State Farm Property Questions and
correct Answers 2024-2025
State Farm Property Questions and
correct Answers 2024-2025
In property insurance actual cash value is defined as which of the following -
✔️Replacement cost at the time of the loss, less depreciation
Peril is most easily defined as -
✔️the cause of loss insured against
What is a leading factor in the determination of actual cash value -
✔️replacement cost
Replacement cost is defined as -
✔️full replacement of property at its current cost, new and without reduction for
depreciation
Property insurance that provides 100k coverage for a building and 50k coverage for
personal property at a single location is called -
✔️Specific coverage
Which of the following is used in the formula for calculating the actual cash value of a
property -
✔️replacement cost
What is the purpose of the coinsurance clause found in property insurance policies?
-
✔️Encourage the insured to insure the property closer to its full value
An insured has a liability policy that sets the amount at 50k for all claims that arise
from a single incident. which type of limit of liability does this insured's policy have? -
✔️per occurrence
When the amount of insurance written in a property policy is not subject to any
coinsurance provision and that amount is paid in the event of a covered loss, the
coverage is said to be written as -
✔️stated amount
What is stated amount coverage -
✔️In stated amt coverage the value of the insured property is determined at the time
the policy is written.
in the event of a loss, that amount is paid without regard to any coinsurance
provision.
correct Answers 2024-2025
State Farm Property Questions and
correct Answers 2024-2025
In property insurance actual cash value is defined as which of the following -
✔️Replacement cost at the time of the loss, less depreciation
Peril is most easily defined as -
✔️the cause of loss insured against
What is a leading factor in the determination of actual cash value -
✔️replacement cost
Replacement cost is defined as -
✔️full replacement of property at its current cost, new and without reduction for
depreciation
Property insurance that provides 100k coverage for a building and 50k coverage for
personal property at a single location is called -
✔️Specific coverage
Which of the following is used in the formula for calculating the actual cash value of a
property -
✔️replacement cost
What is the purpose of the coinsurance clause found in property insurance policies?
-
✔️Encourage the insured to insure the property closer to its full value
An insured has a liability policy that sets the amount at 50k for all claims that arise
from a single incident. which type of limit of liability does this insured's policy have? -
✔️per occurrence
When the amount of insurance written in a property policy is not subject to any
coinsurance provision and that amount is paid in the event of a covered loss, the
coverage is said to be written as -
✔️stated amount
What is stated amount coverage -
✔️In stated amt coverage the value of the insured property is determined at the time
the policy is written.
in the event of a loss, that amount is paid without regard to any coinsurance
provision.
