SOUTH CAROLINA PROPERTY AND CASUALTY
UPDATED EXAMS TEST PAPER QUESTIONS AND
ANSWERS SURE A+
✔✔All of the following are true statements regarding the supplementary payments of a
commercial general liability policy EXCEPT: - ✔✔They pay defense costs even after the
aggregate limit has been reached
✔✔The inspections and surveys condition in a business owners policy _________. -
✔✔Allows the insurer the right to inspect the insured's premises
✔✔What is the maximum penalty for habitual willful noncompliance with the Fair Credit
Reporting Act? - ✔✔$2,500
✔✔What will happen if a house covered by a standard mortgage clause is a total loss? -
✔✔the insurer pays the mortgage according to the mortgagee's interest in the property
✔✔Which of the following would be covered under the Garage Liability Coverage Form?
- ✔✔Insured's business premises
✔✔The part of a policy that clarifies terms in the policy is the _______. - ✔✔Definitions
, ✔✔Which of the following produces evaluations of insurers' financial status often used
by state departments of the insurance? - ✔✔AM Best
✔✔Under a business owners policy, a loss of earnings is subject to ________. - ✔✔12
month time limit for business income
✔✔Which of the following is NOT true regarding mobile agricultural machinery and
equipment coverage? - ✔✔This coverage must be written as part of farm coverage
✔✔The party to a surety or fidelity bond who promises to fulfill the obligation is the
______. - ✔✔Principal
✔✔If an insurance company makes a statement that its policies are guaranteed by the
existence of the Insurance Guaranty Association, that would be considered _________.
- ✔✔An unfair trade practice
✔✔In a dwelling policy, which of the following provides coverage for additional living
expenses incurred by an owner-occupant in the event a covered peril makes the
premises uninhabitable due to a covered loss? - ✔✔Coverage E
✔✔If an insured owns a watch valued at $10,000 full coverage can be provided on a
home owners policy by purchasing the ____________. - ✔✔Scheduled personal
property endorsement
✔✔Employee fidelity may be written in all of the following ways EXCEPT: - ✔✔Location
Schedule
✔✔Under which of the following conditions can broad theft coverage be added to a
dwelling policy? - ✔✔If the insured is owner-occupant of the dwelling
✔✔Which of the following is true regarding the Difference in Conditions (DIC) policies? -
✔✔Each DIC policy is an individually written contract that contains provisions unique to
the particular risk that it covers
✔✔The members of a limited liability company are insureds under a business owners
policy (BOP) if ______. - ✔✔The limited liability company is designated as the named
insured
✔✔What term includes damages where the insured peril was the proximate cause of
loss? - ✔✔Direct loss
UPDATED EXAMS TEST PAPER QUESTIONS AND
ANSWERS SURE A+
✔✔All of the following are true statements regarding the supplementary payments of a
commercial general liability policy EXCEPT: - ✔✔They pay defense costs even after the
aggregate limit has been reached
✔✔The inspections and surveys condition in a business owners policy _________. -
✔✔Allows the insurer the right to inspect the insured's premises
✔✔What is the maximum penalty for habitual willful noncompliance with the Fair Credit
Reporting Act? - ✔✔$2,500
✔✔What will happen if a house covered by a standard mortgage clause is a total loss? -
✔✔the insurer pays the mortgage according to the mortgagee's interest in the property
✔✔Which of the following would be covered under the Garage Liability Coverage Form?
- ✔✔Insured's business premises
✔✔The part of a policy that clarifies terms in the policy is the _______. - ✔✔Definitions
, ✔✔Which of the following produces evaluations of insurers' financial status often used
by state departments of the insurance? - ✔✔AM Best
✔✔Under a business owners policy, a loss of earnings is subject to ________. - ✔✔12
month time limit for business income
✔✔Which of the following is NOT true regarding mobile agricultural machinery and
equipment coverage? - ✔✔This coverage must be written as part of farm coverage
✔✔The party to a surety or fidelity bond who promises to fulfill the obligation is the
______. - ✔✔Principal
✔✔If an insurance company makes a statement that its policies are guaranteed by the
existence of the Insurance Guaranty Association, that would be considered _________.
- ✔✔An unfair trade practice
✔✔In a dwelling policy, which of the following provides coverage for additional living
expenses incurred by an owner-occupant in the event a covered peril makes the
premises uninhabitable due to a covered loss? - ✔✔Coverage E
✔✔If an insured owns a watch valued at $10,000 full coverage can be provided on a
home owners policy by purchasing the ____________. - ✔✔Scheduled personal
property endorsement
✔✔Employee fidelity may be written in all of the following ways EXCEPT: - ✔✔Location
Schedule
✔✔Under which of the following conditions can broad theft coverage be added to a
dwelling policy? - ✔✔If the insured is owner-occupant of the dwelling
✔✔Which of the following is true regarding the Difference in Conditions (DIC) policies? -
✔✔Each DIC policy is an individually written contract that contains provisions unique to
the particular risk that it covers
✔✔The members of a limited liability company are insureds under a business owners
policy (BOP) if ______. - ✔✔The limited liability company is designated as the named
insured
✔✔What term includes damages where the insured peril was the proximate cause of
loss? - ✔✔Direct loss
