Alabama Property and Casualty Exam Questions (A+ GRADED)

Under a Watercraft Policy, which of the following would be covered? 1 - Bodily Injury 2 - Property Damage 3 - Medical Payments to Others correct answers 1,2, and 3 Who pays for the services of the arbitrators under/uninsured motorist coverage? a - The Insurance Company b- The Insured c- The Party that wins the most as a result of arbitration d - Both the Insured and Insurer each pay for the arbitrator they selected and both will split the expense of a third arbitrator. correct answers d- Both the insured and insurer each pay for the arbitrator they selected and both will split the expense of the third arbitrator. Uninsured motorist coverage contains an arbitration clause to settle disputes between the insured and the insurer. Each party selects one arbitrator and each pays for their own arbitrator. The two arbitrators select a third arbitrator. Each party will split the expenses of the third arbitrator. The insured carries $100,000 underinsured motorist coverage under his personal auto policy. He is injured by another driver who carries $25,000 bodily injury limits. If the insured is injured to the extent of $100,000, how much can he collect under his underinsured motorist coverage? a - $25,000 b - $50,000 c - $100,000 d - $75,000 correct answers d - $75,000 The insured could collect up to $75,000. The other driver's policy would pay $25,000 and the insured's UIM coverage would pay the rest of the claim up to $75,000. The insured carries collision and other than collision coverage. Which of the following losses would be considered a collision claim? a - A rock rolls down a hill and strikes the insured vehicle b - The vehicle is damaged when a flood occurs and a large log strikes the vehicle c - The insured is going around a curve and fails to miss a large boulder in the road d - A tree falls on the vehicle causing hood and glass breakage damage correct answers c - The insured is going around a curve and fails to miss a large boulder in the road