NJ PROPERTY, CASUALTY, AND AUTO LICENSING EXAM|WITH COMPLETE SOLUTIONS|ALREADY GRADED A|DOWNLOAD TO PASS

Insuring Agreement company's obligation to pay, includes the perils and coverage for specific or named peril policies Exclusions what the policy will not pay for Definitions names of the persons insured in addition to the named insured are listed here, along with any other (blank) of terms in the policy Additional Coverage coverages under a policy that are provided by the insurer at no extra cost Casualty Policies defense costs over and above liability limits, post-judgement interest, bail bonds and appeal bonds Property Policies debris removal, falls within the insured dwelling limit and cannot exceed the limit Binder temporary proof of coverage before policy is issued (oral is good for 10 days, written for 60 days) Bodily Injury and Property Damage Coverage Amounts Minimum: 15k per person/30k per accident/5k for property; Max is $500k Auto - Personal Assigned Risk Policy PAIP; standard risk 0 points, non-standard risk 1-8 points, assigned risk 9 points. (blank) classification runs for 3 years Auto - Commercial Assigned Risk Policy CAIP; assigned risk policy for commercial vehicles, including private vehicles owned by the business Personal Injury Protection PIP or No-Fault, NJ Representations Act; mandatory, encourage the insured to recover under his/her own policy, tries to reduce premiums and hasten settlements through avoidance of lengthy litigation that would normally be the case. The benefits of the standard policy are statutory and therefor minimal Fire A named peril policy. (blank) policies must be filed with the DOBI commissioner before use and must provide a fairly uniform look, and provide ample space for coverage, limits, rates, policy inception, and expiration dates Friendly Fire fire is within it's intended confines (not covered) Hostile Fire fire is outside it's intended confines Covered Fire Perils fire - hostile, lightening, debris removal, theft within first 5 days Excluded Fire Perils theft (after first 5 days of fire), neglect that gives rise to proximate cause of fire, war, government action, fire - friendly Fair Plan (blank) policies are designed to prevent redlining in urban areas: improve property conditions from an availability standpoint, stabilize the property insurance market, provide coverage for risks which insurance cannot be obtained in the open market $1.5 million FAIR Plan max limit Covered FAIR Plan Perils FAIR: fire, lightening, debris removal Excluded FAIR Plan Perils FAIR: burglary damage, flood, farms (farms are not urban) Dwelling Policy 1st party coverage only, not necessary to be owner-occupied, no more than 4 families or 5 roomers Basic Peril Coverage - DP1 basic peril coverage - named perils - most basic dwelling policy Broad Peril Coverage - DP2 named perils, but more perils than DP1 Special Peril Coverage - DP3 ALL-RISK on dwelling unless specifically excluded and BROAD on contents or personal property Coverage A dwelling + attached structures - no co-insurance requirement unlike homeowners policy Coverage B detached structures - limited to 10% of coverage A amount Coverage C personal property - limited to 50% of coverage A amount / 10% of secondary insurance