Nevada Property & Casualty ExamFx Simulation Questions With Complete Solutions

An insured owns a building that is valued at $400,000. To comply with the 80% coinsurance provision of his insurance policy, how much should he insure the property for? a) 80% of the property's replacement cost or more b) 100% of the market value c) $400,000 d) $32,000 correct answer: A Which of the following watercraft will NOT be covered by business liability insurance? a) Nonowned watercraft 50 feet long used for transporting personal property of the insured b) Owned watercraft 53 feet long c) An auto parked at the insured's premises d) Watercraft while on shore at a premises owned by the insured correct answer: B when applying for an individual life insurance policy and applicant states that he went to the doctor for nausea but fails to mention that he was also experiencing severe chest pains, this is an example of correct answer: Concealment When an insured makes truthful statements on the application for insurance and pays the required premium it is known as which of the following correct answer: consideration Which of the following is a basis for a claim against an insurance policy correct answer: loss The Gramm Leach Bliley Act was passed to correct answer: Protect private customer information filed with a financial institution Which of the following losses would be covered under the property damage liability coverage of a personal auto policy correct answer: An insured damages a rented garage when it fails to stop in time A crime of forced entry into the premises by another person or persons with felonious intent is defined as correct answer: burglary