TEXAS INSURANCE LICENSE EXAM 2025 ACTUAL EXAM 2 VERSIONS
Texas Insurance License exam
(VERSION A AND B) QUESTIONS WITH DETAILED VERIFIED ANSWERS
Study online at https://quizlet.com/_eeyc39
(100% CORRECT ANSWERS) /ALREADY GRADED A+
1. Unless otherwise stated by the policy, property cov- Actual cash value
ered by the Building and Personal Property Cover-
age Form is valued on what basis?
2. Under a Commercial General Liability policy, all of The insurer may cancel the
the following statements about the supplemental SERP after the insured pays the
extended reporting period are correct, except: premium
3. Which of the following statements is correct re- PIP coverage covers insureds
garding PIP coverage in Texas? and their guests without re-
gard to fault or to coordination
of benefits
4. Which of the following statements regarding types Direct losses include addition-
of property loss is incorrect? al living expenses
5. What is the maximum amount supplementary pay- $2,000
ments coverage provided by a Business Auto policy
will pay for the cost of bail bonds related to a cov-
ered accident?
6. Under a Business Auto policy, which of the follow- Labor must be performed at
ing statements about towing coverage provided the place of disablement to be
under the policy's physical damage coverage is cor- covered
rect?
7. Commercial Crime insurance policies are typically The mysterious disappearance
able to cover losses resulting from all of the follow- of property
ing, except:
8. An insured with a Personal Auto policy on their car Provided on an excess basis
is using a non-owned auto to run errands. Under
, Texas Insurance License exam
Study online at https://quizlet.com/_eeyc39
the insured's policy, liability coverage for use of the
non-owned auto is:
9. After unintentionally running a red light, L causes Be paid in addition to the pol-
an accident with T. T's sedan is badly damaged, and icy's liability limits
T's arm is broken. A few months after the accident,
T brings a suit against L, asking for damages for
medical costs incurred for the broken arm and oth-
er injuries sustained in the accident. Under Part
A of L's Personal Auto policy, supplementary pay-
ments in connection with the insurer's defense will:
10. All of the following are common law defenses Statute of limitations
against negligence, except:
11. Under Coverage C - Household Personal Property Furniture in the dwelling
on a Farm Property policy, coverage is provided for:
12. Which of the following must participate in a Work- Insurers that are authorized to
ers' Compensation Assigned Risk Plan? write Workers' Compensation
in the voluntary market
13. A company that sells mobile equipment has its 3 years
stock protected under an Equipment Dealers
Floater. Records of the company's business, includ-
ing itemized inventories and sales records, must be
retained for at least how long after the policy ends?
14. Which is true of Coverage C of the Dwelling Policy? Coverage C provides coverage
for the personal property of a
guest
15.
, Texas Insurance License exam
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After a building loss, the insured on a Businessown- 12 months after the direct
ers policy incurs extra expenses to minimize the physical loss
suspension of business. Extra expense coverage is
provided during the period of restoration and for
up to:
16. J owns a home protected by a property insurance Tarp the roof to protect the the
policy. A severe windstorm creates an opening in roof and the guest suite from
the roof that exposes the upstairs guest suite in further damage
J's home and causes rain damage to the carpet. In
order to collect claim payments from the carrier for
the damaged roof and carpet, J is required to:
17. Under the U.S. Longshore and Harbor Workers' The crew of a ship
Compensation Act, all of the following are covered,
except:
18. A claimant brings suit against the insured for neg- Contributory negligence
ligence. The insured's defense argues that the
claimant participated in causing the loss and was
partially negligent, meaning the claimant is not
owed any damages for the loss. This is an example
of:
19. Y has an unendorsed Special Form Homeowners Deny coverage
policy (HO-3) on their home with a $500 deductible.
The home's old sewer system backs up, resulting
in $1,500 of damage to floors and Y's personal
property. When Y submits information related to
the loss to the insurer, the insurer will:
20. Which of the following coverages is not available Workers' Compensation
under a Businessowners policy?
