ND Casualty Insurance Final Exam
Questions and Actual Answers (2025-
2026) Updated Edition.
Commercial general liability (CGL) - Answer Businesses need general liability insurance to
cover their exposure to liability losses that can result from their business operations. This
coverage may be written alone as a monoline policy, or as part of a commercial package policy
(section II-Liability)
Coverage form includes the following major liability coverages:
o Coverage A- Bodily Injury and Property Damage Liability
o Coverage B- Personal and Advertising Injury Liability
o Coverage C- Medical Payments
Premises and operations Hazard - Answer includes the ownership, maintenance, ofuse of the
insured's premises and all business operations, EXCLUDING the exposures included in the
products and completed operations hazard All liability losses resulting from either the insured's
operations or premises are covered, subject to the policy exclusions and limits
Products and competed operations Hazard - Answer includes injuries or damage that occur
after the insured has completed their job and left the sire, or relinquished control of a product
they manufactured or sold Coverage to protect against the products and completed operations
hazard is optional, although for some types of business risks the coverage is included.
Coverage A - Answer Bodily injury and property damage liability: provides protection for
injury, sickness, disease, or death suffered by third parties because of this insured's business
activities (bodily injury) and protection for damage, destruction, or loss of use of property of
others arising out of the insured's business operations (property damage)
Occurrence - Answer pay for bodily injury and property damage that occurs during the policy
period, even if the loss id not discovered or reported until months or years after the policy
expired.
Claims Made - Answer pays for bodily injury or property damage reported during the policy
period (as long as the loss occurred on or after the retroactive date) However, if the loss actually
occurred during the policy period, but was not reported until after the policy expired, there
would be no coverage.
, Coverage Trigger - Answer what makes a policy respond to a claim. The policy in force when
the claim is first made responds if a claims-made trigger, and the policy in force when the event
occurred responds in an occurrence trigger
Mini-Tail - Answer claims reporting period of a claims made policy is extended for 60 days
after he policy expiration
Midi-Tail - Answer the insured may report the event to the insurer that would give the insured
protection for that event within the next 5 years
Supplemental - Answer the reporting period added by this endorsement is indefinite, meaning
no time limit within which claims must be reported. When coverage is purchased, the policy
limits are reinstated for both known and unknown occurrences are covered.
Retroactive Date - Answer to avoid paying for losses that occurred before the effective date of
claims-made policy, this day is used. Coverage does not apply for any loss that occurred before
this date.
In a claims-made policy, this date is a coverage limitation
Coverage B - Answer Personal Injury and Advertising Injury: covers specific acts that result in a
non-physical injury to another. Personal Injury Protection covers the following:
• Mental Anguish
• False arrest or imprisonment
• Wrongful or unlawful eviction or detention
• Malicious prosecution
• Defamation of character
• Slander or libel
• Invasion of privacy
Advertising Injury - Answer occurs when the insured inadvertently injures another person
during the course of advertising his or her product of service.
• Libel, slander, defamation, violation of others privacy
Questions and Actual Answers (2025-
2026) Updated Edition.
Commercial general liability (CGL) - Answer Businesses need general liability insurance to
cover their exposure to liability losses that can result from their business operations. This
coverage may be written alone as a monoline policy, or as part of a commercial package policy
(section II-Liability)
Coverage form includes the following major liability coverages:
o Coverage A- Bodily Injury and Property Damage Liability
o Coverage B- Personal and Advertising Injury Liability
o Coverage C- Medical Payments
Premises and operations Hazard - Answer includes the ownership, maintenance, ofuse of the
insured's premises and all business operations, EXCLUDING the exposures included in the
products and completed operations hazard All liability losses resulting from either the insured's
operations or premises are covered, subject to the policy exclusions and limits
Products and competed operations Hazard - Answer includes injuries or damage that occur
after the insured has completed their job and left the sire, or relinquished control of a product
they manufactured or sold Coverage to protect against the products and completed operations
hazard is optional, although for some types of business risks the coverage is included.
Coverage A - Answer Bodily injury and property damage liability: provides protection for
injury, sickness, disease, or death suffered by third parties because of this insured's business
activities (bodily injury) and protection for damage, destruction, or loss of use of property of
others arising out of the insured's business operations (property damage)
Occurrence - Answer pay for bodily injury and property damage that occurs during the policy
period, even if the loss id not discovered or reported until months or years after the policy
expired.
Claims Made - Answer pays for bodily injury or property damage reported during the policy
period (as long as the loss occurred on or after the retroactive date) However, if the loss actually
occurred during the policy period, but was not reported until after the policy expired, there
would be no coverage.
, Coverage Trigger - Answer what makes a policy respond to a claim. The policy in force when
the claim is first made responds if a claims-made trigger, and the policy in force when the event
occurred responds in an occurrence trigger
Mini-Tail - Answer claims reporting period of a claims made policy is extended for 60 days
after he policy expiration
Midi-Tail - Answer the insured may report the event to the insurer that would give the insured
protection for that event within the next 5 years
Supplemental - Answer the reporting period added by this endorsement is indefinite, meaning
no time limit within which claims must be reported. When coverage is purchased, the policy
limits are reinstated for both known and unknown occurrences are covered.
Retroactive Date - Answer to avoid paying for losses that occurred before the effective date of
claims-made policy, this day is used. Coverage does not apply for any loss that occurred before
this date.
In a claims-made policy, this date is a coverage limitation
Coverage B - Answer Personal Injury and Advertising Injury: covers specific acts that result in a
non-physical injury to another. Personal Injury Protection covers the following:
• Mental Anguish
• False arrest or imprisonment
• Wrongful or unlawful eviction or detention
• Malicious prosecution
• Defamation of character
• Slander or libel
• Invasion of privacy
Advertising Injury - Answer occurs when the insured inadvertently injures another person
during the course of advertising his or her product of service.
• Libel, slander, defamation, violation of others privacy
