State Farm Exam Questions and
Answers
Liability - Answer-(Coverage A) If you're AT FAULT for an accident that injuries another
person its covers their medical bills
Property Damage liability - Answer-(Coverage B/P.D) Only pays for damage to the
property of others If the accident is your fault (Consider how you'd pay for damages that
exceed your limit)
P-10/P-14/PIP/NO FAULT - Answer-Is the same thing as PIP It covers you regardless
of fault and it covers 80% of medical up to 10,000
State Requirements - Answer-Property Damage, PIP.
Uninsured Motor - Answer-(U/U3) Covers YOURSELF in an event where the other
person 1). Doesn't have enough coverage. 2). Has no insurance. 3). If you're involved in
a hit & run accident.
Stacking - Answer-(Coverage U) When you have more than one car that gets into a car
accident and the coverage from that car is not enough so U- stacking allows you to pull
coverage from your other cars creating like a monster coverage.
Comprehensive coverage - Answer-Comprehensive coverage covers YOUR vehicle in
case of vandalism, weather related (Acts of God), hitting an animal, and theft. This
coverage will pay for substitute transportation $25 a day up to a maximum of $750, if
car is stolen.
Collision Coverage - Answer-Covers your vehicle if the accident is your fault. (Repairs, if
repairs is too much it will be replaced).
Insurance - Answer-Transferring financial risk.
Good Driving Discounts - Answer-(GDD) Is if you've gone 3 or more years accident
violation free as a driver.
Accident Free Discounts - Answer-Is if you've gone 3 or more years without accident
violation with State Farm. Even after the first accident @ fault it's not surcharged, and
you will not lose your discounts.
What are the discount percentage for accident free? - Answer-3(15%), 6(20%),
10(25%).
Answers
Liability - Answer-(Coverage A) If you're AT FAULT for an accident that injuries another
person its covers their medical bills
Property Damage liability - Answer-(Coverage B/P.D) Only pays for damage to the
property of others If the accident is your fault (Consider how you'd pay for damages that
exceed your limit)
P-10/P-14/PIP/NO FAULT - Answer-Is the same thing as PIP It covers you regardless
of fault and it covers 80% of medical up to 10,000
State Requirements - Answer-Property Damage, PIP.
Uninsured Motor - Answer-(U/U3) Covers YOURSELF in an event where the other
person 1). Doesn't have enough coverage. 2). Has no insurance. 3). If you're involved in
a hit & run accident.
Stacking - Answer-(Coverage U) When you have more than one car that gets into a car
accident and the coverage from that car is not enough so U- stacking allows you to pull
coverage from your other cars creating like a monster coverage.
Comprehensive coverage - Answer-Comprehensive coverage covers YOUR vehicle in
case of vandalism, weather related (Acts of God), hitting an animal, and theft. This
coverage will pay for substitute transportation $25 a day up to a maximum of $750, if
car is stolen.
Collision Coverage - Answer-Covers your vehicle if the accident is your fault. (Repairs, if
repairs is too much it will be replaced).
Insurance - Answer-Transferring financial risk.
Good Driving Discounts - Answer-(GDD) Is if you've gone 3 or more years accident
violation free as a driver.
Accident Free Discounts - Answer-Is if you've gone 3 or more years without accident
violation with State Farm. Even after the first accident @ fault it's not surcharged, and
you will not lose your discounts.
What are the discount percentage for accident free? - Answer-3(15%), 6(20%),
10(25%).
