Michigan Property and Casualty Insurance: Exam Questions With 100% Correct Answers.

15 days - File a notice of producer appointment within __ days 3 ways to assign rates - Judgement, Manual, Experience 30 days - Time for producer to respond to notification 60 - Insured must send a signed statement of loss to the insurance company within __ Abandonment - Insured cannot abandon property that can be repaired & expect to be paid as if it was a total loss Actual Cash Value (ACV) - replacement cost - depreciation Adverse Selection - risks that have a greater than average chance of loss Age 18 - Applicants minimum age Aleatory Contract - The exchange of value is unequal. Alien Insurer - An insurance company that is incorporated outside the United States Apparent Authority - The authority an agent is believed by third parties to have because of the behavior of the principal. Arbitration - settling a dispute by agreeing to accept the decision of an impartial outsiderAvoidance - eliminating certain risk by not engaging in certain activity Bailee - a person or business temporarily in possession of property entrusted to them by others Basic Perils - Fire, lightning, and internal explosion Binders - a temporary contract of insurance providing coverage prior to the issuing of a complete insurance policy Broad Perils (BIG AFFECT) - Burglary damage Ice, sleet, snow (weight of) Glass breakage Accidental Discharge of water or steam Freezing objects Falling objects Electrical Current Collapse Tearing Asunder Captive Agent - an insurance agent who represents only one insurance company and who is, in effect, an employee of that company Certificate of Authority - state license for an insurance company