CISR - Commercial Casualty II - Study
Guide UPDATED ACTUAL Exam Questions
and CORRECT Answers
State workers compensation laws are a no fault system. T/F - CORRECT ANSWER - True
Employer purchase of workers compensation insurance is voluntary in all states but Texas and
New Jersey. T/F - CORRECT ANSWER - False
It is mandatory in all states but Texas and New Jersey.
One advantage of workers compensation insurance for employers is predictable costs. T/F -
CORRECT ANSWER - True
List four states that workers compensation is a monopolistic state fund. - CORRECT
ANSWER - North Dakota, Ohio, Wyoming, Washington
List two states where workers comp insurance is elective. - CORRECT ANSWER - Texas
and New Jersey
Things listed in Item 1 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - The employers type of organization
Things listed in Item 2 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - Policies Effective Date and Expiration Date
Things listed in Item 3 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - the list of states in which an insured has or expects to have
operations
,description of the employers liability coverage
details the limits of insurance for employers liability
Things listed in Item 4 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - provides information used to calculate an estimated premium
What is the difference between item 3.A. and 3.C. ? - CORRECT ANSWER - Item 3.A.
triggers Workers Compensation Insurance for the state or states listed in which the policyholder
has ongoing operations. In item 3.C., all the other states in the U.S., except those shown in item
3.A. and the monopolistic states, are shown or listed to trigger Other States Insurance for claims
that could be made in that state by employees who are there on a temporary basis. For example,
in item 3.C., a business located only in Oklahoma might have listed: "All states except OK, ND,
OH, WA, WY."
What is the experience modifier and what is its purpose? - CORRECT ANSWER - The
experience modifier reflects employers claims experience, that is, the frequency and severity, or
cost, of claims. The experience modifier—a value that is normally more or less than 1.0—is used
to calculate an employer's premium
What is the general purpose of section A of the workers compensation coverage page? -
CORRECT ANSWER - Explains the policy's role as an insurance contract
What is the general purpose of section B of the workers compensation coverage page? -
CORRECT ANSWER - Clarifies who is insured
What is the general purpose of section C of the workers compensation coverage page? -
CORRECT ANSWER - Describes workers compensation law
What is the general purpose of section D of the workers compensation coverage page? -
CORRECT ANSWER - Explains in which states coverage applies
, What is the general purpose of section E of the workers compensation coverage page? -
CORRECT ANSWER - Explains in which states coverage applies, Identifies workplace
locations where coverage applies
Explain what Paragraph C. in the General Section of the Workers Compensation and Employers
Liability Insurance Policy does not apply to. - CORRECT ANSWER - Paragraph C. does
not focus on federal workers or federal workers compensation laws.
Part ______________________________ of the Workers Compensation Insurance Form
outlines how the ______________________________ applies. It applies to a bodily injury by
______________________________, or a bodily injury by disease, that occurred
______________________________ the policy period and which was
______________________________ by the conditions of employment. - CORRECT
ANSWER - One,
Insurance,
Accident,
During,
Caused or Aggrevated
Medical - CORRECT ANSWER - reasonable and necessary treatment for an injury
Disability - CORRECT ANSWER - compensation for types of permanent injury,
compensation for lost wages
Rehabilitation - CORRECT ANSWER - restoration of an employee's physical capacity
Death - CORRECT ANSWER - financial support for beneficiaries
What are the medical and disability benefits that are associated with workers compensation
based on? What are their time limits? - CORRECT ANSWER - Workers compensation
would pay medical costs for all reasonable injuries, with no time limit. Disability benefits are
based on an injured employee's income and are limited to the extent of their disability.
Guide UPDATED ACTUAL Exam Questions
and CORRECT Answers
State workers compensation laws are a no fault system. T/F - CORRECT ANSWER - True
Employer purchase of workers compensation insurance is voluntary in all states but Texas and
New Jersey. T/F - CORRECT ANSWER - False
It is mandatory in all states but Texas and New Jersey.
One advantage of workers compensation insurance for employers is predictable costs. T/F -
CORRECT ANSWER - True
List four states that workers compensation is a monopolistic state fund. - CORRECT
ANSWER - North Dakota, Ohio, Wyoming, Washington
List two states where workers comp insurance is elective. - CORRECT ANSWER - Texas
and New Jersey
Things listed in Item 1 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - The employers type of organization
Things listed in Item 2 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - Policies Effective Date and Expiration Date
Things listed in Item 3 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - the list of states in which an insured has or expects to have
operations
,description of the employers liability coverage
details the limits of insurance for employers liability
Things listed in Item 4 of the Information page (Dec Page) of a workers compensation policy. -
CORRECT ANSWER - provides information used to calculate an estimated premium
What is the difference between item 3.A. and 3.C. ? - CORRECT ANSWER - Item 3.A.
triggers Workers Compensation Insurance for the state or states listed in which the policyholder
has ongoing operations. In item 3.C., all the other states in the U.S., except those shown in item
3.A. and the monopolistic states, are shown or listed to trigger Other States Insurance for claims
that could be made in that state by employees who are there on a temporary basis. For example,
in item 3.C., a business located only in Oklahoma might have listed: "All states except OK, ND,
OH, WA, WY."
What is the experience modifier and what is its purpose? - CORRECT ANSWER - The
experience modifier reflects employers claims experience, that is, the frequency and severity, or
cost, of claims. The experience modifier—a value that is normally more or less than 1.0—is used
to calculate an employer's premium
What is the general purpose of section A of the workers compensation coverage page? -
CORRECT ANSWER - Explains the policy's role as an insurance contract
What is the general purpose of section B of the workers compensation coverage page? -
CORRECT ANSWER - Clarifies who is insured
What is the general purpose of section C of the workers compensation coverage page? -
CORRECT ANSWER - Describes workers compensation law
What is the general purpose of section D of the workers compensation coverage page? -
CORRECT ANSWER - Explains in which states coverage applies
, What is the general purpose of section E of the workers compensation coverage page? -
CORRECT ANSWER - Explains in which states coverage applies, Identifies workplace
locations where coverage applies
Explain what Paragraph C. in the General Section of the Workers Compensation and Employers
Liability Insurance Policy does not apply to. - CORRECT ANSWER - Paragraph C. does
not focus on federal workers or federal workers compensation laws.
Part ______________________________ of the Workers Compensation Insurance Form
outlines how the ______________________________ applies. It applies to a bodily injury by
______________________________, or a bodily injury by disease, that occurred
______________________________ the policy period and which was
______________________________ by the conditions of employment. - CORRECT
ANSWER - One,
Insurance,
Accident,
During,
Caused or Aggrevated
Medical - CORRECT ANSWER - reasonable and necessary treatment for an injury
Disability - CORRECT ANSWER - compensation for types of permanent injury,
compensation for lost wages
Rehabilitation - CORRECT ANSWER - restoration of an employee's physical capacity
Death - CORRECT ANSWER - financial support for beneficiaries
What are the medical and disability benefits that are associated with workers compensation
based on? What are their time limits? - CORRECT ANSWER - Workers compensation
would pay medical costs for all reasonable injuries, with no time limit. Disability benefits are
based on an injured employee's income and are limited to the extent of their disability.
