AL P&C Test Questions and Answers (Verified Solutions) Latest 2024/2025 Graded A+ - University of Alabama

AL P&C Test Questions and Answers (Verified Solutions) Latest 2024/2025 Graded A+ - University of Alabama . What is the term used to describe terminating the insurance relationship at the end of the policy period? A. Cancellation B. Nonrenewal C. Separation D. Exclusion - correct answer B. Nonrenewal Which is the best example of an indirect loss? A. Sequential loss B. Liability loss C. Employee theft D. Loss of use - correct answer D. Loss of use AL P&C Test Questions and Answers (Verified Solutions) Latest 2024/2025 Graded A+ - University of Alabama Which is a two party contract? A. Property B. Casualty C. Liability D. Auto - correct answer A. Property Insurance contracts offset A. speculative risk B. pure risk C. gambling D. created risk - correct answer B. Pure risk Which of the following is a third party contract? A. Property B. Casualty C. Earthquake D. Theft - correct answer B. Casualty Risk is best define as A. chance of loss B. certainty of loss C. financial loss D. sentimental loss - correct answer A. chance of loss Being subject to a loss is A. liability B. indemnity C. exposure D. subrogation - correct answer C. exposure The ranking insured in a Personal Lines contract is the A. named insured B. first named insured C. mortgagee D. husband - correct answer A. named insured To be paid a claim under a P & C contract, insurable interest must exist A. At the time of application B. on the policy date C. at the time of loss D. at the time of claim settlement - correct answer C. at the time of loss This type of company is run for the benefit of the policyowners: A. Stock B. Mutual C. Foreign D. Alien - correct answer B. Mutual Ohio Casualty is doing regular business in Indiana. Within the same state of Indiana, Ohio Casualty would be considered a(n) A. domestic company B. nonadmitted company C. alien company D. foreign Company - correct answer D. Foreign Ohio Casualty is doing regular business in Indiana. Within the state of Indiana, Ohio Casualty would be considered a(an) A. admitted company B. domestic company C. unauthorized company D. risk retention group - correct answer A. admitted company A company chartered in Guam or Puerto Rico doing regular business in New York would be considered by New Yorkers to be a(n) A. domestic compnay B. foreign company C. alien company D. international company - correct answer B. foreign company EMAIL ME: With regard to insurance, the term consideration means A. the premium and the statements on the application B. the insurer's method of evaluating the applicant for coverage C. the screening process all agents undergo prior to licensing. D. the side-by-side policy comparison by the applicant - correct answer A. the premium and the statements on the application Which of the following terms indicates that an insurance contract contains the legal enforceable promises of only one party? A. Adhesion B. Unilateral C. Conditional D. Aleatory - correct answer B. Unilateral