FLORIDA PERSONAL LINES
COMPREHENSIVE TEST SOLVED
QUESTIONS
◉ Which of the following is true regarding the Fine Arts Floater?
A.) Coverage is limited to the United States, Canada, and Mexico
B.) Coverage is primarily for stamps and coins
C.) It provides automatic coverage on newly acquired items for 90
days
D.) It settles losses on an ACV basis. Answer: C.) It provides
automatic coverage on newly acquired items for 90 days
◉ All of the following statements are correct about a Homeowners
Policy, except:
A.) Home schooling is covered under a Homeowners Policy
B.) Coverage D of a Homeowners Policy includes loss of income from
an incidental business
C.) A Homeowners Policy will not cover theft of a boat away from
premises
D.) Coverage D of a Homeowners Policy covers additional living
expenses. Answer: B.) Coverage D of a Homeowners Policy includes
loss of income from an incidental business
,◉ Under disability income insurance, a monthly benefit will be
________ of the insured's monthly income.
A.) 80 1/2%
B.) 66 2/3%
C.) 70 2/3%
D.) 50 3/4%. Answer: B.) 66 2/3%
◉ All of the following items of property are considered property not
covered under Coverage C of a Homeowners policy, except:
A.) Credit cards
B.) Personal property of a guest
C.) Pets
D.) Personal property of a tenant. Answer: B.) Personal property of a
guest
◉ Which of the following is NOT a purpose of licensing?
A.) For the applicant to be familiar with the Florida insurance laws
B.) To authorize and enable the licensee to actively and in good faith
engage in the insurance business as an agent
,C.) To facilitate the public supervision of such activities in the public
interest
D.) To authorize the agent to insure risks. Answer: D.) To authorize
the agent to insure risks
◉ Liability coverage provided by a Personal Auto policy would cover
which of the following damages?
A.) Damage to property being transported by the insured in a
covered auto
B.) Damage to a private garage rented to the insured, caused by the
insured's child driving a covered auto
C.) Damage to a neighbor's riding lawn mower that is in the care of
the insured
D.) Damage to a storefront caused by a valet driver operating a
covered auto. Answer: B.) Damage to a private garage rented to the
insured, caused by the insured's child driving a covered auto
◉ Which policy provision omits certain risks from coverage?
A.) Conditions
B.) Additional Coverages
C.) Exclusions
D.) Declarations. Answer: C.) Exclusions
, ◉ When an underlying policy does not cover a particular loss, the
insured's Umbrella Liability policy will drop down and cover the
entire loss, after payment by the insured of a:
A.) Deductible
B.) Self-insured retention
C.) Copayment
D.) Commission. Answer: B.) Self-insured retention
◉ Liability coverage may be provided by a Homeowners policy for
the insured's use of which of the following watercraft?
A.) 20-foot sailing boat
B.) Private yacht owned by the insured
C.) Rented pontoon boat to entertain business clients
D.) Racing cruiser. Answer: A.) 20-foot sailing boat
◉ An insured owns a home with a replacement cost of $300,000 and
a market value of $250,000. What is the most a valued policy will
pay in the event of a total loss without a deductible?
A.) $240,000
COMPREHENSIVE TEST SOLVED
QUESTIONS
◉ Which of the following is true regarding the Fine Arts Floater?
A.) Coverage is limited to the United States, Canada, and Mexico
B.) Coverage is primarily for stamps and coins
C.) It provides automatic coverage on newly acquired items for 90
days
D.) It settles losses on an ACV basis. Answer: C.) It provides
automatic coverage on newly acquired items for 90 days
◉ All of the following statements are correct about a Homeowners
Policy, except:
A.) Home schooling is covered under a Homeowners Policy
B.) Coverage D of a Homeowners Policy includes loss of income from
an incidental business
C.) A Homeowners Policy will not cover theft of a boat away from
premises
D.) Coverage D of a Homeowners Policy covers additional living
expenses. Answer: B.) Coverage D of a Homeowners Policy includes
loss of income from an incidental business
,◉ Under disability income insurance, a monthly benefit will be
________ of the insured's monthly income.
A.) 80 1/2%
B.) 66 2/3%
C.) 70 2/3%
D.) 50 3/4%. Answer: B.) 66 2/3%
◉ All of the following items of property are considered property not
covered under Coverage C of a Homeowners policy, except:
A.) Credit cards
B.) Personal property of a guest
C.) Pets
D.) Personal property of a tenant. Answer: B.) Personal property of a
guest
◉ Which of the following is NOT a purpose of licensing?
A.) For the applicant to be familiar with the Florida insurance laws
B.) To authorize and enable the licensee to actively and in good faith
engage in the insurance business as an agent
,C.) To facilitate the public supervision of such activities in the public
interest
D.) To authorize the agent to insure risks. Answer: D.) To authorize
the agent to insure risks
◉ Liability coverage provided by a Personal Auto policy would cover
which of the following damages?
A.) Damage to property being transported by the insured in a
covered auto
B.) Damage to a private garage rented to the insured, caused by the
insured's child driving a covered auto
C.) Damage to a neighbor's riding lawn mower that is in the care of
the insured
D.) Damage to a storefront caused by a valet driver operating a
covered auto. Answer: B.) Damage to a private garage rented to the
insured, caused by the insured's child driving a covered auto
◉ Which policy provision omits certain risks from coverage?
A.) Conditions
B.) Additional Coverages
C.) Exclusions
D.) Declarations. Answer: C.) Exclusions
, ◉ When an underlying policy does not cover a particular loss, the
insured's Umbrella Liability policy will drop down and cover the
entire loss, after payment by the insured of a:
A.) Deductible
B.) Self-insured retention
C.) Copayment
D.) Commission. Answer: B.) Self-insured retention
◉ Liability coverage may be provided by a Homeowners policy for
the insured's use of which of the following watercraft?
A.) 20-foot sailing boat
B.) Private yacht owned by the insured
C.) Rented pontoon boat to entertain business clients
D.) Racing cruiser. Answer: A.) 20-foot sailing boat
◉ An insured owns a home with a replacement cost of $300,000 and
a market value of $250,000. What is the most a valued policy will
pay in the event of a total loss without a deductible?
A.) $240,000
