EXAM FX- SIMULATED TEST
QUESTIONS WITH CORRECT ANSWERS
Which zzof zzthe zzfollowing zzpolicies zzdoes zzNOT zzcontain zzan zzautomatic
zzreinstatement zzprovision?
a) zzBusiness zzautomobile zzliability
b) zzPersonal zzautomobile zzliability zzwith zzsplit zzlimits
c) zzHomeowners
d) zzGeneral zzliability zzwritten zzwith zzan zzaggregate zzlimit zz- zzAnswer zzGeneral
zzLiability zzwritten zzwith zzan zzaggregate zzlimit
The zzABC zzCorporation zzhas zz$100,000 zzof zzcoverage zzon zzits zzbuilding zzthrough
zzinsurance zzCompany zzA, zzand zz$50,000 zzof zzidentical zzcoverage zzon zzthe zzsame
zzbuilding zzthrough zzinsurance zzCompany zzB. zzAssuming zzcoinsurance zzis zznot zzan
zzissue, zzwhen zza zz$24,000 zzloss zzoccurs zzand zzthe zzpro zzrata zzmethod zzis zzused,
zzhow zzmuch zzwill zzeach zzinsurer zzpay?
a) zzCompany zzA zzwill zzpay zz$24,000; zzCompany zzB zzwill zzpay zz$0.
b) zzCompany zzA zzwill zzpay zz$16,000; zzCompany zzB zzwill zzpay zz$8,000.
c) zzCompany zzA zzwill zzpay zz$20,000; zzCompany zzB zzwill zzpay zz$4,000.
d) zzCompany zzA zzwill zzpay zz$12, zz- zzAnswer zzCompany zzA zzwill zzpay zz$16,000;
zzCompany zzB zzwill zzpay zz$8,000.
Farm zzfences zz(except zzfield zzand zzpasture zzfences) zzare zzcovered zzby zzwhich zzfarm
zzcoverage zzform?
a) zzCoverage zzA
b) zzCoverage zzB
c) zzCoverage zzE
d) zzCoverage zzG zz- zzAnswer zzCoverage zzG
What zztype zzof zzcoverage zzdoes zza zzhomeowners zzpolicy zzinclude zzthat zza zzdwelling
zzpolicy zzdoes zznot?
a) zzPersonal zzproperty
b) zzOther zzstructures
c) zzBroad zzform
d) zzLiability zz- zzAnswer zzLiability
Which zzof zzthe zzfollowing zzis zzNOT zzone zzof zzthe zz3 zzrequirements zzfor zzproperty zzto
zzbe zzeligible zzfor zzFAIR zzplan zzcoverage?
a) zzCoverage zzcould zznot zzbe zzpurchased zzthrough zzthe zznormal zzinsurance zzmarket
, b) zzIt zzmust zzbe zzvalued zzat zzan zzamount zzunder zzthe zzmaximum zzvalue zzamount
zzset zzby zzthe zzstate
c) zzIt zzmust zzbe zzlocated zzin zza zzspecific zzarea zzdefined zzby zzthe zzstate
d) zzIt zzmust zzbe zzconsidered zzinsurable zzbased zzon zzreasonable zzunderwriting
zzstandards zz- zzAnswer zzIt zzmust zzbe zzvalued zzat zzan zzamount zzunder zzthe
zzmaximum zzvalue zzamount zzset zzby zzthe zzstate
Which zzof zzthe zzfollowing zzliability zzexposures zzis zzmost zzlikely zzfor zza zzsmall
zzspecialty zzclothing zzretail zzboutique?
a) zzOperations zzliability zzexposure
b) zzProduct zzliability zzexposure
c) zzCompleted zzoperations zzliability zzexposure
d) zzPremises zzliability zzexposure zz- zzAnswer zzPremises zzLiability zzExposure
All zzof zzthe zzfollowing zztypes zzof zzproperty zzare zzcovered zzby zza zzstandard zzbuilders
zzrisk zzform zzEXCEPT
a) zzTools zz50 zzfeet zzaway zzfrom zzthe zzbuilding.
