Property and Casualty- Commercial Study Questions and Answers

Commercial Package Policy Common Policy declarations and Common Policy Conditions form which apply to the entire policy regardless of types of coverage written 4 Components of Commercial Package Policy (CPP) Common Policy Declarations Page; Common Policy Conditions; Interline Endorsements; Coverage Parts Contents of Common Policy Declarations Page Shows the who, what, when, where and how much of entire policy, each of the coverage parts included and a Declarations page for each coverage part Contents of Common Policy Conditions Contains the legal obligations & duties of the insured and insurer, including cancellations, changes, examination of books, inspections& surveys, premiums, and transfer of rights and duties Interline Endorsements of Commercial Policy Package Coordinate the coverage in multiple coverage parts of the policy to prevent redundancy BASIC Causes Loss Form for Commercial Package Policy Covers fire, lightning windstorm, hail, aircraft, riot, vehicles, explosion, smoke, vandalism, sprinkler leakage, sinkhole collapse and volcanic action. Limited coverage for fungus, wet rot dry rot bacteria. Limit of insurance is up to $15,000 for all losses occurring in 12 month period BROAD causes of Loss Form Form includes perils listed in BASIC causes of loss form, PLUS perils of falling objects, weight of ice and water damage caused by accidental discharge. SPECIAL Causes of Loss Form Which Commercial Property Causes of Loss form has the broadest coverage? Provides insurance for losses caused by risks of direct physical loss except those perils that are specifically limited or excluded; this form provides Open Perils Coverage Building and Personal Property Coverage Form of CCP Covers buildings, business personal property such as furniture, machinery and stock and personal property of others. Does not provid liability coverage Building & Personal Property Coverage Form Additional Coverages Includes debris removal, preservation of property, fire dept service charge, pollutant clean up, increased cost of construction and electronic data