5/6/25, 6:26 PM Alabama Property and Casualty |EXAM (MULTIPLE CHOICES) AND QUESTION AND ANSWERS 100% CORRECT 2025 Flas…
Alabama Property and Casualty |EXAM
(MULTIPLE CHOICES) AND QUESTION AND
ANSWERS 100% CORRECT 2025
Save
Terms in this set (99)
If a company cancels an Pro Rata Basis
auto policy mid term, the
refund will be made on
a. pro rata basis
b. short rate basis
c. retroactive basis
d. coinsurance basis
What is the term used to Nonrenewal
describe terminating the
insurance relationship at
the end of the policy
period ?
a. cancellation
b. nonrenewal
c. separation
d. exclusion
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 1/23
,5/6/25, 6:26 PM Alabama Property and Casualty |EXAM (MULTIPLE CHOICES) AND QUESTION AND ANSWERS 100% CORRECT 2025 Flas…
Which is the best Loss of Use
example of an indirect
loss ?
a. sequential loss
b. liability loss
c. employee theft
d. loss of use
Which is a two party Property
contract?
A. property
B. casualty
C. liability
D. auto
Insurance Contracts Pure Risk
offset
a. speculative risk
b. pure risk
c. gambling
d. created risk
Which of the following is Casualty
a third party contract ?
a. property
b. casualty
c. earthquake
d. theft
Risk is best defined as Chance of loss
a. chance of loss
b. certainty of loss
c. financially loss
d. sentimental loss
Being subject to a loss is Exposure
a. liability
b. indemnity
c . exposure
d. subrogation
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 2/23
, 5/6/25, 6:26 PM Alabama Property and Casualty |EXAM (MULTIPLE CHOICES) AND QUESTION AND ANSWERS 100% CORRECT 2025 Flas…
The ranking insured in a Named Insured
personal lines contract is
the
a. named insured
b. first named insured
c. mortgagee
d. husband
To be paid under a P&C At the time of the loss
contract, insurable
interest must exist
a. at the time of the
application
b. on the policy date
c. at the time of the loss
d. at the time of claim
settlement
This type of company Mutual
benefits the
policyowners
a. stock
b. mutual
c. foreign
d. alien
Ohio Casualty is doing Foreign Company
regular business in
Indiana. Within the State
of Indiana, Ohio Casualty
would be considered ?
a. domestic company
b. nonadmitted company
c. alien company
d. foreign company
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 3/23
Alabama Property and Casualty |EXAM
(MULTIPLE CHOICES) AND QUESTION AND
ANSWERS 100% CORRECT 2025
Save
Terms in this set (99)
If a company cancels an Pro Rata Basis
auto policy mid term, the
refund will be made on
a. pro rata basis
b. short rate basis
c. retroactive basis
d. coinsurance basis
What is the term used to Nonrenewal
describe terminating the
insurance relationship at
the end of the policy
period ?
a. cancellation
b. nonrenewal
c. separation
d. exclusion
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 1/23
,5/6/25, 6:26 PM Alabama Property and Casualty |EXAM (MULTIPLE CHOICES) AND QUESTION AND ANSWERS 100% CORRECT 2025 Flas…
Which is the best Loss of Use
example of an indirect
loss ?
a. sequential loss
b. liability loss
c. employee theft
d. loss of use
Which is a two party Property
contract?
A. property
B. casualty
C. liability
D. auto
Insurance Contracts Pure Risk
offset
a. speculative risk
b. pure risk
c. gambling
d. created risk
Which of the following is Casualty
a third party contract ?
a. property
b. casualty
c. earthquake
d. theft
Risk is best defined as Chance of loss
a. chance of loss
b. certainty of loss
c. financially loss
d. sentimental loss
Being subject to a loss is Exposure
a. liability
b. indemnity
c . exposure
d. subrogation
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 2/23
, 5/6/25, 6:26 PM Alabama Property and Casualty |EXAM (MULTIPLE CHOICES) AND QUESTION AND ANSWERS 100% CORRECT 2025 Flas…
The ranking insured in a Named Insured
personal lines contract is
the
a. named insured
b. first named insured
c. mortgagee
d. husband
To be paid under a P&C At the time of the loss
contract, insurable
interest must exist
a. at the time of the
application
b. on the policy date
c. at the time of the loss
d. at the time of claim
settlement
This type of company Mutual
benefits the
policyowners
a. stock
b. mutual
c. foreign
d. alien
Ohio Casualty is doing Foreign Company
regular business in
Indiana. Within the State
of Indiana, Ohio Casualty
would be considered ?
a. domestic company
b. nonadmitted company
c. alien company
d. foreign company
https://quizlet.com/1040531930/alabama-property-and-casualty-exam-multiple-choices-and-question-and-answers-100-correct-2025-flash-cards/… 3/23
