PROPERTY AND CASUALTY INSURANCE
CERTIFICATION EVALUATION EXAMS 2025
COMPREHENSIVE QUESTIONS AND
ELABORATED SOLUTION REVIEW GRADED A+
◉ What is the term for the first event in the unbroken chain of events
that resulted in a loss?
A
Proximate cause
B
Indirect cause
C
Incidental cause
D
Efficient cause. Answer: A
◉ Which of the following is true regarding coverage provided by a flood
policy written by the National Flood Insurance Program?
A
Coverage is available only for personal residential buildings
B
,Policies automatically include loss of use coverages
C
Losses to buildings and losses to personal property are subject to
separate deductibles
D
Coverage is available for crops and livestock for eligible farm
properties. Answer: C
◉ When the Extended Non-owned Coverage for Named Individual
Endorsement is added to a Personal Auto policy, it amends the policy to
provide coverage:
A
On a primary basis for the use of any non-owned auto
B
For the use of a non-owned auto as a public or livery conveyance
C
For the named individual's temporary use of a rental vehicle
D
On an excess basis for the named individual's use of an auto furnished to
them for regular use. Answer: D
◉ Under the Property Removed Other Coverage of a Dwelling policy,
which of the following is incorrect?
,A
The coverage does not change the limit of liability that applies to the
property
B
Removed property is covered against direct loss from any peril
C
Under the DP-1, coverage is provided for up to 5 days
D
The policy will not provide any coverage while insured property is being
removed when endangered by a covered peril. Answer: D
◉ All of the following perils are excluded by Homeowners policies,
except:
A
Unintentional loss
B
Expenses incurred to respond to pollutants, by order of a local ordinance
C
Damage caused by radiation
D
Neglecting to save property at the time of loss. Answer: A
, ◉ The Loss Assessment Additional Coverage provided by Section II of a
Homeowners policy will cover the insured's share of loss assessments
charged by any of the following, except:
A
A homeowners association
B
A governmental body
C
An organization of homeowners
D
A corporation of property owners. Answer: B
◉ The provision that the insured's interest in a property insurance policy
may not be transferred to another person without the consent of the
insurance company, is called:
A
Waiver or Change
B
Assignment
C
CERTIFICATION EVALUATION EXAMS 2025
COMPREHENSIVE QUESTIONS AND
ELABORATED SOLUTION REVIEW GRADED A+
◉ What is the term for the first event in the unbroken chain of events
that resulted in a loss?
A
Proximate cause
B
Indirect cause
C
Incidental cause
D
Efficient cause. Answer: A
◉ Which of the following is true regarding coverage provided by a flood
policy written by the National Flood Insurance Program?
A
Coverage is available only for personal residential buildings
B
,Policies automatically include loss of use coverages
C
Losses to buildings and losses to personal property are subject to
separate deductibles
D
Coverage is available for crops and livestock for eligible farm
properties. Answer: C
◉ When the Extended Non-owned Coverage for Named Individual
Endorsement is added to a Personal Auto policy, it amends the policy to
provide coverage:
A
On a primary basis for the use of any non-owned auto
B
For the use of a non-owned auto as a public or livery conveyance
C
For the named individual's temporary use of a rental vehicle
D
On an excess basis for the named individual's use of an auto furnished to
them for regular use. Answer: D
◉ Under the Property Removed Other Coverage of a Dwelling policy,
which of the following is incorrect?
,A
The coverage does not change the limit of liability that applies to the
property
B
Removed property is covered against direct loss from any peril
C
Under the DP-1, coverage is provided for up to 5 days
D
The policy will not provide any coverage while insured property is being
removed when endangered by a covered peril. Answer: D
◉ All of the following perils are excluded by Homeowners policies,
except:
A
Unintentional loss
B
Expenses incurred to respond to pollutants, by order of a local ordinance
C
Damage caused by radiation
D
Neglecting to save property at the time of loss. Answer: A
, ◉ The Loss Assessment Additional Coverage provided by Section II of a
Homeowners policy will cover the insured's share of loss assessments
charged by any of the following, except:
A
A homeowners association
B
A governmental body
C
An organization of homeowners
D
A corporation of property owners. Answer: B
◉ The provision that the insured's interest in a property insurance policy
may not be transferred to another person without the consent of the
insurance company, is called:
A
Waiver or Change
B
Assignment
C
