IDAHO PROPERTY AND CASUALTY
INSURANCE Exam 2 Questions and Answers
Updated Latest Graded A+
1. another name for insurance agent is:
principal
producer
broker
recorder
: producer
2. another name for insurer is:
principal
producer
broker
policymaker
: principal
3. The Broad Form Products Coverage endorsement in commercial auto poli-
cies does which of the following?
Adds property coverage
Removes the defective products exclusion
,Adds the defective products exclusion
Removes property coverage
: Removes the defective products exclusion
4. All of the following conditions must exist for injury or damage to be included
in the products and completed operations hazard of a commercial general
liability policy EXCEPT
The injury or damage must occur after the insured has released physical
possession of the product to another.
The injury or damage must occur within 90 days after the insured's work is
completed.
The injury or damage must occur away from the inured premises.
The injury or damage must arise out of the insured's product or work.
: The injury or damage must occur within 90 days after the insured's work is
completed.
*The products and completed operations hazard included injuries or damage that
occur after the insured has completed its job and left the site, or relinquished control
of t product it manufactured or sold. There is no time limit on the injury or damage.
5. CGL Coverage B (Personal and Advertising Injury) will cover
,An offense committed by an insured whose business is advertising.
Inadvertent injury to others caused in the course of advertising the insured's
product.
The failure of goods o conform to advertised quality or performance.
Oral or written publication of material the insured knows is false.
: Inadvertentinjury to others caused in the course of advertising the insured's
product.
6. An applicant knowingly fails to communicate information that would help an
underwriter make a sound decision regarding coverage. This is an example of:
Concealment
Misrepresentation
Fraud
Breach of warranty
: Concealment
7. When a parent is required to pay for damages caused by his or her children,
this is an example of
Strict liability
Intervening cause
Assumption of risk
, Vicarious liability
: Vicarious liability
8. Which of the following statements is true regarding a mobile equipment
endorsement in commercial auto policies?
Mobile equipment is covered for property insurance.
The endorsement is available for additional premium.
The endorsement is automatic.
Liability coverage is not provided on equipment that is being towed.
: Theendorsement is available for additional premium
9. What is the legal defense that can be used in most states in which propor-
tionate damages may be awarded when both the plaintiff and defendant were
negligent?
Proximate cause
Comparative negligence
Relative degree of damage statute
Contributory negligence: Comparative negligence
INSURANCE Exam 2 Questions and Answers
Updated Latest Graded A+
1. another name for insurance agent is:
principal
producer
broker
recorder
: producer
2. another name for insurer is:
principal
producer
broker
policymaker
: principal
3. The Broad Form Products Coverage endorsement in commercial auto poli-
cies does which of the following?
Adds property coverage
Removes the defective products exclusion
,Adds the defective products exclusion
Removes property coverage
: Removes the defective products exclusion
4. All of the following conditions must exist for injury or damage to be included
in the products and completed operations hazard of a commercial general
liability policy EXCEPT
The injury or damage must occur after the insured has released physical
possession of the product to another.
The injury or damage must occur within 90 days after the insured's work is
completed.
The injury or damage must occur away from the inured premises.
The injury or damage must arise out of the insured's product or work.
: The injury or damage must occur within 90 days after the insured's work is
completed.
*The products and completed operations hazard included injuries or damage that
occur after the insured has completed its job and left the site, or relinquished control
of t product it manufactured or sold. There is no time limit on the injury or damage.
5. CGL Coverage B (Personal and Advertising Injury) will cover
,An offense committed by an insured whose business is advertising.
Inadvertent injury to others caused in the course of advertising the insured's
product.
The failure of goods o conform to advertised quality or performance.
Oral or written publication of material the insured knows is false.
: Inadvertentinjury to others caused in the course of advertising the insured's
product.
6. An applicant knowingly fails to communicate information that would help an
underwriter make a sound decision regarding coverage. This is an example of:
Concealment
Misrepresentation
Fraud
Breach of warranty
: Concealment
7. When a parent is required to pay for damages caused by his or her children,
this is an example of
Strict liability
Intervening cause
Assumption of risk
, Vicarious liability
: Vicarious liability
8. Which of the following statements is true regarding a mobile equipment
endorsement in commercial auto policies?
Mobile equipment is covered for property insurance.
The endorsement is available for additional premium.
The endorsement is automatic.
Liability coverage is not provided on equipment that is being towed.
: Theendorsement is available for additional premium
9. What is the legal defense that can be used in most states in which propor-
tionate damages may be awarded when both the plaintiff and defendant were
negligent?
Proximate cause
Comparative negligence
Relative degree of damage statute
Contributory negligence: Comparative negligence
