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AD Banker Property & Casualty Practice Test
Questions with Detailed Verified Answers
An applicant makes a statement on the insurance application
which becomes part of the contract that she has an alarm system
which qualifies her for a premium discount. This statement is
considered a ________.
⼀Answer:⼀ Warranty
In an insurance contract, the value that each party gives the other
is called the _____________.
⼀Answer:⼀ Consideration
An insurer that is authorized to do business in a particular state is
said to be ________.
⼀Answer:⼀ Admitted
Which part of a property insurance policy describes the perils?
⼀Answer:⼀ Insuring Agreement
The formal statement that verifies details so the insurer can
determine liability is called _ _____ __ ____.
⼀Answer:⼀ A Proof of Loss
All of the following are true regarding the Broad Theft
Endorsement on a Dwelling policy, except:
A. It applies only to owner occupied structures
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B. It may be added to any of the Dwelling forms
C. It also includes vandalism resulting from theft
D. Only on-premises coverage is available
⼀Answer:⼀ Only on-premises coverage is available
Section II of a Homeowner's policy may cover which of the
following incidents?
A. Bodily injury caused by an insured's activities while picnicking
at a city park
B. An insured's guest damages the stair railing during a visit
C. The insured hits and injures a swimmer while enjoying a ride in
an owned inboard motorboat
D. The homeowner's family dog bites their 2 year old son
⼀Answer:⼀ Bodily injury caused by an insured's activities while
picnicking at a city park
Medical payments under Section II of the Homeowners Policy
would cover all of the following, except:
A. Prosthetic devices
B. Medical and surgical expenses
C. Loss of Income of an injured Person
D. Dental expenses
⼀Answer:⼀ Loss of Income of an injured person
Under the unendorsed Homeowners Policy, jewelry is covered up
to what amount?
⼀Answer:⼀ $1,500 for loss by theft
In respect to Section II of a Homeowners Policy, all of the
following are true, except:
AD Banker Property & Casualty Practice Test
Questions with Detailed Verified Answers
An applicant makes a statement on the insurance application
which becomes part of the contract that she has an alarm system
which qualifies her for a premium discount. This statement is
considered a ________.
⼀Answer:⼀ Warranty
In an insurance contract, the value that each party gives the other
is called the _____________.
⼀Answer:⼀ Consideration
An insurer that is authorized to do business in a particular state is
said to be ________.
⼀Answer:⼀ Admitted
Which part of a property insurance policy describes the perils?
⼀Answer:⼀ Insuring Agreement
The formal statement that verifies details so the insurer can
determine liability is called _ _____ __ ____.
⼀Answer:⼀ A Proof of Loss
All of the following are true regarding the Broad Theft
Endorsement on a Dwelling policy, except:
A. It applies only to owner occupied structures
, Page | 2
B. It may be added to any of the Dwelling forms
C. It also includes vandalism resulting from theft
D. Only on-premises coverage is available
⼀Answer:⼀ Only on-premises coverage is available
Section II of a Homeowner's policy may cover which of the
following incidents?
A. Bodily injury caused by an insured's activities while picnicking
at a city park
B. An insured's guest damages the stair railing during a visit
C. The insured hits and injures a swimmer while enjoying a ride in
an owned inboard motorboat
D. The homeowner's family dog bites their 2 year old son
⼀Answer:⼀ Bodily injury caused by an insured's activities while
picnicking at a city park
Medical payments under Section II of the Homeowners Policy
would cover all of the following, except:
A. Prosthetic devices
B. Medical and surgical expenses
C. Loss of Income of an injured Person
D. Dental expenses
⼀Answer:⼀ Loss of Income of an injured person
Under the unendorsed Homeowners Policy, jewelry is covered up
to what amount?
⼀Answer:⼀ $1,500 for loss by theft
In respect to Section II of a Homeowners Policy, all of the
following are true, except:
