XCEL SOLUTIONS PROPERTY AND
CASUALTY TEST EXAM SCRIPT 2026
QUESTIONS WITH 100% CORRECT
ANSWERS GRADED A+
⩥ M owns a parking garage & has coverage that states: "We will cover
losses regardless if you are legally liable for the loss." This no-fault
ideology will be found under: Answer: Excess Direct Coverage
⩥ An insurance company writing business in a state other than the one in
which it is domiciled is called: Answer: a Foreign
⩥ Y is running a home daycare out of their home & has just earned
$50,000 in her first year of business. Under an HO policy, Y's daycare is
defined as: Answer: Not a business
⩥ Underwriting guards against Answer: Adverse Selection
⩥ A licensee whose name or address changes must notify the Dept of
Insurance within _____ days: Answer: 30 Days
⩥ Assumption of risk: Answer: States that a party will not collect
damages because they should have known what they were doing was
risky
,⩥ Under a DP-2 Broad form, which of the following is not a Broad
peril? Answer: Vandalism
⩥ Which of the following incidents would not be excluded under a DP-3
policy? Answer: Burglary of a property that was vacant for 30
consecutive days
⩥ Which of the following are losses excluded under Coverage F?
Answer: An individual who is eligible to receive disability insurance
⩥ Which of the following will not provide a premium discount from
standard market workers comp insurance? Answer: Assigned Risk Plan
⩥ The face amount of a Surety bond is called the: Answer: Penalty
⩥ M has opened up his business, Tractors & Semis Sales, LLC. His
stock will be covered while it is being transported, if he: Answer: Adds
the equipment dealers floater
⩥ All of the following are correct about the Commercial Endorsement
regarding Spoilage EXCEPT: Answer: Coverage extends to stock off
premises
, ⩥ What is a certificate of authority? Answer: The license required for an
insurer to conduct business in the state
⩥ A licensed producer who lives in another state & transacts insurance
in AZ is called: Answer: A Non-Resident Producer
⩥ Any of the following may be an unfair claims settlement practice
EXCEPT: Answer: Refusing to pay persons bringing false or fraudulent
claims
⩥ What is the best description of an applicant to the AZ auto insurance
plan? Answer: An applicant in good-faith entitled to coverage but unable
to obtain coverage through ordinary methods
⩥ Which statement regarding the identification of the producer rule is
false? Answer: A policy is invalidated if the producer is not identified as
required by law
⩥ If an insured's dog bites a guest that results in a settlement amount of
$150,000 plus attorney fees of $70,000. How much is the insured
personally responsible to pay if their homeowners policy Coverage E
amount was $100,000? Answer: $50,000
CASUALTY TEST EXAM SCRIPT 2026
QUESTIONS WITH 100% CORRECT
ANSWERS GRADED A+
⩥ M owns a parking garage & has coverage that states: "We will cover
losses regardless if you are legally liable for the loss." This no-fault
ideology will be found under: Answer: Excess Direct Coverage
⩥ An insurance company writing business in a state other than the one in
which it is domiciled is called: Answer: a Foreign
⩥ Y is running a home daycare out of their home & has just earned
$50,000 in her first year of business. Under an HO policy, Y's daycare is
defined as: Answer: Not a business
⩥ Underwriting guards against Answer: Adverse Selection
⩥ A licensee whose name or address changes must notify the Dept of
Insurance within _____ days: Answer: 30 Days
⩥ Assumption of risk: Answer: States that a party will not collect
damages because they should have known what they were doing was
risky
,⩥ Under a DP-2 Broad form, which of the following is not a Broad
peril? Answer: Vandalism
⩥ Which of the following incidents would not be excluded under a DP-3
policy? Answer: Burglary of a property that was vacant for 30
consecutive days
⩥ Which of the following are losses excluded under Coverage F?
Answer: An individual who is eligible to receive disability insurance
⩥ Which of the following will not provide a premium discount from
standard market workers comp insurance? Answer: Assigned Risk Plan
⩥ The face amount of a Surety bond is called the: Answer: Penalty
⩥ M has opened up his business, Tractors & Semis Sales, LLC. His
stock will be covered while it is being transported, if he: Answer: Adds
the equipment dealers floater
⩥ All of the following are correct about the Commercial Endorsement
regarding Spoilage EXCEPT: Answer: Coverage extends to stock off
premises
, ⩥ What is a certificate of authority? Answer: The license required for an
insurer to conduct business in the state
⩥ A licensed producer who lives in another state & transacts insurance
in AZ is called: Answer: A Non-Resident Producer
⩥ Any of the following may be an unfair claims settlement practice
EXCEPT: Answer: Refusing to pay persons bringing false or fraudulent
claims
⩥ What is the best description of an applicant to the AZ auto insurance
plan? Answer: An applicant in good-faith entitled to coverage but unable
to obtain coverage through ordinary methods
⩥ Which statement regarding the identification of the producer rule is
false? Answer: A policy is invalidated if the producer is not identified as
required by law
⩥ If an insured's dog bites a guest that results in a settlement amount of
$150,000 plus attorney fees of $70,000. How much is the insured
personally responsible to pay if their homeowners policy Coverage E
amount was $100,000? Answer: $50,000