b) zzThe zzbuilding zzitself.
c) zzTemporary zzstructures.
d) zzMachinery zzthat zzwill zzbe zzpermanently zzattached zzto zzthe zzbuilding. zz- zzAnswer
zzTools zz50 zzfeet zzaway zzfrom zzthe zzbuilding
If zza zzconsumer zzrequests zzadditional zzinformation zzconcerning zzan zzinvestigative
zzconsumer zzreport, zzhow zzlong zzdoes zzthe zzinsurer zzor zzreporting zzagency zzhave zzto
zzcomply?
a) zz10 zzdays
b) zz3 zzdays
c) zz5 zzdays
d) zz7 zzdays zz- zzAnswer zz5 zzdays
Which zzof zzthe zzfollowing zzwould zzbe zznamed zzon zzthe zzdeclarations zzpage zzof zza
zzproperty zzor zzliability zzpolicy?
a) zzBeneficiaries
b) zzAll zzinsureds
c) zzAdditional zzinsureds
d) zzFirst zznamed zzinsured zz- zzAnswer zzFirst zzNamed zzinsured
When zzis zza zzhired zzand zznonowned zzauto zzliability zzendorsement zzavailable zzin zza
zzbusinessowners zzpolicy zz(BOP)?
a) zzOnly zzif zzthe zzinsured zzhas zz4 zzor zzmore zzemployees.
b) zzNever
c) zzOnly zzif zzthe zzinsured zzdoes zznot zzhave zzcommercial zzauto zzcoverage
d) zzOnly zzin zzaddition zzto zzcommercial zzauto zzcoverage. zz- zzAnswer zzOnly zzif zzthe
zzinsured zzdoes zznot zzhave zzcommercial zzauto zzcoverage
Which zzof zzthe zzfollowing zzpersons zzmay zzbe zzcovered zzunder zzfarm zzCoverage zzJ?
QUESTIONS WITH CORRECT ANSWERS
Which zzof zzthe zzfollowing zzpolicies zzdoes zzNOT zzcontain zzan zzautomatic
zzreinstatement zzprovision?
a) zzBusiness zzautomobile zzliability
b) zzPersonal zzautomobile zzliability zzwith zzsplit zzlimits
c) zzHomeowners
d) zzGeneral zzliability zzwritten zzwith zzan zzaggregate zzlimit zz- zzAnswer zzGeneral
zzLiability zzwritten zzwith zzan zzaggregate zzlimit
The zzABC zzCorporation zzhas zz$100,000 zzof zzcoverage zzon zzits zzbuilding zzthrough
zzinsurance zzCompany zzA, zzand zz$50,000 zzof zzidentical zzcoverage zzon zzthe zzsame
zzbuilding zzthrough zzinsurance zzCompany zzB. zzAssuming zzcoinsurance zzis zznot zzan
zzissue, zzwhen zza zz$24,000 zzloss zzoccurs zzand zzthe zzpro zzrata zzmethod zzis zzused,
zzhow zzmuch zzwill zzeach zzinsurer zzpay?
a) zzCompany zzA zzwill zzpay zz$24,000; zzCompany zzB zzwill zzpay zz$0.
b) zzCompany zzA zzwill zzpay zz$16,000; zzCompany zzB zzwill zzpay zz$8,000.
c) zzCompany zzA zzwill zzpay zz$20,000; zzCompany zzB zzwill zzpay zz$4,000.
d) zzCompany zzA zzwill zzpay zz$12, zz- zzAnswer zzCompany zzA zzwill zzpay zz$16,000;
zzCompany zzB zzwill zzpay zz$8,000.
