Auto Insurance Exam FX Questions
and Answers
Owned Autos - -Eligible vehicles titled by the insured or acquired during the
policy period
- Non Owned Autos - -any private passenger auto, pickup van or trailer
operated by or in the custody of the named insured or family member, but
are not titled by or furnished for the regular use of the insured.
- Hired Autos - -leased hired, rented or borrowed from someone other than
an employee or partner
- Liability coverage protects the insured against loss arising from legal
liability when an auto that the insured owns, operates or maintains is
involved in an accident - -*Bodily Injury & property damage due to an
accident
*Defense cost as long as the policy covers a particular loss
*Costs for settling or defending the insured as deemed appropriate
- An insured is the person named in an insurance policy that is protected
under the contract and to whom the insurer pay benefits or provide services
- -
- Bodily injury per person/ All Bodily Injuries/property damage per accident -
-25/50/25
- Split Limit coverage uses 3 dollar amounts - -Bodily injury per person/ All
Bodily Injuries/property damage per accident
- Combined Single Limit - -uses one dollar amount indicating the max
coverage for all losses regardless of the number of people involved or the
amount of property damaged
- Out of State COverage - -if a covered auto is involved in an auto accident
that occurs in any state or Canadian province other that then one in which
the auto is principally garaged, the out of state coverage will apply.
- Personal Auto Policy (PAP)
Purpose
Definitions
Types of Autos
A
B
, C
D
E
F - -insurance policy for owners of private passenger vehicles-
Part A - Liability Coverage
Part B- Medical Payments COverage
Part C - Uninsured Motorist Coverage
Part D - COverage for Damage to your Auto
Part E - Duties after an accident or loss
Part F - General Provisions
- PAP contains insuring agreement, exclusions and limits of liability - -Legal
liability, injury to the insured or members of the insureds family, damage to
or loss of the auto itself
- Bodily Injury - -means bodily harm, sickness or disease including death
that results from the injury
- Property Damage - -Physical injury destruction or loss of use of tangible
property
- Collision - -the upset or impact of a covered vehicle or non-owned auto
with another vehicle or object
- Other than collision - -includes losses caused by the:
missiles or falling objects, fire, theft or larceny,
windstorm, hail, water or flood, vandalism or malicious mischief, riot or civil
commotion,
contact with birds or animals and breakage of glass
- Business Auto Coverage - -Covered Auto
Liability COverage
Physical Damage Coverage
Business Auto Conditions
Definitions
- BAP COvered Autos (Section I) - -Explains the designation symbols used in
that coverage form and states if newly acquired and temp vehicles are
covered
- PAP Uninsured Motorist - -*No liability bond or insurance for the vehicle
*the insurance is less than required by the state laws where the accident
occurred
*the accident was a hit and run and driver can't be identified.
*the insurance company denies coverage or is insolvent
and Answers
Owned Autos - -Eligible vehicles titled by the insured or acquired during the
policy period
- Non Owned Autos - -any private passenger auto, pickup van or trailer
operated by or in the custody of the named insured or family member, but
are not titled by or furnished for the regular use of the insured.
- Hired Autos - -leased hired, rented or borrowed from someone other than
an employee or partner
- Liability coverage protects the insured against loss arising from legal
liability when an auto that the insured owns, operates or maintains is
involved in an accident - -*Bodily Injury & property damage due to an
accident
*Defense cost as long as the policy covers a particular loss
*Costs for settling or defending the insured as deemed appropriate
- An insured is the person named in an insurance policy that is protected
under the contract and to whom the insurer pay benefits or provide services
- -
- Bodily injury per person/ All Bodily Injuries/property damage per accident -
-25/50/25
- Split Limit coverage uses 3 dollar amounts - -Bodily injury per person/ All
Bodily Injuries/property damage per accident
- Combined Single Limit - -uses one dollar amount indicating the max
coverage for all losses regardless of the number of people involved or the
amount of property damaged
- Out of State COverage - -if a covered auto is involved in an auto accident
that occurs in any state or Canadian province other that then one in which
the auto is principally garaged, the out of state coverage will apply.
- Personal Auto Policy (PAP)
Purpose
Definitions
Types of Autos
A
B
, C
D
E
F - -insurance policy for owners of private passenger vehicles-
Part A - Liability Coverage
Part B- Medical Payments COverage
Part C - Uninsured Motorist Coverage
Part D - COverage for Damage to your Auto
Part E - Duties after an accident or loss
Part F - General Provisions
- PAP contains insuring agreement, exclusions and limits of liability - -Legal
liability, injury to the insured or members of the insureds family, damage to
or loss of the auto itself
- Bodily Injury - -means bodily harm, sickness or disease including death
that results from the injury
- Property Damage - -Physical injury destruction or loss of use of tangible
property
- Collision - -the upset or impact of a covered vehicle or non-owned auto
with another vehicle or object
- Other than collision - -includes losses caused by the:
missiles or falling objects, fire, theft or larceny,
windstorm, hail, water or flood, vandalism or malicious mischief, riot or civil
commotion,
contact with birds or animals and breakage of glass
- Business Auto Coverage - -Covered Auto
Liability COverage
Physical Damage Coverage
Business Auto Conditions
Definitions
- BAP COvered Autos (Section I) - -Explains the designation symbols used in
that coverage form and states if newly acquired and temp vehicles are
covered
- PAP Uninsured Motorist - -*No liability bond or insurance for the vehicle
*the insurance is less than required by the state laws where the accident
occurred
*the accident was a hit and run and driver can't be identified.
*the insurance company denies coverage or is insolvent
