ExamFX Practice test ACTUAL UPDATED
Exam Questions and CORRECT Answers
which of the following types of property would be covered in any of the homeowners coverage
forms? - CORRECT ANSWER - Landlord furnishings in an on-premises apartment
homeowners policies provide coverage for - CORRECT ANSWER - Business property
while on the residence premises.
which type of property would NOT be covered under the dwelling policy special form Coverage
A - Dwelling? - CORRECT ANSWER - Land on which the dwelling is located
according to the livestock coverage form of a farm property policy, an insurer must pay for
covered losses within how many days after receiving a sworn proof of loss? - CORRECT
ANSWER - 30 days
coverage F (medical payments) under a homeowners policy would cover - CORRECT
ANSWER - a residence employee is injured on the job
all of the following statements regarding a boatowners policy are true EXCEPT - CORRECT
ANSWER - Automatic coverage is provided on replacements for the boat listed in the
declarations provided the insured notifies the insurer within 60 days of purchase and pays any
additional premium required.
How long is a waiting period upon purchase of flood coverage through NFIP? - CORRECT
ANSWER - 30 days
what is the maximum number of roomers or boarders for properties insured under the dwelling
policy? - CORRECT ANSWER -5
,which of the following would NOT be covered by medical payments to others in Section II of
your HO policy? - CORRECT ANSWER - You cut your leg while whacking weeds in
your backyard with your neighbor's weed whacker
which of the following is NOT the consideration in a policy? - CORRECT ANSWER - the
application given to a prospective insured
all of the following are factors in the determination of actual cash value EXCEPT - CORRECT
ANSWER - insurance premium paid
An insured's house is damaged by a fire and is uninhabitable. As a result, the insured has to rent
an apartment until repairs are made. A dwelling insurance policy will pay for the expense of
renting the apartment. Which type of broad or special form coverage does the insured have? -
CORRECT ANSWER - Coverage E - Additional Living Expense
a businessowners policy is - CORRECT ANSWER - A self-contained prepackaged policy
in California, the liability for bodily injury or death to one person has a financial responsibility
liability limit of - CORRECT ANSWER - $15,000
which of the following would be considered an insured under a business auto coverage form? -
CORRECT ANSWER - anyone while using, with permission, a covered auto owned by
the named insured
which of the following other coverages is NOT included in the basic form dwelling policy? -
CORRECT ANSWER - breakage of glass
the proposed insured makes the premium payment on a new insurance policy. If the insured
should die, the insurer will pay the death benefit to the beneficiary if the policy is approved. This
is an example of what kind of contract? - CORRECT ANSWER - conditional
, the common policy condition is a modular part combined with other parts to create the contract.
The common policy condition section contains provisions that are applicable to all lines of
coverage that may be included in the policy. Which of the following provisions would be found
in the common policy conditions section of the policy? - CORRECT ANSWER - the first
named insured may cancel the policy at any time by giving written notice to the insurer
if an insured is in the process of moving to a new location, his personal property coverage under
the dwelling policy will apply on a pro rata basis at both locations for - CORRECT
ANSWER - 30 days
in California, the liability for bodily injury or death to all people is a cumulative liability limit of
- CORRECT ANSWER - $30,000
The rate charged for a Good Driver Discount policy should be at least what percent below the
rate the insured would otherwise have been charged for the same coverage? - CORRECT
ANSWER - 20%
Coverage A - Bodily Injury and Property Damage in the commercial general liability policy will
cover - CORRECT ANSWER - losses due to the insured's negligence
Which bonds may be required when a person appeals to a higher court after a judgment already
has been entered to guarantee that a judgment will be paid? - CORRECT ANSWER -
appeal bonds
which of the following describes contributory negligence? - CORRECT ANSWER - any
degree of negligence by the injured party may bar recovery
an exclusive agent - CORRECT ANSWER - Has a contract with one company
in insurance, an offer is usually made when - CORRECT ANSWER - an applicant submits
an application to the insurer
Exam Questions and CORRECT Answers
which of the following types of property would be covered in any of the homeowners coverage
forms? - CORRECT ANSWER - Landlord furnishings in an on-premises apartment
homeowners policies provide coverage for - CORRECT ANSWER - Business property
while on the residence premises.
