NJ PSI PROPERTY AND CASUALTY ACTUAL EXAM QUESTIONS
WITH SOLUTIONS A+ 2025/2026
✔✔All of the following are optional coverage's under Homeowners policies except?
A. Personal Property Replacement Cost coverage.
B. Increased coverage limits from items suck as jewelry, furs, and silverware.
C. Loss of Use coverage.
D. Earthquake coverage. - ✔✔C. Loss of Use Coverage.
✔✔The National Flood Insurance Program (NFIP) standards are set by, and the
Program is administered by, the?
A. National Flood Management Association (NFMA)
B. National Emergency Standards Agency (NESA)
C. Federal Flood Coverage Association (FFCA)
D. Federal Emergency Management Agency (FEMA) - ✔✔D. Federal Emergency
Management Agency (FEMA)
✔✔Under Homeowners policies, which of the following is/are considered optional
property coverage endorsement(s)?
A. Earthquake.
B. Fine Arts.
C. Replacement Cost coverage on personal property.
D. All of the above. - ✔✔D. All of the above.
✔✔Under an NFIP Flood policy, flood is broadly defined as all of the following except?
A. The overflow of inland or tidal waters.
B. Mudflow, a river of liquid and flowing mud on the surfaces of normally dry land area,
as when earth is carried by a current of water.
C. Heavy, driving sheets of wind blown rain.
D. The collapse of subsidence of land along the shore of a lake or similar body of water
as a result of erosion or undermining caused by waves or currents of water exceeding
anticipated cyclical levels that result in a flood. - ✔✔C. Heavy, driving sheets of wind
blown rain.
✔✔Under an NFIP Flood policy, in most cases the waiting period before a new policy
can be made effective is?
A. 10 days.
B. 20 days.
C. 30 days.
D. 60 days. - ✔✔C. 30 days.
✔✔If your baby sitter falls down the stairs in your home and breaks her leg, her injury
will be covered by?
A. Your Homeowners policy.
B. Your Medical Insurance policy.
, C. The babysitter's Homeowners policy.
D. The babysitter's Medical Insurance policy. - ✔✔A. Your Homeowners policy.
✔✔On Homeowners policies, the full limit on personal property (Coverage C) applies to
personal property while it is?
A. In the state of residence only.
B. In the United States only.
C. Anywhere in the world.
D. In the United States and Canada only. - ✔✔C. Anywhere in the world.
✔✔Under an NFIP Flood policy, there is coverage for?
A. Both direct damage and loss of use.
B. Direct damage only.
C. Loss of use only.
D. Consequential loss only. - ✔✔B. Direct damage only.
✔✔Loses to which of the following are not covered under Homeowners policies?
A. Property of roomers or boarders.
B. Articles separately described and specifically covered by other insurance.
C. Animals, birds, and fish.
D. All of the above. - ✔✔D. All of the above.
✔✔A scheduled Personal Property Endorsement is usually written on a ______ basis?
A. Special Perils.
B. Named Perils.
C. Premises.
D. Blanket. - ✔✔A. Special Perils.
✔✔Under Homeowners policies, Section II, the basic limit for Personal Liability
Coverage is?
A. $50,000.
B. $75,000.
C. $100,000.
D. $150,000. - ✔✔C. $100,000.
✔✔Under Section II Additional Coverage's of Homeowners policies, the insurer agrees
to pay?
A. The costs of defending a claim.
B. Premiums on bonds required in a suit.
C. Court costs.
D. All of the above. - ✔✔D. All of the above.
✔✔Under Homeowners and other policies, ACV is the abbreviation for which property
insurance valuation?
WITH SOLUTIONS A+ 2025/2026
✔✔All of the following are optional coverage's under Homeowners policies except?
A. Personal Property Replacement Cost coverage.
B. Increased coverage limits from items suck as jewelry, furs, and silverware.
C. Loss of Use coverage.
D. Earthquake coverage. - ✔✔C. Loss of Use Coverage.
✔✔The National Flood Insurance Program (NFIP) standards are set by, and the
Program is administered by, the?
A. National Flood Management Association (NFMA)
B. National Emergency Standards Agency (NESA)
C. Federal Flood Coverage Association (FFCA)
D. Federal Emergency Management Agency (FEMA) - ✔✔D. Federal Emergency
Management Agency (FEMA)
✔✔Under Homeowners policies, which of the following is/are considered optional
property coverage endorsement(s)?
A. Earthquake.
B. Fine Arts.
C. Replacement Cost coverage on personal property.
D. All of the above. - ✔✔D. All of the above.
✔✔Under an NFIP Flood policy, flood is broadly defined as all of the following except?
A. The overflow of inland or tidal waters.
B. Mudflow, a river of liquid and flowing mud on the surfaces of normally dry land area,
as when earth is carried by a current of water.
C. Heavy, driving sheets of wind blown rain.
D. The collapse of subsidence of land along the shore of a lake or similar body of water
as a result of erosion or undermining caused by waves or currents of water exceeding
anticipated cyclical levels that result in a flood. - ✔✔C. Heavy, driving sheets of wind
blown rain.
✔✔Under an NFIP Flood policy, in most cases the waiting period before a new policy
can be made effective is?
A. 10 days.
B. 20 days.
C. 30 days.
D. 60 days. - ✔✔C. 30 days.
✔✔If your baby sitter falls down the stairs in your home and breaks her leg, her injury
will be covered by?
A. Your Homeowners policy.
B. Your Medical Insurance policy.
, C. The babysitter's Homeowners policy.
D. The babysitter's Medical Insurance policy. - ✔✔A. Your Homeowners policy.
✔✔On Homeowners policies, the full limit on personal property (Coverage C) applies to
personal property while it is?
A. In the state of residence only.
B. In the United States only.
C. Anywhere in the world.
D. In the United States and Canada only. - ✔✔C. Anywhere in the world.
✔✔Under an NFIP Flood policy, there is coverage for?
A. Both direct damage and loss of use.
B. Direct damage only.
C. Loss of use only.
D. Consequential loss only. - ✔✔B. Direct damage only.
✔✔Loses to which of the following are not covered under Homeowners policies?
A. Property of roomers or boarders.
B. Articles separately described and specifically covered by other insurance.
C. Animals, birds, and fish.
D. All of the above. - ✔✔D. All of the above.
✔✔A scheduled Personal Property Endorsement is usually written on a ______ basis?
A. Special Perils.
B. Named Perils.
C. Premises.
D. Blanket. - ✔✔A. Special Perils.
✔✔Under Homeowners policies, Section II, the basic limit for Personal Liability
Coverage is?
A. $50,000.
B. $75,000.
C. $100,000.
D. $150,000. - ✔✔C. $100,000.
✔✔Under Section II Additional Coverage's of Homeowners policies, the insurer agrees
to pay?
A. The costs of defending a claim.
B. Premiums on bonds required in a suit.
C. Court costs.
D. All of the above. - ✔✔D. All of the above.
✔✔Under Homeowners and other policies, ACV is the abbreviation for which property
insurance valuation?
