Ga Property & Casualty Insurance Study
Guide with Complete Solutions
Personal Automobile Policy - ANSWER✔✔-• Accounts for 40% of all
premiums
• Vehicles registered to individuals and operated primarily for personal
activities
o Driving to work is a personal activity
o Policy allows use of vehicle for incidental business activities
Financial Responsibility State - ANSWER✔✔-• Georgia is a financial
responsibility state
o To legally operate an automobile in the state of Georgia, a person must
show that they are able to financially compensate the person(s) that they
may injure or where they damage the other person's property
Financial Responsibility - ANSWER✔✔-may be show by the following:
1. Personal automobile insurance - Liability coverage
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 1/28
,2. Motor vehicle bond
3.Cash or security deposit
Compulsory Insurance Laws - ANSWER✔✔-25/50/25 state minimum
limits (split)
$25,000 bodily injury per person
$50,000 bodily injury per occurrence
$25,000 property damage
Or
$75,000 - Combined single limits
Policy Terms - ANSWER✔✔-either 6 months or 1 year
Personal umbrella - ANSWER✔✔-separate policy for catastrophic liability
claims, in excess of primary coverage; must have primary coverage in force
and raise the limits of liability
Eligible Vehicles - ANSWER✔✔-o Private passenger automobiles
o Trucks <10,000 lbs.
o Vans <10,000 lbs.
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 2/28
, Owned or Leased
No business activities covered for trucks and vans
GA Assigned Risk - ANSWER✔✔-when someone cannot qualify for
insurance, high premium
Ineligible Vehicles - ANSWER✔✔-o Vehicles owned by businesses
o Taxis
o Motorcycles
o Trucks/Vans >10,000 lbs.
o Vehicles used for government purposes
o Vehicles furnished for the regular use of an insured by an employer
o Trailer - cannot propel itself when the trailer and the vehicle are
connected, both are one in the same for liability claims
Territorial Limits - ANSWER✔✔-o United States
o Canada
o United States Territories & Possessions
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 3/28
Guide with Complete Solutions
Personal Automobile Policy - ANSWER✔✔-• Accounts for 40% of all
premiums
• Vehicles registered to individuals and operated primarily for personal
activities
o Driving to work is a personal activity
o Policy allows use of vehicle for incidental business activities
Financial Responsibility State - ANSWER✔✔-• Georgia is a financial
responsibility state
o To legally operate an automobile in the state of Georgia, a person must
show that they are able to financially compensate the person(s) that they
may injure or where they damage the other person's property
Financial Responsibility - ANSWER✔✔-may be show by the following:
1. Personal automobile insurance - Liability coverage
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 1/28
,2. Motor vehicle bond
3.Cash or security deposit
Compulsory Insurance Laws - ANSWER✔✔-25/50/25 state minimum
limits (split)
$25,000 bodily injury per person
$50,000 bodily injury per occurrence
$25,000 property damage
Or
$75,000 - Combined single limits
Policy Terms - ANSWER✔✔-either 6 months or 1 year
Personal umbrella - ANSWER✔✔-separate policy for catastrophic liability
claims, in excess of primary coverage; must have primary coverage in force
and raise the limits of liability
Eligible Vehicles - ANSWER✔✔-o Private passenger automobiles
o Trucks <10,000 lbs.
o Vans <10,000 lbs.
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 2/28
, Owned or Leased
No business activities covered for trucks and vans
GA Assigned Risk - ANSWER✔✔-when someone cannot qualify for
insurance, high premium
Ineligible Vehicles - ANSWER✔✔-o Vehicles owned by businesses
o Taxis
o Motorcycles
o Trucks/Vans >10,000 lbs.
o Vehicles used for government purposes
o Vehicles furnished for the regular use of an insured by an employer
o Trailer - cannot propel itself when the trailer and the vehicle are
connected, both are one in the same for liability claims
Territorial Limits - ANSWER✔✔-o United States
o Canada
o United States Territories & Possessions
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 3/28
