Download Property & Casualty License Exam Practice Test Questions and more Exams Property Law in PDF only on Docsity!
Practice Test Questions 73 complete.
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Property & Casualty License Exam -
Practice Test Questions 73 complete.
Approved and Verified.
Who would be able to collect survivor and death benefits from WC in the event the covered injury resulting in the death of an employee? - ANSWER Spouse of Employee
Which type of crime best describes someone who waits until store personnel are preoccupied and pockets merchandise while no one is looking and leaves without detection - ANSWER Robbery
Not a common exclusion in a liability policy - ANSWER damage caused by acts of civil disobedience and riots
The party who agrees to be responsible for loss in the case of a fidelity bond? - ANSWER The Surety
An insured has transportation expenses coverage under part D of the personal auto policy when involved in a collision. Coverage provides which of the following? - ANSWER Rental Reimbursement until claim is settled by insurance
An insured operates an auto repair shop and has a garage coverage form with garagekeepers insurance when an employee on a test drive with a customer's car is involved in a crash. How will the customer's car be covered by the insured's policy? - ANSWER The customer's car is covered for any physical damage while in custody of the insured
For the purpose of worker's compensation insurance who would not be subject to worker's compensation laws, either as an employer or an employee? - ANSWER A Crew member of an ocean going vessel
Is bodily injury to an insured's nonresident family member or relative an exclusion found under the personal auto policy Part A liability coverage? - ANSWER No
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Does An auto not titled to an insured but available for regular use of named insured or family member describe a non owned auto under the commercial auto policy symbol 9? - ANSWER No
What best describes the CGL's general aggregate limit as it applies to the coverage parts of the CGL? - ANSWER Coverage A, B, and C apply in sum and are the most that will be paid subject to the general aggregate limit
Does Worker's Compensation benefits for loss of wages include replacement of a portion of lost wages?
An extended reporting period attached to a general liability policy provides coverage in which of the following ways? - ANSWER It provides coverage for claims made outside the policy term
Under the dwelling policy conditions, how would the insurance company settle a loss? - ANSWER Company has the option to repair to pre-loss condition
Is carpeting that is permanently installed inside the building included in the property coverage of a BOP?
Are outdoor signs that are not attached to the building included in the property coverage of a BOP? - ANSWER No
Would carpet cleaning after a water main break trigger coverage under business income form with extra expense coverage? - ANSWER Yes
Would Employee Pay after a building structure is damaged trigger coverage under business income form with extra expense coverage? - ANSWER No
Does a DP-2 policy cover damage to awnings from weight of snow? - ANSWER No
Practice Test Questions 73 complete.
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Which Homeowners form covers tenants? - ANSWER HO-
The insured is moving his lawn when a stranger is noticed in the backyard. The stranger claims to be a substitute delivery person. Several days later, a gold watch can not be found. What describes the loss? - ANSWER Mysterious disappearance
Does insuring an engagement ring given to fiancee demonstrate an insurable interest? - ANSWER No
Does deciding to insure an inherited firearm collection demonstrate an insurable interest? - ANSWER Yes
What is the correct timeframe for earthquake shocks to be considered as a single earthquake? - ANSWER 72 Hours
Is burning debris near the building on a calm sunny day considered a physical hazard? - ANSWER Yes
Is leaving the keys in the car and the doors unlocked considered a physical hazard? - ANSWER No
When an individual with a pre-existing condition is in an automobile accident and the insurance covers rehabilitation only to the level of the condition prior to the accident, this is because of which principle? - ANSWER Indemnity
The insured's employee causes an injury while on the job. Is this an example of vicarious liability? - ANSWER Yes
The insured loans a defective ladder to a neighbor that results in an injury. Is this an example of vicarious liability? - ANSWER No
Practice Test Questions 73 complete.
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A woman slips on icy steps and breaks her leg. What is the peril in this situation? - ANSWER the fall
The Terrorism Risk Insurance Act and the National Flood Insurance Program are similar by providing what? - ANSWER Subsidies, loss sharing or excess coverage
T/F - The policy conditions as well as state laws permit the insurance company to cancel or rescind a policy when representations exist. - ANSWER False
T/F - The policy conditions as well as state laws permit the insurance company to cancel or rescind a policy when fraud exists. - ANSWER True
Which policy condition applies when an insurer covers property losses at cash value rather than an amount that exceeds the repair or replacement value? - ANSWER Loss Settlement Condition
T/F Lost Wages are considered compensatory special damages when an insured is found legally liable for the loss of another - ANSWER True
T/F Mental Anguish is considered compensatory special damages when an insured is found legally liable for the loss of another - ANSWER False
T/F - The employer while insured is driving a company car is considered an insured under Part A Liability Coverage of the personal auto policy - ANSWER False
T/F - Others to the extent that they share liability with the insured are considered an insured under Part A Liability Coverage of the personal auto policy - ANSWER True
T/F - Freezing or road damage is specifically listed in the policy as being other than collision losses - ANSWER False
T/F - Windstorm is specifically listed in the policy as being other than collision losses - ANSWER True
Practice Test Questions 73 complete.
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________ limits of insurance on the dwelling are available and apply to Coverage D-Fair Rental value - ANSWER 20%
What homeowners form is the most appropriate for older homes with replacement values hat may far exceed their market values? - ANSWER HO-
Under the Equipment Breakdown coverage form, which of the following causes of damage to covered equipment would not be a covered "breakdown"?
- Electrical Failure, including arcing
- Leakage at any valve, fitting, shaft seal, gland packing, joint, or connection
- Failure of pressure or vacuum equipment
- Mechanical failure, including rupture or bursting caused by centrifugal force - ANSWER Leakage at any valve, fitting, shaft seal, gland packaging, joint, or connection
Which of the following would be covered under the building coverage of the building and personal property coverage form? (2 answers)
- Inventory stored at the insured's warehouse
- An addition to the insured's store on which construction has just begun
- Fire extinguishers located in the insured's factory
- Office furniture and supplies kept in the insured's building - ANSWER - An addition to the insured's store on which construction has just begun
- Fire extinguishers located in the insured's factory
Which of the following coverage provisions would not be found in an unendorsed Dwelling policy form?
- dwelling
- other structures
- liability
- personal property - ANSWER Liability
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The "ground rules" are described in which part of an insurance policy? - ANSWER Conditions
Which of the following coverages may be attached to a homeowners policy only by endorsement?
- Coverage for a mobile home
- Coverage damage to the property of others
- Personal Property Coverage
- Medical Payments - ANSWER Coverage for a mobile home
In legal terms, the actions by one party might have the effect of giving up a known right. When this occurs, the party has created which of the following?
- Unilateral Contract
- Representation
- Warranty
- Wavier - ANSWER Waiver
Under which part of a Worker's Compensation and Employers Liability policy would you find a description of employers liability coverage provided? - ANSWER Part Two
Part one of the Worker's Compensation and Employer's liability policy describes what? - ANSWER The WC Coverage
Part three of the Worker's Compensation and Employer's liability policy describes what? - ANSWER Other States Insurance
Part Four of the Worker's Compensation and Employer's liability policy describes what? - ANSWER Insured's duties upon a loss
