PEARSON VUE PROPERTY INSURANCE
Practice Exam Questions and Well detailed
Answers Latest Update 2025 Graded A+.
Actual cash value is most often defined as which of the following options?
A. Replacement cost less depreciation
B. Amount paid less depreciation
C. Fair market value plus appreciation
D. Appraised value - ANSWER: A
All of the following items are included in the Nationwide Marine definition EXCEPT:
A. imports and exports
B. fine arts
C. furs
D. real property - ANSWER: D
All of the following options are examples of insurable interest EXCEPT:
A. a person's interest in property she is buying on contract
B. a tenant's interest in improvements she has made to a leased building
C. a TV repairman's interest in a customer's TV which has been repaired but is still
on premises
D. an individual's interest in property her parents will someday leave to her -
ANSWER: D
All of the following perils are covered under a Building and Business Personal
Property Coverage Form with a Causes of Loss-Basic Form attached EXCEPT:
A. smoke
B. sprinkler leakage
C. sinkhole collapse
, D. earth movement - ANSWER: D
An applicant's statement included in the insurance contract that the property to be
insured has an operable sprinkler system is:
A. agency binding authority
B. a warranty
C. a representation
D. an affidavit - ANSWER: B
An insured has an HO-3 Form. When using a snowblower borrowed from a neighbor,
the insured strikes a large rock and causes $2,000 worth of damage to the
snowblower. Under which section of the policy could payment be made on the
insured's behalf?
A. Personal Property
B. Building
C. Personal Liability
D. Loss of Use - ANSWER: C
Practice Exam Questions and Well detailed
Answers Latest Update 2025 Graded A+.
Actual cash value is most often defined as which of the following options?
A. Replacement cost less depreciation
B. Amount paid less depreciation
C. Fair market value plus appreciation
D. Appraised value - ANSWER: A
All of the following items are included in the Nationwide Marine definition EXCEPT:
A. imports and exports
B. fine arts
C. furs
D. real property - ANSWER: D
All of the following options are examples of insurable interest EXCEPT:
A. a person's interest in property she is buying on contract
B. a tenant's interest in improvements she has made to a leased building
C. a TV repairman's interest in a customer's TV which has been repaired but is still
on premises
D. an individual's interest in property her parents will someday leave to her -
ANSWER: D
All of the following perils are covered under a Building and Business Personal
Property Coverage Form with a Causes of Loss-Basic Form attached EXCEPT:
A. smoke
B. sprinkler leakage
C. sinkhole collapse
, D. earth movement - ANSWER: D
An applicant's statement included in the insurance contract that the property to be
insured has an operable sprinkler system is:
A. agency binding authority
B. a warranty
C. a representation
D. an affidavit - ANSWER: B
An insured has an HO-3 Form. When using a snowblower borrowed from a neighbor,
the insured strikes a large rock and causes $2,000 worth of damage to the
snowblower. Under which section of the policy could payment be made on the
insured's behalf?
A. Personal Property
B. Building
C. Personal Liability
D. Loss of Use - ANSWER: C
