P&C License Exam Practice Test 2024: Questions with Answers, Exams of Business Economics

Download P&C License Exam Practice Test 2024: Questions with Answers and more Exams Business Economics in PDF only on Docsity! P&C License Exam - Practice Test Questions with Answers 2024 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? ✔ 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 ✔ Robbery Not a common exclusion in a liability policy ✔ 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? ✔ 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? ✔ 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? ✔ 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? ✔ 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? ✔ No 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? ✔ No What best describes the CGL's general aggregate limit as it applies to the coverage parts of the CGL? ✔ 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? ✔ Yes An extended reporting period attached to a general liability policy provides coverage in which of the following ways? ✔ It provides coverage for claims made outside the policy term Under the dwelling policy conditions, how would the insurance company settle a loss? ✔ 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? ✔ Yes Are outdoor signs that are not attached to the building included in the property coverage of a BOP? ✔ No Would carpet cleaning after a water main break trigger coverage under business income form with extra expense coverage? ✔ Yes Would Employee Pay after a building structure is damaged trigger coverage under business income form with extra expense coverage? ✔ No Does a DP-2 policy cover damage to awnings from weight of snow? ✔ No Does a DP-2 policy cover accidental discharge of steam from a plumbing system? ✔ Yes T/F - Homeowner's Special Form (HO-3) covers Structures other than the dwelling, but Homeowner's Broad Form (HO-2) does not. ✔ True T/F - Homeowner's Special Form (HO-3) covers Broken Glass, but Homeowner's Broad Form (HO-2) does not. ✔ False What exposure is unique to Mobile homes? ✔ Loss from Collision Damage Is loss from collapse of awnings a unique exposure to mobile homes? 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 ✔ True T/F - Freezing or road damage is specifically listed in the policy as being other than collision losses ✔ False T/F - Windstorm is specifically listed in the policy as being other than collision losses ✔ True T/F - Caps, covers, or bedliners on pickup trucks are excluded losses under Part D - damage to an auto of the personal auto policy ✔ False T/F - Losses due to the destruction or confiscation by civil authorities are excluded losses under Part D - damage to an auto of the personal auto policy ✔ True T/F - Under CGL Cost of Bail Bonds is covered under supplementary payments ✔ True T/F - Under CGL defense cost for the plantiff is covered under supplementary payments ✔ False The financial loss caused by a home being damaged in a windstorm is a(n) ___________ loss ✔ Direct Loss T/F - Discharge or overflow of water from a sump is a covered cause of loss under the HO-2 Broad Form ✔ False T/F - Weight of ice, snow, or sleet is a covered cause of loss under the HO-2 Broad Form ✔ True What is the purpose of the causes of loss form that lists specific exclusions? ✔ To state which perils are insured against T/F - Riot or civil commotion would be covered perils under the DP-1 Basic Policy Form ✔ True T/F - Freezing of plumbing would be covered perils under the DP-1 Basic Policy Form ✔ False Which Homeowners form provides the most comprehensive coverage? ✔ HO-5 ________ limits of insurance on the dwelling are available and apply to Coverage D- Fair Rental value ✔ 20% What homeowners form is the most appropriate for older homes with replacement values hat may far exceed their market values? ✔ HO-8 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 ✔ 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 ✔ - 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 ✔ Liability The "ground rules" are described in which part of an insurance policy? ✔ 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 ✔ 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 ✔ Waiver Under which part of a Worker's Compensation and Employers Liability policy would you find a description of employers liability coverage provided? ✔ Part Two Part one of the Worker's Compensation and Employer's liability policy describes what? ✔ The WC Coverage Part three of the Worker's Compensation and Employer's liability policy describes what? ✔ Other States Insurance Part Four of the Worker's Compensation and Employer's liability policy describes what? ✔ Insured's duties upon a loss