
d. injury to worker on the job ✔Correct Answer-c. loss due to crime
Which of the following are defined as a part of the policy and can void the policy if they are
breached, whether the breach was intentional or unintentional?
a. material facts
b. representations
c. waivers
d. warranties ✔Correct Answer-d. warranties
When does the coverage begin for a builders risk form?
a. the date the policy premium is paid
b. on the date any construction begins
c. on the date construction starts above the highest basement floor if there is a basement
with All Correct & 100% Verified Answers |Actual
Complete Update |Already Graded A+
Punitive damages are intended to do all of the following except?
a. compensate for actual financial losses.
b. discourage others from doing wrong.
c. discipline the insured.
d. make an example of bad behavior ✔Correct Answer-a. compensate for actual financial
losses
Which of the following BEST differentiates the terms vacant versus unoccupied?
a. vacant means insured is a way for a period of time
b. vacant means the absence of people
c. unoccupied means absence of people and property
d. vacant means the absence of people and property ✔Correct Answer-d. vacant means the
absence of people and property
Which of the following types of policy BEST describes the DP-2 broad form policy?
a. all risk
b. expanded
c. named perils
d. open perils ✔Correct Answer-c. named perils
Which of the following business liability exposure does a slip and fall loss fall under?
a. indirect and contingent
b. medical expenses
c. premises and operations
d. retail hazards ✔Correct Answer-c. premises and operations
Which of the following defines a loss which is consequential and comes as a result of an original
loss?
a. direct loss
b. indirect loss
c. partial loss
d. total loss ✔Correct Answer-b. indirect loss
Which of the following situations under dwelling policy conditions describe how the insurance
company will settle a loss?
a. pay the full value of a pair of earrings when only one is lost
b. company has the option to repair to pre-loss condition
, c. if loss is covered by other insurance the other insurance pays full loss
d. property is replaced by company at full replacement value at loss ✔Correct Answer-b.
company has the option to repair to pre-loss condition
All of the following are examples of insurable interest except?
a. insuring your home
b. insuring expensive jewelry
c. insuring your friend's automobile
d. insuring business property you own ✔Correct Answer-c. insuring your friend's automobile
When an employer sends employees out of state on work related business, which of the
following must he do to ensure the appropriate workers' compensation coverage?
a. purchase a separate policy for the state in question
b. list the names of the employees sent out of state
c. list the state on the information page for other states' coverage
d. report the work to the insurance company as soon as it is completed ✔Correct Answer-c.
list the state on the information page for other states' coverage
Which homeowner form covers fixtures, installations, and improvements made or acquired at
the insured's expense?
a. HO-6
b. HO-4
c. HO-3
d. HO-2 ✔Correct Answer-b. HO-4
Which of the following would be covered by a commercial package policy?
a. small to medium sized businesses
b. ocean marine
c. loss due to crime
d. injury to worker on the job ✔Correct Answer-c. loss due to crime
Which of the following are defined as a part of the policy and can void the policy if they are
breached, whether the breach was intentional or unintentional?
a. material facts
b. representations
c. waivers
d. warranties ✔Correct Answer-d. warranties
When does the coverage begin for a builders risk form?
a. the date the policy premium is paid
b. on the date any construction begins
c. on the date construction starts above the highest basement floor if there is a basement
