MINNESOTA PROPERTY AND CASUALTY EXAM 2024 NEWEST
EXAM 2 VERSIONS (VERSION A AND B) COMPLETE 400
QUESTIONS WITH DETAILED VERIFIED ANSWERS (100%
CORRECT ANSWERS) / ALREADY GRADED A+ // BRAND NEW!!
the one basic characteristic of any type of insurance is that the insured is returned to
the same status that existed prior to the loss, but without a chance for gain or profit
- ANSWER: true
which of the following coverages does an open peril policy provide? - ANSWER: perils
other than those specifically named as being excluded
determine the actual cash value in the following situation: original price of office
equiptment when purchased 8 years ago- 9,000. depreciated amount at time of fire-
5,000 current replacement cost 12,000 - ANSWER: 7,000
liquor liability - ANSWER: need for a dram shot, liquor, or package store
inherent vice or defect - ANSWER: iron rusting, milk going sour, rubber breaking
down are all inherent vices
how is hitting an animal on the road covered? - ANSWER: other than collision otc
medicare supplement insurance - ANSWER: aka medical gap insurance. must include
core benefits
ordinance or law - ANSWER: an endorsement for building code upgrades
loss sustained/discovery forms under crime coverage - ANSWER: loss is for later than
the policy period. discovery is for before the policy (loss is later, discovery before)
designated brush fire or civil unrest areas - ANSWER: qualifying areas under the fair
plan
stop loss provision - ANSWER: used in health insurance to limit the maximum
amount of money the insured would have to pay out of pocket on a health claim in
any particular claim
shortages of inventory - ANSWER: under crime insurance the employee dishonesty
endorsement never covers
can the mortgagee still collect if the insured burns their house down - ANSWER: yes,
the mortgage clause is a standard provision
, otc covers - ANSWER: earthquake, flood, hail, theft, hitting an animal, gunshots (no
collision or upset)
law of large numbers - ANSWER: the greater the number of insured the more
accurately the prediction
where does a driver have coverage? - ANSWER: U.S. Canada and US possessions eg
puerto rico, guam
what is excluded under commercial general liability? - ANSWER: pollution-with the
exception of fuel spilled during normal operations. Pollution is normally covered
under cpp or builders risk
what is the midi-tail on claims made? - ANSWER: provides 5 years coverage for
something reported during minitail
speculative risk - ANSWER: chance for loss or gain
commercial package - ANSWER: modular policy
Binder - ANSWER: a temp insuring contract (written or oral)
Hazard - ANSWER: anything that increases a chance for loss
OTC - ANSWER: anything causing loss or damage to the car, except collision
you have liability only and borrow a car and collide with another. which pays? -
ANSWER: the borrowed cars insurance is primary
basic broad special: which has the broadest coverage? - ANSWER: special
gap insurance - ANSWER: pays the difference between the amount an insurer pays
on a totaled car and the amount owed on the loan or lease
eligibility/enrollment period - ANSWER: used in life and health group benefits
without having to prove insurability
symbol 9 - ANSWER: non-owned autos
the lender on a home is called - ANSWER: mortgagee or mortgage holder
multiple employer trust - ANSWER: a legal entity of small biz owners grouped
together to buy insurance
what percentage must vacant for a building to be called vacant? - ANSWER: 70%
EXAM 2 VERSIONS (VERSION A AND B) COMPLETE 400
QUESTIONS WITH DETAILED VERIFIED ANSWERS (100%
CORRECT ANSWERS) / ALREADY GRADED A+ // BRAND NEW!!
the one basic characteristic of any type of insurance is that the insured is returned to
the same status that existed prior to the loss, but without a chance for gain or profit
- ANSWER: true
which of the following coverages does an open peril policy provide? - ANSWER: perils
other than those specifically named as being excluded
determine the actual cash value in the following situation: original price of office
equiptment when purchased 8 years ago- 9,000. depreciated amount at time of fire-
5,000 current replacement cost 12,000 - ANSWER: 7,000
liquor liability - ANSWER: need for a dram shot, liquor, or package store
inherent vice or defect - ANSWER: iron rusting, milk going sour, rubber breaking
down are all inherent vices
how is hitting an animal on the road covered? - ANSWER: other than collision otc
medicare supplement insurance - ANSWER: aka medical gap insurance. must include
core benefits
ordinance or law - ANSWER: an endorsement for building code upgrades
loss sustained/discovery forms under crime coverage - ANSWER: loss is for later than
the policy period. discovery is for before the policy (loss is later, discovery before)
designated brush fire or civil unrest areas - ANSWER: qualifying areas under the fair
plan
stop loss provision - ANSWER: used in health insurance to limit the maximum
amount of money the insured would have to pay out of pocket on a health claim in
any particular claim
shortages of inventory - ANSWER: under crime insurance the employee dishonesty
endorsement never covers
can the mortgagee still collect if the insured burns their house down - ANSWER: yes,
the mortgage clause is a standard provision
, otc covers - ANSWER: earthquake, flood, hail, theft, hitting an animal, gunshots (no
collision or upset)
law of large numbers - ANSWER: the greater the number of insured the more
accurately the prediction
where does a driver have coverage? - ANSWER: U.S. Canada and US possessions eg
puerto rico, guam
what is excluded under commercial general liability? - ANSWER: pollution-with the
exception of fuel spilled during normal operations. Pollution is normally covered
under cpp or builders risk
what is the midi-tail on claims made? - ANSWER: provides 5 years coverage for
something reported during minitail
speculative risk - ANSWER: chance for loss or gain
commercial package - ANSWER: modular policy
Binder - ANSWER: a temp insuring contract (written or oral)
Hazard - ANSWER: anything that increases a chance for loss
OTC - ANSWER: anything causing loss or damage to the car, except collision
you have liability only and borrow a car and collide with another. which pays? -
ANSWER: the borrowed cars insurance is primary
basic broad special: which has the broadest coverage? - ANSWER: special
gap insurance - ANSWER: pays the difference between the amount an insurer pays
on a totaled car and the amount owed on the loan or lease
eligibility/enrollment period - ANSWER: used in life and health group benefits
without having to prove insurability
symbol 9 - ANSWER: non-owned autos
the lender on a home is called - ANSWER: mortgagee or mortgage holder
multiple employer trust - ANSWER: a legal entity of small biz owners grouped
together to buy insurance
what percentage must vacant for a building to be called vacant? - ANSWER: 70%
