CALIFORNIA PROPERTY AND
CASUALTY QUESTIONS AND ANSWERS
WITH VERIFIED SOLUTIONS 100%
CORRECT RATED A+ NEWLY UPDATED
2025
Q: What does the Insurance Services Organization (ISO) create?
✔✔ Standardized policy forms.
Q: Which perils does the Standard Fire policy cover?
✔✔ Fire, lightning, and removal.
Q: What is the maximum property damage limit under Uninsured Motorists
coverage in California?
✔✔ $3,500.
Q: What are the minimum liability limits required by California law for auto
insurance?
✔✔ 15/30/5.
Q: If carrying minimum limits, what is the most the policy pays if multiple
people are injured?
✔✔ $30,000 (per occurrence bodily injury limit).
Q: If carrying minimum limits, what is the maximum payable for injury to
one person?
✔✔ $15,000 (per person bodily injury limit).
,Q: Does a Personal Auto Policy (PAP) adjust limits when driving out-of-state?
✔✔ Yes. For example, if you have 15/30/5 and drive in Arizona, limits increase
automatically to 15/30/10 to match Arizona minimums.
Q: How much does transportation expense coverage pay under Part D of the
PAP?
✔✔ $20 per day, up to 30 days, if your car is stolen or in repair due to a covered
loss.
Q: What endorsement covers an ATV on a Personal Auto Policy?
✔✔ Miscellaneous vehicles endorsement.
Q: If you crash a company car furnished for your regular use, does your PAP
cover it?
✔✔ No. Coverage can be added by the extended non-owned auto endorsement for
a named individual.
Q: If you crash a company car you use only occasionally, how does PAP
coverage apply?
✔✔ It provides coverage on an excess basis.
Q: What endorsement is useful for a company with fluctuating inventory?
✔✔ Value reporting endorsement to ensure adequate coverage.
Q: Does the Basic Dwelling form (DP-1) cover collapse?
✔✔ No. Only the Special Dwelling form (DP-3) covers collapse.
A condominium owner would purchase an - ANSWER✔✔HO-6.
, If an insured needed coverage for libel and slander you would have to inform them
they would
need to purchase what endorsement? - ANSWER✔✔Personal Injury endorsement
Loss of income may be awarded by a judge and is known as -
ANSWER✔✔Special changes
Workers Compensation cannot be added to a Commercial Package Policy, it is
always - ANSWER✔✔Seperate
Medical payments coverage under what policy will pay if a customer
gets injured on your premises - ANSWER✔✔Commercial General Liability
The HO-3 policy provides all-risk (open-perils) coverage for Coverage A and B,
and broad form
named perils coverage for Coverage C (contents). - ANSWER✔✔True
A non-resident spouse is NOT covered as an insured on a HO policy. -
ANSWER✔✔True
Surplus lines insurance is placed through surplus lines brokers. -
ANSWER✔✔True
Paint to be used to paint the house would be covered under what Coverage? -
ANSWER✔✔Coverage A of the HO policy.
CASUALTY QUESTIONS AND ANSWERS
WITH VERIFIED SOLUTIONS 100%
CORRECT RATED A+ NEWLY UPDATED
2025
Q: What does the Insurance Services Organization (ISO) create?
✔✔ Standardized policy forms.
Q: Which perils does the Standard Fire policy cover?
✔✔ Fire, lightning, and removal.
Q: What is the maximum property damage limit under Uninsured Motorists
coverage in California?
✔✔ $3,500.
Q: What are the minimum liability limits required by California law for auto
insurance?
✔✔ 15/30/5.
Q: If carrying minimum limits, what is the most the policy pays if multiple
people are injured?
✔✔ $30,000 (per occurrence bodily injury limit).
Q: If carrying minimum limits, what is the maximum payable for injury to
one person?
✔✔ $15,000 (per person bodily injury limit).
,Q: Does a Personal Auto Policy (PAP) adjust limits when driving out-of-state?
✔✔ Yes. For example, if you have 15/30/5 and drive in Arizona, limits increase
automatically to 15/30/10 to match Arizona minimums.
Q: How much does transportation expense coverage pay under Part D of the
PAP?
✔✔ $20 per day, up to 30 days, if your car is stolen or in repair due to a covered
loss.
Q: What endorsement covers an ATV on a Personal Auto Policy?
✔✔ Miscellaneous vehicles endorsement.
Q: If you crash a company car furnished for your regular use, does your PAP
cover it?
✔✔ No. Coverage can be added by the extended non-owned auto endorsement for
a named individual.
Q: If you crash a company car you use only occasionally, how does PAP
coverage apply?
✔✔ It provides coverage on an excess basis.
Q: What endorsement is useful for a company with fluctuating inventory?
✔✔ Value reporting endorsement to ensure adequate coverage.
Q: Does the Basic Dwelling form (DP-1) cover collapse?
✔✔ No. Only the Special Dwelling form (DP-3) covers collapse.
A condominium owner would purchase an - ANSWER✔✔HO-6.
, If an insured needed coverage for libel and slander you would have to inform them
they would
need to purchase what endorsement? - ANSWER✔✔Personal Injury endorsement
Loss of income may be awarded by a judge and is known as -
ANSWER✔✔Special changes
Workers Compensation cannot be added to a Commercial Package Policy, it is
always - ANSWER✔✔Seperate
Medical payments coverage under what policy will pay if a customer
gets injured on your premises - ANSWER✔✔Commercial General Liability
The HO-3 policy provides all-risk (open-perils) coverage for Coverage A and B,
and broad form
named perils coverage for Coverage C (contents). - ANSWER✔✔True
A non-resident spouse is NOT covered as an insured on a HO policy. -
ANSWER✔✔True
Surplus lines insurance is placed through surplus lines brokers. -
ANSWER✔✔True
Paint to be used to paint the house would be covered under what Coverage? -
ANSWER✔✔Coverage A of the HO policy.
