california property and casualty exam QUESTIONS WITH ANSWERS

california property and casualty |\ |\ |\ |\




exam QUESTIONS WITH ANSWERS |\ |\ |\




The process where by a mutul insurer becomes a stock company is
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



called - CORRECT ANSWERS ✔✔Demutalization
|\ |\ |\ |\




The process whereby a stock company a mutal insurer is called -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔Mutalization |\ |\




The provision in a property policy which states that the insured has
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



been paid up to their insurable interest is - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



✔✔Valuation clause |\




The part of the policy that states the amout of coverage the insured
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



property policy period is - CORRECT ANSWERS ✔✔Declaration
|\ |\ |\ |\ |\ |\ |\




Part of the policy that establishes limits upon the insurer and the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



insured with the insuance policy - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\



✔✔Conditions


Which are the characterics of negligence - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\



✔✔Duty,breach,proximate cause, damages |\ |\

,Which of the following is not a federal program - CORRECT
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



ANSWERS ✔✔Worker' compensation |\ |\




Absolute risk(liability) is imposed - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\



✔✔When there is negligence whether proven or not
|\ |\ |\ |\ |\ |\ |\




X is in an accident with Y. X suffers $5000 of damage but it is
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



determined that X is 60% responsible for the accident. How much
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



would X receive under CONTRIBUTORY negligence rules? -
|\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔$0 |\ |\




what is the main purpose of tort law - CORRECT ANSWERS ✔✔to
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



determine financial responsibillty for damage
|\ |\ |\ |\




what of the following is not considered an intentional tort? -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔Auto accident |\ |\ |\




Which of the following statements is true regarding compensatory
|\ |\ |\ |\ |\ |\ |\ |\ |\



damages? - CORRECT ANSWERS ✔✔There is usually no direct
|\ |\ |\ |\ |\ |\ |\ |\ |\



correlation between the amount of general and special damages
|\ |\ |\ |\ |\ |\ |\ |\ |\



awarded to the victim |\ |\ |\

,The insurer decides not to renewan insured's personal auto policy.
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\



How much notice must the insurer provide to the insured -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔30 days |\ |\ |\




an insured's loss reserve for a claim isan estimate of the amount
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



insurer will pay for present and future loss, which of the following
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



is an example of loss prevention - CORRECT ANSWERS ✔✔a
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\



homeowner decides not to install a pool in the backyard |\ |\ |\ |\ |\ |\ |\ |\ |\




which of the following describes the act of making a false entry in
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



any book statement of report of any insurer with the intent to device
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



any examiner lawfully appointed to examine the insured's -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔an unfair practice |\ |\ |\ |\




a person can base his/her claim for liability on the basis of all of the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



following EXCEPT - CORRECT ANSWERS ✔✔breach of liability
|\ |\ |\ |\ |\ |\ |\ |\




the term "assignment"refers to - CORRECT ANSWERS ✔✔the
|\ |\ |\ |\ |\ |\ |\ |\



transfer of the insured's interest in a policy to another party
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\




the term "subrogation" refers to - CORRECT ANSWERS ✔✔the
|\ |\ |\ |\ |\ |\ |\ |\ |\



insured's right to recover payment from a responsible 3rd party
|\ |\ |\ |\ |\ |\ |\ |\ |\

, insur's right to recover the payment of the claim after they paid the
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



insured for their property losses a negligent 3rd party is know as, -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔subrogation |\ |\




an insurance deductible is - CORRECT ANSWERS ✔✔the amount
|\ |\ |\ |\ |\ |\ |\ |\ |\



of covered expense that the insured pays before the insurer pays,
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\




all of the following are requirements for a notice by mail to an
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



insured by insurer except - CORRECT ANSWERS ✔✔notice must
|\ |\ |\ |\ |\ |\ |\ |\ |\



be sent with return receipt required
|\ |\ |\ |\ |\




which of the following is considered special damages - CORRECT
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\



ANSWERS ✔✔Compensation for time away from work |\ |\ |\ |\ |\ |\




Which advisory organization(s) develop forms for the standard
|\ |\ |\ |\ |\ |\ |\ |\



market? - CORRECT ANSWERS ✔✔Insurane service office and
|\ |\ |\ |\ |\ |\ |\ |\



American association of insurances |\ |\ |\




Which of the following would be considered special dmamges? -
|\ |\ |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔Lost wages |\ |\ |\




What do the initials S.tA.R.R reperesent? - CORRECT ANSWERS
|\ |\ |\ |\ |\ |\ |\ |\ |\



✔✔Methods of risk mamagement |\ |\ |\