Texas Insurance License exam
(VERSION A AND B) QUESTIONS WITH DETAILED VERIFIED ANSWERS
Study online at https://quizlet.com/_eeyc39
(100% CORRECT ANSWERS) /ALREADY GRADED A+
1. Unless otherwise stated by the policy, property cov- Actual cash value
ered by the Building and Personal Property Cover-
age Form is valued on what basis?
2. Under a Commercial General Liability policy, all of The insurer may cancel the
the following statements about the supplemental SERP after the insured pays the
extended reporting period are correct, except: premium
3. Which of the following statements is correct re- PIP coverage covers insureds
garding PIP coverage in Texas? and their guests without re-
gard to fault or to coordination
of benefits
4. Which of the following statements regarding types Direct losses include addition-
of property loss is incorrect? al living expenses
5. What is the maximum amount supplementary pay- $2,000
ments coverage provided by a Business Auto policy
will pay for the cost of bail bonds related to a cov-
ered accident?
6. Under a Business Auto policy, which of the follow- Labor must be performed at
ing statements about towing coverage provided the place of disablement to be
under the policy's physical damage coverage is cor- covered
rect?
7. Commercial Crime insurance policies are typically The mysterious disappearance
able to cover losses resulting from all of the follow- of property
ing, except:
8. An insured with a Personal Auto policy on their car Provided on an excess basis
is using a non-owned auto to run errands. Under
, Texas Insurance License exam
Study online at https://quizlet.com/_eeyc39
the insured's policy, liability coverage for use of the
non-owned auto is:
9. After unintentionally running a red light, L causes Be paid in addition to the pol-
an accident with T. T's sedan is badly damaged, and icy's liability limits
T's arm is broken. A few months after the accident,
T brings a suit against L, asking for damages for
medical costs incurred for the broken arm and oth-
er injuries sustained in the accident. Under Part
A of L's Personal Auto policy, supplementary pay-
ments in connection with the insurer's defense will:
10. All of the following are common law defenses Statute of limitations
against negligence, except:
11. Under Coverage C - Household Personal Property Furniture in the dwelling
on a Farm Property policy, coverage is provided for:
12. Which of the following must participate in a Work- Insurers that are authorized to
ers' Compensation Assigned Risk Plan? write Workers' Compensation
in the voluntary market
13. A company that sells mobile equipment has its 3 years
stock protected under an Equipment Dealers
Floater. Records of the company's business, includ-
ing itemized inventories and sales records, must be
retained for at least how long after the policy ends?
14. Which is true of Coverage C of the Dwelling Policy? Coverage C provides coverage
for the personal property of a
guest
15.
, Texas Insurance License exam
Study online at https://quizlet.com/_eeyc39
After a building loss, the insured on a Businessown- 12 months after the direct
ers policy incurs extra expenses to minimize the physical loss
suspension of business. Extra expense coverage is
provided during the period of restoration and for
up to:
16. J owns a home protected by a property insurance Tarp the roof to protect the the
policy. A severe windstorm creates an opening in roof and the guest suite from
the roof that exposes the upstairs guest suite in further damage
J's home and causes rain damage to the carpet. In
order to collect claim payments from the carrier for
the damaged roof and carpet, J is required to:
17. Under the U.S. Longshore and Harbor Workers' The crew of a ship
Compensation Act, all of the following are covered,
except:
18. A claimant brings suit against the insured for neg- Contributory negligence
ligence. The insured's defense argues that the
claimant participated in causing the loss and was
partially negligent, meaning the claimant is not
owed any damages for the loss. This is an example
of:
19. Y has an unendorsed Special Form Homeowners Deny coverage
policy (HO-3) on their home with a $500 deductible.
The home's old sewer system backs up, resulting
in $1,500 of damage to floors and Y's personal
property. When Y submits information related to
the loss to the insurer, the insurer will:
20. Which of the following coverages is not available Workers' Compensation
under a Businessowners policy?
