CPCU 553 Chapter 4 Exam Questions and Answers | Verified & Updated | 100% Correct

CPCU 553 Chapter 4 Exam Questions and Answers | Verified & Updated | 100% Correct Following an auto accident, Jim's vehicle was towed to a body shop, and it remained there for five days for repairs. The damage was covered under the collision coverage of Jim's Personal Auto Policy (PAP). During those five days, Jim used public transportation at a cost of $5.00 per day. What amount will Jim's insurer pay under his PAP for his transportation expenses while his vehicle was being repaired? - Answer ️️ -While a forty-eight-hour waiting period applies to total theft losses under OTC coverage, a twenty-four-hour waiting period applies to loss by other perils under both collision and OTC. The conditions under which the insurer can nonrenew a Personal Auto Policy (PAP) vary according to the length of the policy period. If the policy period is less than six months, the insurer - Answer ️️ -If the policy period is less than six months, the insurer has the right to nonrenew every six months, beginning six months after the policy's original effective date. In addition to general duties under a Personal Auto Policy (PAP), a person seeking coverage under Part D—Coverage for Damage to Your Auto must perform additional duties. Which one of the following is one of these additional duties? - Answer ️️ -Promptly notify police if a covered auto is stolen Which one of the following statements is true regarding cancellation of the Personal Auto Policy (PAP - Answer ️️ -Insurers can usually cancel a new policy that has been in force for less than a certain number of days (such as sixty days). John has a Personal Auto Policy (PAP) with both collision and other than collision coverages. While John was working out at the gym, his car was stolen from the parking lot. The police recovered John's car five days later, but it had been damaged. John's car was in the shop ten days for repairs. For what number of days will John's insurer pay him for transportation expenses? - Answer ️️ -5 + 10 - 2 = 13. A forty-eight-hour waiting period applies to total theft losses under OTC coverag