Insurance Practice Exam(Updated)2022 Questions and Answers.

An insured operates a auto repair shop and has a garage coverage form with garagekeepers insurance when an employee on a test drive with a customer?s car is involved in a crash. How will the customer?s car be covered by the insured?s policy? The customer?s car is covered for any physical damage while in the custody of the insured. Which of the following causes of loss to a vehicle will trigger collision coverage on the personal auto policy Part D- coverage for damage to your auto? Vehicle upset The insured has a commercial auto policy with a drive other car broadened coverage liability for named individuals (DOC) endorsement. In which of the following would the named individual be covered? driving neighbor?s auto 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? list the state on the information page for other states' coverage Which of the following does HO-6 provide? coverage for personal property of a condominium owner All of the following are considered an insured under the liability part of a personal auto insurance policy EXCEPT a stranger who takes the car without permission. All of the following demonstrate insurable interest EXCEPT insuring an engagement ring given to fiancée. Punitive damages are intended to do all of the following EXCEPT compensate for actual financial losses. Which of the following homeowners forms is most appropriate for older homes with replacement values that may far exceed their market values? HO-8 Which of the following terms refers to the transfer of the insured?s right of recovery against others to his insurance company? subrogation Employees are barred from suing employers in court to obtain compensation for injuries covered by workers? compensation because of which of the following doctrines? exclusive remedy Which type of coverage would be appropriate for a detached garage in a DP-1 policy? Coverage B Mobile homes can be insured in all of the following ways EXCEPT with a HO-8 Modified Coverage form. The property coverage of a BOP includes which of the following? carpeting that is permanently installed inside the building Which of the following does Homeowners Special form (HO-3) cover that Homeowners Broad form (HO-2) does not? structures other than the dwelling With which of the following methods are losses settled on an actual cash value (ACV) basis? less depreciation Which of the following forms trigger coverage for a loss under the commercial general liability policy if a loss happens during the policy period? occurrence form Determining adequate indemnification after a loss is a principle duty of which of the following insurance company All of the following are Unfair Claims Settlement Practices EXCEPT failure to respond to a first notice of loss within 24 hours. Which policy condition applies when an insurer covers property losses at cash value rather than an amount that exceeds the repair or replacement value? loss settlement condition All of the following operations would fall under the liability rules for strict liability EXCEPT livestock ranchers. The Fair Credit Reporting Act permits consumer reporting agencies to include applicant information about bankruptcies MORE than 10 years old under which of the following circumstances? The applicant is seeking a transaction greater than $150,000. According to the Nationwide Definition of marine insurance, which category is an eligible marine risk? imported goods An injured employee covered under workers? compensation is entitled to reasonably justifiable expenses for retraining. This benefit falls under which of the following? vocational rehabilitation Which one of the following persons would be covered for accidental injury on the insured?s premises under Coverage C of the CGL Medical Payments? a volunteer worker A DP-2 policy covers all of the following EXCEPT damage to awnings from weight of snow. A single earthquake constitutes all shocks that occur within which time period? 72 hours All of the following are exclusions are found under the personal auto policy Part A liability coverage, EXCEPT bodily Injury to an insured?s nonresident family member or relative. Which of the following created The National Flood Insurance Program? the United States Congress Which of the following business liability exposures does a slip and fall loss fall under? premises and operations All of the following specify limits of insurance for the CGL EXCEPT legal defense. 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? warranties