Tennessee Property and Casualty Insurance State
Review Answered Questions 2025/2026 Update!!!
(100% Success Rate)
Physical Hazard - hazard that arises from the property itself
Morale Hazard - person driving crazy because they have insurance
Moral Hazard - create a loss situation to collect from insurance company
Aleatory - contingent on a certain event that provides for unequal transfer of value between parties
Contract of Adhesion - one party has greater power over the other in the contract
Class 1-Frame - outside support walls, roof and floors are made of wood or other combustible
materials
exterior is stucco or brick veneer
interior is lath and plaster
Class 2-Joist and Masonry - outside support walls are made of non-combustible materials and the
roof and floor are made of combustible materials
Combustible Materials - wood or other materials that easily catch fire
Noncombustible Materials - are materials like concrete, stone, brick, or metal that do not easily catch
fire
Class 3-Noncombustible - everything is constructed of and supported by noncombustible materials
Class 4- Masonry Noncombustible - exterior walls constructed of masonry and the roof and floor are
constructed of noncombustible materials
, Class 5- Modified Fire Resistive - everything is constructed of masonry or fire material with a fire
resistance rating of 2 hours or less
Class 6- Fire Resistive - everything is constructed of masonry or fire resistive material rated of 2 hours
or more
Mortgagee/ Loss Payable Condition - specifies the rights and duties of the mortgagee (bank or other
lender) under the policy
Personal Property Form - is open perils coverage on personal property usually in a home
Personal Effects Form - insures personal property while traveling
Personal Articles Form
(jewelry, furs, cameras, musical instruments, silverware, golf equipment, fine arts, stamps, and coins)
- provides coverage for 9 optional classes of property
Symbol 30 - symbol for customers autos left for service
Symbol 31 - symbol for coverage for auto dealers
Symbol 48 - symbol for trailers borrowed or leased by the insured
Symbol 49 - symbol for trailers owned or hired by the insured
Discovery Form - covers losses that are sustained at any time and discovered during the policy period
or within 60 days after the expiration date
Principal - promises to do something
Surety - party that agrees to be responsible for loss
Obligee - party to whom the principal makes the promise
Review Answered Questions 2025/2026 Update!!!
(100% Success Rate)
Physical Hazard - hazard that arises from the property itself
Morale Hazard - person driving crazy because they have insurance
Moral Hazard - create a loss situation to collect from insurance company
Aleatory - contingent on a certain event that provides for unequal transfer of value between parties
Contract of Adhesion - one party has greater power over the other in the contract
Class 1-Frame - outside support walls, roof and floors are made of wood or other combustible
materials
exterior is stucco or brick veneer
interior is lath and plaster
Class 2-Joist and Masonry - outside support walls are made of non-combustible materials and the
roof and floor are made of combustible materials
Combustible Materials - wood or other materials that easily catch fire
Noncombustible Materials - are materials like concrete, stone, brick, or metal that do not easily catch
fire
Class 3-Noncombustible - everything is constructed of and supported by noncombustible materials
Class 4- Masonry Noncombustible - exterior walls constructed of masonry and the roof and floor are
constructed of noncombustible materials
, Class 5- Modified Fire Resistive - everything is constructed of masonry or fire material with a fire
resistance rating of 2 hours or less
Class 6- Fire Resistive - everything is constructed of masonry or fire resistive material rated of 2 hours
or more
Mortgagee/ Loss Payable Condition - specifies the rights and duties of the mortgagee (bank or other
lender) under the policy
Personal Property Form - is open perils coverage on personal property usually in a home
Personal Effects Form - insures personal property while traveling
Personal Articles Form
(jewelry, furs, cameras, musical instruments, silverware, golf equipment, fine arts, stamps, and coins)
- provides coverage for 9 optional classes of property
Symbol 30 - symbol for customers autos left for service
Symbol 31 - symbol for coverage for auto dealers
Symbol 48 - symbol for trailers borrowed or leased by the insured
Symbol 49 - symbol for trailers owned or hired by the insured
Discovery Form - covers losses that are sustained at any time and discovered during the policy period
or within 60 days after the expiration date
Principal - promises to do something
Surety - party that agrees to be responsible for loss
Obligee - party to whom the principal makes the promise
