AZ P&C Test with all Correct & 100% Verified Answers |Actual
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Which of the following is covered under a businessowners policy?
A) Land
B) Watercraft while afloat
C) Money
D) A small business ✔Correct Answer-A small business
An individual who owns and lives in a condominium can obtain broad coverage for personal
property in the condo under which Homeowners form?
A. HO-2
B. HO-6
C. HO-4
D. HO-3 ✔Correct Answer-B. HO-6
Which of the following is NOT a type of inland marine coverage form?
A. Commercial articles coverage form
B. Valuable papers and records coverage form
C. Personal items coverage form
D. Signs coverage form ✔Correct Answer-C. Personal Items coverage form
According to the nationwide definition, imports and exports are
A. eligible for ocean marine insurance
B. not eligible for marine insurance
C. eligible for commercial inland marine insurance
D. eligible for personal inland marine insurance ✔Correct Answer-A. eligible for ocean marine
insurance
According to the cancellation condition in the common policy conditions form, if the insurance
company is cancelling a homeowners policy for any reason, the insurance company must give 10
days written notice to the insured during the first
A. 30 days of the policy term
B. 10 days of the policy term
C. 60 days of the policy term
D. 15 days of the policy term ✔Correct Answer-C. 60 days for the policy term
Which of the following is NOT eligible for commercial inland marine insurance?
A. Commercial floater risks
B. imports and exports
C. instrumentalities of communication
D. domestic shipments ✔Correct Answer-B. imports and exports
, Which of the following personal property items is covered in Coverage C of the dwelling policy?
A. A pet parrot
B. a race car that was stored in the garage
C. a 72-inch flat screen television
D. a 45-foot sailboat ✔Correct Answer-C. a 72 inch flat screen television
The insured has $20,000 insurance with Company A and $40,000 with Company B. Assume both
policies contain another insurance clause specifying pro rata. What would company A pay if
there was a $24,000 loss?
A. $12,000
B. $20,000
C. $0
D. $8,000 ✔Correct Answer-D. $8,000
Total insurance = $60,000Company A Owns = 1/3(24,000*1/3) = 8,000
All of the following can be included in a commercial property policy (CPP) EXCEPT
A. commercial casualty coverage
B. health and disability insurance
C. general liability
D. commercial property coverage ✔Correct Answer-B. health and disability insurance
The cause of a loss is called
A. a peril
B. an exposure
C. a risk
D. a transfer ✔Correct Answer-A. a peril
Coverage L provides coverage for damages that the insured becomes legally obligated to pay
because an occurrence caused bodily injury or property damage. This coverage is also known as
✔Correct Answer-B. personal liability supplement
Which commercial property coverage form covers damage to the property of others in the
insured's care, custody, or control but only if the insured is legally liable?
A. Extra expense coverage form
B. legal liability coverage form
C. builders risk coverage form
D. all commercial property coverage forms provide this type of coverage ✔Correct Answer-B.
legal liability coverage form
What covers a carrier's lability for loss or damage of cargo while it is being transported in a
truck?
A. motor carrier coverage form
B. motor truck cargo policy
Complete Update |Already Graded A+ (Just Released)
Which of the following is covered under a businessowners policy?
A) Land
B) Watercraft while afloat
C) Money
D) A small business ✔Correct Answer-A small business
An individual who owns and lives in a condominium can obtain broad coverage for personal
property in the condo under which Homeowners form?
A. HO-2
B. HO-6
C. HO-4
D. HO-3 ✔Correct Answer-B. HO-6
Which of the following is NOT a type of inland marine coverage form?
A. Commercial articles coverage form
B. Valuable papers and records coverage form
C. Personal items coverage form
D. Signs coverage form ✔Correct Answer-C. Personal Items coverage form
According to the nationwide definition, imports and exports are
A. eligible for ocean marine insurance
B. not eligible for marine insurance
C. eligible for commercial inland marine insurance
D. eligible for personal inland marine insurance ✔Correct Answer-A. eligible for ocean marine
insurance
According to the cancellation condition in the common policy conditions form, if the insurance
company is cancelling a homeowners policy for any reason, the insurance company must give 10
days written notice to the insured during the first
A. 30 days of the policy term
B. 10 days of the policy term
C. 60 days of the policy term
D. 15 days of the policy term ✔Correct Answer-C. 60 days for the policy term
Which of the following is NOT eligible for commercial inland marine insurance?
A. Commercial floater risks
B. imports and exports
C. instrumentalities of communication
D. domestic shipments ✔Correct Answer-B. imports and exports
, Which of the following personal property items is covered in Coverage C of the dwelling policy?
A. A pet parrot
B. a race car that was stored in the garage
C. a 72-inch flat screen television
D. a 45-foot sailboat ✔Correct Answer-C. a 72 inch flat screen television
The insured has $20,000 insurance with Company A and $40,000 with Company B. Assume both
policies contain another insurance clause specifying pro rata. What would company A pay if
there was a $24,000 loss?
A. $12,000
B. $20,000
C. $0
D. $8,000 ✔Correct Answer-D. $8,000
Total insurance = $60,000Company A Owns = 1/3(24,000*1/3) = 8,000
All of the following can be included in a commercial property policy (CPP) EXCEPT
A. commercial casualty coverage
B. health and disability insurance
C. general liability
D. commercial property coverage ✔Correct Answer-B. health and disability insurance
The cause of a loss is called
A. a peril
B. an exposure
C. a risk
D. a transfer ✔Correct Answer-A. a peril
Coverage L provides coverage for damages that the insured becomes legally obligated to pay
because an occurrence caused bodily injury or property damage. This coverage is also known as
✔Correct Answer-B. personal liability supplement
Which commercial property coverage form covers damage to the property of others in the
insured's care, custody, or control but only if the insured is legally liable?
A. Extra expense coverage form
B. legal liability coverage form
C. builders risk coverage form
D. all commercial property coverage forms provide this type of coverage ✔Correct Answer-B.
legal liability coverage form
What covers a carrier's lability for loss or damage of cargo while it is being transported in a
truck?
A. motor carrier coverage form
B. motor truck cargo policy
