Exam Fx-Property and Casualty Exam
|90 Complete Q’s and A’s
To be considered an insurable risk, a loss may NOT be - -catastrophic
- Which of the following persons would be required to hold a producer
license? - -a nonresident agent who negotiates insurance contracts
- Which of the following is the oldest known type of insurance? - -ocean
marine
- The contents coverage on a homeowners policy would pay how much after
the loss of one of a pair of golden candlesticks? - -the difference in the
actual cash value as a pair and as a single
- Which of the following additional perils is covered under both of the Basic
and Broad forms in dwelling policies? - -internal explosion
- When would a misrepresentation on the insurance application be
considered fraud? - -If it is intentional and material
- A bond is written for a set limit, and the surety will be liable only for this
amount. This limit is known as the - -penalty
- In insurance, an offer is usually made when - -the application is submitted
- All of the following actions by a producer may be grounds for license
revocation or non-renewal EXCEPT - -participating in controlled business
- In personal auto policies, the term "you" refers to - -the named insured
- Business personal property coverage form covers all of the following
except: - -automobiles held for sale
- in dwelling policies, automatic increase in insurance is - -coverage by
endorsement
- To be eligible for businessowners policy (BOP) coverage, an office building
CANNOT be higher than - -6 stories
- Elaborate homes with replacement costs greater than ACV or market value
are insured on the - -HO-8 Form
, - Which of the following dwelling coverage forms would pay replacement
cost for the dwelling? - -DP-2 and DP-3
- Business personal property coverage insures property out in the open if it
is - -Within 100 feet of the described premises
- A runaway shopping cart injures a customer in a supermarket's parking lot.
Coverage for this claim would be provided under - -premises and operations
- Which of the following businesses would be eligible for a businessowners
policy? - -Hill & Morton Funeral Home
- The designation symbols used in commercial auto policies can be found in
which policy section? - -covered auto
- Which of the following is used in the formula for calculating the actual cash
value (ACV) of a property? - -replacement cost
- What type of bond guarantees that the principal will complete the contract
as agreed upon? - -performance bond
- Peril is most easily defined as - -The cause of loss insured against
- An insured building has had no residents for 10 years and it is empty of
personal belongings. From an insurance standpoint, the building is - -vacant
- Under a workers compensation policy, premiums will be determined when -
-the policy period ends
- Which commercial property form is used to insure buildings while under
construction? - -Builders risk
- Which of the following information will be found in the Declarations page of
the commercial property policy? - -description of the policy insured
- An insured is injured while driving his own car. Which personal auto
coverage will pay for the loss? - -Part B-Medical Payments
- According to the BOP definitions, which of the following does NOT mean
valuable papers and records? - -Securities
- Supplementary payments under the personal auto policy include all of the
following EXCEPT? - -unlimited cost of bail bonds
- Items of property that would be difficult to appraise after a loss are best
insured with - -stated-amount insurance
|90 Complete Q’s and A’s
To be considered an insurable risk, a loss may NOT be - -catastrophic
- Which of the following persons would be required to hold a producer
license? - -a nonresident agent who negotiates insurance contracts
- Which of the following is the oldest known type of insurance? - -ocean
marine
- The contents coverage on a homeowners policy would pay how much after
the loss of one of a pair of golden candlesticks? - -the difference in the
actual cash value as a pair and as a single
- Which of the following additional perils is covered under both of the Basic
and Broad forms in dwelling policies? - -internal explosion
- When would a misrepresentation on the insurance application be
considered fraud? - -If it is intentional and material
- A bond is written for a set limit, and the surety will be liable only for this
amount. This limit is known as the - -penalty
- In insurance, an offer is usually made when - -the application is submitted
- All of the following actions by a producer may be grounds for license
revocation or non-renewal EXCEPT - -participating in controlled business
- In personal auto policies, the term "you" refers to - -the named insured
- Business personal property coverage form covers all of the following
except: - -automobiles held for sale
- in dwelling policies, automatic increase in insurance is - -coverage by
endorsement
- To be eligible for businessowners policy (BOP) coverage, an office building
CANNOT be higher than - -6 stories
- Elaborate homes with replacement costs greater than ACV or market value
are insured on the - -HO-8 Form
, - Which of the following dwelling coverage forms would pay replacement
cost for the dwelling? - -DP-2 and DP-3
- Business personal property coverage insures property out in the open if it
is - -Within 100 feet of the described premises
- A runaway shopping cart injures a customer in a supermarket's parking lot.
Coverage for this claim would be provided under - -premises and operations
- Which of the following businesses would be eligible for a businessowners
policy? - -Hill & Morton Funeral Home
- The designation symbols used in commercial auto policies can be found in
which policy section? - -covered auto
- Which of the following is used in the formula for calculating the actual cash
value (ACV) of a property? - -replacement cost
- What type of bond guarantees that the principal will complete the contract
as agreed upon? - -performance bond
- Peril is most easily defined as - -The cause of loss insured against
- An insured building has had no residents for 10 years and it is empty of
personal belongings. From an insurance standpoint, the building is - -vacant
- Under a workers compensation policy, premiums will be determined when -
-the policy period ends
- Which commercial property form is used to insure buildings while under
construction? - -Builders risk
- Which of the following information will be found in the Declarations page of
the commercial property policy? - -description of the policy insured
- An insured is injured while driving his own car. Which personal auto
coverage will pay for the loss? - -Part B-Medical Payments
- According to the BOP definitions, which of the following does NOT mean
valuable papers and records? - -Securities
- Supplementary payments under the personal auto policy include all of the
following EXCEPT? - -unlimited cost of bail bonds
- Items of property that would be difficult to appraise after a loss are best
insured with - -stated-amount insurance
