LA PROPERTY AND CASUALTY TEST EXAMS
WITH CORRECT SOLUTIONS 2026/2027
Abandonment of property - ANSWER-The policyholder may not abandon damaged property
to the insurer
Additional Living expense - ANSWER-pays increase in expenses needed for insured to
maintain normal standard of living after a covered loss
additional living expenses are paid until - ANSWER--until the premises is repaired or
replaced
-until the insured's household can settle elsewhere
An injured third party must - ANSWER--give the insurer proof of the occurrence
-authorize the examination of medical records
-submit to a physical examination
An insured must - ANSWER--report the claim in a reasonable time
-allow an adjuster to examine the loss
-allow physical examinations
-let the insurer know any pertinent information
Appraisal - ANSWER-if the insurer and the insured disagree on the amount of loss, either
party can demand an appraisal of the loss
-involves two appraises and one umpire
-agreement by both appraisers or by one appraiser and the umpire is binding
, Civil authority coverage - ANSWER-- Pays for additional living expenses (ALE) and fair
rental value (FRV) when a civil authority prevents the insured from using the home
- Civil authority: any government entity acting on behalf of, or to protect, people or property
- Only applies if the damage was caused by a peril covered in the insured's policy
Civil Authority Coverages is NOT - ANSWER-subjected to any deductible
civil authority is paid - ANSWER--until access to the home is restored
-up to a maximum of two weeks
pays ALE and FRV
Concealment or Fraud - ANSWER-concealment, misrepresentations, and fraud can void
policy coverage
Coverage A - ANSWER-Dwelling and items that service the dwelling such as air
conditioners
Coverage B - ANSWER-Other Structures
Coverage C - ANSWER-personal property
Coverage D - ANSWER-Loss of Use
Coverage D - Loss of Use - ANSWER-For indirect losses that result from direct losses
WITH CORRECT SOLUTIONS 2026/2027
Abandonment of property - ANSWER-The policyholder may not abandon damaged property
to the insurer
Additional Living expense - ANSWER-pays increase in expenses needed for insured to
maintain normal standard of living after a covered loss
additional living expenses are paid until - ANSWER--until the premises is repaired or
replaced
-until the insured's household can settle elsewhere
An injured third party must - ANSWER--give the insurer proof of the occurrence
-authorize the examination of medical records
-submit to a physical examination
An insured must - ANSWER--report the claim in a reasonable time
-allow an adjuster to examine the loss
-allow physical examinations
-let the insurer know any pertinent information
Appraisal - ANSWER-if the insurer and the insured disagree on the amount of loss, either
party can demand an appraisal of the loss
-involves two appraises and one umpire
-agreement by both appraisers or by one appraiser and the umpire is binding
, Civil authority coverage - ANSWER-- Pays for additional living expenses (ALE) and fair
rental value (FRV) when a civil authority prevents the insured from using the home
- Civil authority: any government entity acting on behalf of, or to protect, people or property
- Only applies if the damage was caused by a peril covered in the insured's policy
Civil Authority Coverages is NOT - ANSWER-subjected to any deductible
civil authority is paid - ANSWER--until access to the home is restored
-up to a maximum of two weeks
pays ALE and FRV
Concealment or Fraud - ANSWER-concealment, misrepresentations, and fraud can void
policy coverage
Coverage A - ANSWER-Dwelling and items that service the dwelling such as air
conditioners
Coverage B - ANSWER-Other Structures
Coverage C - ANSWER-personal property
Coverage D - ANSWER-Loss of Use
Coverage D - Loss of Use - ANSWER-For indirect losses that result from direct losses