Farm zzfences zz(except zzfield zzand zzpasture zzfences) zzare zzcovered zzby zzwhich zzfarm
zzcoverage zzform?
a) zzCoverage zzA
b) zzCoverage zzB
c) zzCoverage zzE
d) zzCoverage zzG zz- zzAnswer zzCoverage zzG
What zztype zzof zzcoverage zzdoes zza zzhomeowners zzpolicy zzinclude zzthat zza zzdwelling
zzpolicy zzdoes zznot?
a) zzPersonal zzproperty
b) zzOther zzstructures
c) zzBroad zzform
d) zzLiability zz- zzAnswer zzLiability
Which zzof zzthe zzfollowing zzis zzNOT zzone zzof zzthe zz3 zzrequirements zzfor zzproperty zzto
zzbe zzeligible zzfor zzFAIR zzplan zzcoverage?
a) zzCoverage zzcould zznot zzbe zzpurchased zzthrough zzthe zznormal zzinsurance zzmarket
, b) zzIt zzmust zzbe zzvalued zzat zzan zzamount zzunder zzthe zzmaximum zzvalue zzamount
zzset zzby zzthe zzstate
c) zzIt zzmust zzbe zzlocated zzin zza zzspecific zzarea zzdefined zzby zzthe zzstate
d) zzIt zzmust zzbe zzconsidered zzinsurable zzbased zzon zzreasonable zzunderwriting
zzstandards zz- zzAnswer zzIt zzmust zzbe zzvalued zzat zzan zzamount zzunder zzthe
zzmaximum zzvalue zzamount zzset zzby zzthe zzstate
Which zzof zzthe zzfollowing zzliability zzexposures zzis zzmost zzlikely zzfor zza zzsmall
zzspecialty zzclothing zzretail zzboutique?
a) zzOperations zzliability zzexposure
b) zzProduct zzliability zzexposure
c) zzCompleted zzoperations zzliability zzexposure
d) zzPremises zzliability zzexposure zz- zzAnswer zzPremises zzLiability zzExposure
All zzof zzthe zzfollowing zztypes zzof zzproperty zzare zzcovered zzby zza zzstandard zzbuilders
zzrisk zzform zzEXCEPT
a) zzTools zz50 zzfeet zzaway zzfrom zzthe zzbuilding.
b) zzThe zzbuilding zzitself.
c) zzTemporary zzstructures.
d) zzMachinery zzthat zzwill zzbe zzpermanently zzattached zzto zzthe zzbuilding. zz- zzAnswer
zzTools zz50 zzfeet zzaway zzfrom zzthe zzbuilding
If zza zzconsumer zzrequests zzadditional zzinformation zzconcerning zzan zzinvestigative
zzconsumer zzreport, zzhow zzlong zzdoes zzthe zzinsurer zzor zzreporting zzagency zzhave zzto
zzcomply?
a) zz10 zzdays
b) zz3 zzdays
c) zz5 zzdays
d) zz7 zzdays zz- zzAnswer zz5 zzdays
Which zzof zzthe zzfollowing zzwould zzbe zznamed zzon zzthe zzdeclarations zzpage zzof zza
zzproperty zzor zzliability zzpolicy?
a) zzBeneficiaries
b) zzAll zzinsureds
c) zzAdditional zzinsureds
d) zzFirst zznamed zzinsured zz- zzAnswer zzFirst zzNamed zzinsured
When zzis zza zzhired zzand zznonowned zzauto zzliability zzendorsement zzavailable zzin zza
zzbusinessowners zzpolicy zz(BOP)?
a) zzOnly zzif zzthe zzinsured zzhas zz4 zzor zzmore zzemployees.
b) zzNever
c) zzOnly zzif zzthe zzinsured zzdoes zznot zzhave zzcommercial zzauto zzcoverage
d) zzOnly zzin zzaddition zzto zzcommercial zzauto zzcoverage. zz- zzAnswer zzOnly zzif zzthe
zzinsured zzdoes zznot zzhave zzcommercial zzauto zzcoverage
Which zzof zzthe zzfollowing zzpersons zzmay zzbe zzcovered zzunder zzfarm zzCoverage zzJ?
