PROPERTY INSURANCE PRACTICE EXAM
TEST GRADED A+
this clause establishes the right of the insured to demand this
where agreement concerning the value of the property or the
amount of the loss cannot be reached:
a. additional supplementary payments
b.proof of loss
c.nonrenewal provision
d.appraisal condition Correct Answer d.appraisal condition
when either party (insurer or insured) cannot agree on the amount
of the loss or the value of the property they can request an
appraisal.
the termination of the insurance by voluntary act of the insurance
company or the insured is called:
a.nonrenewal
b.cancellation
c.extension
,d.breach of contract Correct Answer b.cancellation
property insurance provides major coverage, but also provides
insurance for debris removal, trees etc. and these are:
a.extensions or additional coverages
b.endorsements
c.additional mini-policies
d.none of the above Correct Answer a.extensions or additional
coverages
inland marine insurance covers all the following except:
a:leased facilities
b.cargo
c.exports
d.imports Correct Answer a:leased facilities
the insurer may satisfy its obligations by sending a cancellation
notice to:
a.first names insured
b.all names insureds
,c.both a&b
d. none of these Correct Answer a.first names insured
**(REVIEW) any denial of a claim to the insured because of a
failure to comply with the terms of the policy shall not apply to the
mortgagee means the mortgage holder may still have a right to
payments for any loss:
a.if it notifies the insurer or any change in the risk, ownership or
occupancy of the property
b.submits a signed proof of loss
c.pays any premium the insured has failed to pay
d.all of the above Correct Answer d.all of the above
this is a basic form used to insure on an itemized or scheduled
basis certain classes of personal property is:
a.PAF
b.PPF
c.PEF
d.commercial floaters Correct Answer a.PAF
, property value is $300,000. Insurance carried is $200,000. if 80%
coinsurance is required, what would the policy pay if there was a
$60,000 loss and the deductible was $250:
a.$49,750
b.$59,750
c.$60,000
d.$50,250 Correct Answer a.$49,750
IC/IR(80% x property value)x amount loss=Insurer pays-
deductible
(IR=.80 x 300,000)
$200,000/$240,000 x $60,000=$50,000-$250=$49,750
a commercial property standard deductible:
a.$100
b.$250
c.$500
d.$750 Correct Answer b.$250
TEST GRADED A+
this clause establishes the right of the insured to demand this
where agreement concerning the value of the property or the
amount of the loss cannot be reached:
a. additional supplementary payments
b.proof of loss
c.nonrenewal provision
d.appraisal condition Correct Answer d.appraisal condition
when either party (insurer or insured) cannot agree on the amount
of the loss or the value of the property they can request an
appraisal.
the termination of the insurance by voluntary act of the insurance
company or the insured is called:
a.nonrenewal
b.cancellation
c.extension
,d.breach of contract Correct Answer b.cancellation
property insurance provides major coverage, but also provides
insurance for debris removal, trees etc. and these are:
a.extensions or additional coverages
b.endorsements
c.additional mini-policies
d.none of the above Correct Answer a.extensions or additional
coverages
inland marine insurance covers all the following except:
a:leased facilities
b.cargo
c.exports
d.imports Correct Answer a:leased facilities
the insurer may satisfy its obligations by sending a cancellation
notice to:
a.first names insured
b.all names insureds
,c.both a&b
d. none of these Correct Answer a.first names insured
**(REVIEW) any denial of a claim to the insured because of a
failure to comply with the terms of the policy shall not apply to the
mortgagee means the mortgage holder may still have a right to
payments for any loss:
a.if it notifies the insurer or any change in the risk, ownership or
occupancy of the property
b.submits a signed proof of loss
c.pays any premium the insured has failed to pay
d.all of the above Correct Answer d.all of the above
this is a basic form used to insure on an itemized or scheduled
basis certain classes of personal property is:
a.PAF
b.PPF
c.PEF
d.commercial floaters Correct Answer a.PAF
, property value is $300,000. Insurance carried is $200,000. if 80%
coinsurance is required, what would the policy pay if there was a
$60,000 loss and the deductible was $250:
a.$49,750
b.$59,750
c.$60,000
d.$50,250 Correct Answer a.$49,750
IC/IR(80% x property value)x amount loss=Insurer pays-
deductible
(IR=.80 x 300,000)
$200,000/$240,000 x $60,000=$50,000-$250=$49,750
a commercial property standard deductible:
a.$100
b.$250
c.$500
d.$750 Correct Answer b.$250