which type of property would NOT be covered under the dwelling policy special form Coverage
A - Dwelling? - CORRECT ANSWER - Land on which the dwelling is located
according to the livestock coverage form of a farm property policy, an insurer must pay for
covered losses within how many days after receiving a sworn proof of loss? - CORRECT
ANSWER - 30 days
coverage F (medical payments) under a homeowners policy would cover - CORRECT
ANSWER - a residence employee is injured on the job
all of the following statements regarding a boatowners policy are true EXCEPT - CORRECT
ANSWER - Automatic coverage is provided on replacements for the boat listed in the
declarations provided the insured notifies the insurer within 60 days of purchase and pays any
additional premium required.
How long is a waiting period upon purchase of flood coverage through NFIP? - CORRECT
ANSWER - 30 days
what is the maximum number of roomers or boarders for properties insured under the dwelling
policy? - CORRECT ANSWER -5
,which of the following would NOT be covered by medical payments to others in Section II of
your HO policy? - CORRECT ANSWER - You cut your leg while whacking weeds in
your backyard with your neighbor's weed whacker
which of the following is NOT the consideration in a policy? - CORRECT ANSWER - the
application given to a prospective insured
all of the following are factors in the determination of actual cash value EXCEPT - CORRECT
ANSWER - insurance premium paid
An insured's house is damaged by a fire and is uninhabitable. As a result, the insured has to rent
an apartment until repairs are made. A dwelling insurance policy will pay for the expense of
renting the apartment. Which type of broad or special form coverage does the insured have? -
CORRECT ANSWER - Coverage E - Additional Living Expense
a businessowners policy is - CORRECT ANSWER - A self-contained prepackaged policy
in California, the liability for bodily injury or death to one person has a financial responsibility
liability limit of - CORRECT ANSWER - $15,000
which of the following would be considered an insured under a business auto coverage form? -
CORRECT ANSWER - anyone while using, with permission, a covered auto owned by
the named insured
which of the following other coverages is NOT included in the basic form dwelling policy? -
CORRECT ANSWER - breakage of glass
the proposed insured makes the premium payment on a new insurance policy. If the insured
should die, the insurer will pay the death benefit to the beneficiary if the policy is approved. This
is an example of what kind of contract? - CORRECT ANSWER - conditional
, the common policy condition is a modular part combined with other parts to create the contract.
The common policy condition section contains provisions that are applicable to all lines of
coverage that may be included in the policy. Which of the following provisions would be found
in the common policy conditions section of the policy? - CORRECT ANSWER - the first
named insured may cancel the policy at any time by giving written notice to the insurer
if an insured is in the process of moving to a new location, his personal property coverage under
the dwelling policy will apply on a pro rata basis at both locations for - CORRECT
ANSWER - 30 days
in California, the liability for bodily injury or death to all people is a cumulative liability limit of
- CORRECT ANSWER - $30,000
The rate charged for a Good Driver Discount policy should be at least what percent below the
rate the insured would otherwise have been charged for the same coverage? - CORRECT
ANSWER - 20%
Coverage A - Bodily Injury and Property Damage in the commercial general liability policy will
cover - CORRECT ANSWER - losses due to the insured's negligence
Which bonds may be required when a person appeals to a higher court after a judgment already
has been entered to guarantee that a judgment will be paid? - CORRECT ANSWER -
appeal bonds
which of the following describes contributory negligence? - CORRECT ANSWER - any
degree of negligence by the injured party may bar recovery
an exclusive agent - CORRECT ANSWER - Has a contract with one company
in insurance, an offer is usually made when - CORRECT ANSWER - an applicant submits
an application to the insurer
