VIRGINIA PROPERTY AND CASUALTY
INSURANCE LATEST EXAM 2025 WITH
MULTIPLE CHOICE OF QUESTIONS AND
DETAILED CORRECT ANSWERS ALREADY
GRADED A+ AND 100% GUARANTEE PASS
(JUST RELEASED!!!!!)
What are the four elements of a contract? - CORRECT ANSWER-1.
Offer and Acceptance
2. Consideration
3. Competent Parties
4. Legal Purpose
Define a fiduciary. - CORRECT ANSWER-An agent/broker who
handles insurer's funds in a trust capacity
What is a value in a contract? - CORRECT ANSWER-The consideration
What is the fine for violating the Fair Credit Reporting Act? -
CORRECT ANSWER-A maximum fine of $2,500.00
What must an insured have in regards to their covered property
with their insurer? - CORRECT ANSWER-Insurable Interest
, When must insurable interest exist if an insured' property is
damaged? - CORRECT ANSWER-It must exist at the time of loss
What is the initial screening of an applicant for insurance
coverage? - CORRECT ANSWER-Underwriting
Why is a loss ratio formula used? - CORRECT ANSWER-To determine
the comparison between premium income losses, paid claim
and claims related cost (this is how insurance company
determine profitability)
What does an insurer use to determine their profitability? -
CORRECT ANSWER-Loss Ratio Formula
What are the ways rates are determined? - CORRECT ANSWER-1.
Payroll
2. Gross Sales
3. Value of Property
What is the difference between class and individual rates? -
CORRECT ANSWER-Class Rating (manual rating) applies to all
applicants with similar group characteristics
Individual Rating is used when features of units vary greatly
What is the most common class rating system? - CORRECT ANSWER-
Class Rating (aka Manual Rating)
INSURANCE LATEST EXAM 2025 WITH
MULTIPLE CHOICE OF QUESTIONS AND
DETAILED CORRECT ANSWERS ALREADY
GRADED A+ AND 100% GUARANTEE PASS
(JUST RELEASED!!!!!)
What are the four elements of a contract? - CORRECT ANSWER-1.
Offer and Acceptance
2. Consideration
3. Competent Parties
4. Legal Purpose
Define a fiduciary. - CORRECT ANSWER-An agent/broker who
handles insurer's funds in a trust capacity
What is a value in a contract? - CORRECT ANSWER-The consideration
What is the fine for violating the Fair Credit Reporting Act? -
CORRECT ANSWER-A maximum fine of $2,500.00
What must an insured have in regards to their covered property
with their insurer? - CORRECT ANSWER-Insurable Interest
, When must insurable interest exist if an insured' property is
damaged? - CORRECT ANSWER-It must exist at the time of loss
What is the initial screening of an applicant for insurance
coverage? - CORRECT ANSWER-Underwriting
Why is a loss ratio formula used? - CORRECT ANSWER-To determine
the comparison between premium income losses, paid claim
and claims related cost (this is how insurance company
determine profitability)
What does an insurer use to determine their profitability? -
CORRECT ANSWER-Loss Ratio Formula
What are the ways rates are determined? - CORRECT ANSWER-1.
Payroll
2. Gross Sales
3. Value of Property
What is the difference between class and individual rates? -
CORRECT ANSWER-Class Rating (manual rating) applies to all
applicants with similar group characteristics
Individual Rating is used when features of units vary greatly
What is the most common class rating system? - CORRECT ANSWER-
Class Rating (aka Manual Rating)
