California Commercial Insurance Exam Part II
Questions and Verified Answers
What does SERP stand for? Correct Answer: Supplemental Extended Reporting Period
What does E & O stand for? Correct Answer: Errors and Omissions
What does D & O stand for? Correct Answer: adas
What does P & I stand for? Correct Answer: sdfs
What does CGL stand for? Correct Answer: Commercial general liability.
What does BAP stand for? Correct Answer: asdas
What does EDP stand for? Correct Answer: asda
What does BPP stand for? Correct Answer: Building Personal Property.
What does B & M stand for? Correct Answer: ...
What does NCCI stand for? Correct Answer: sdsf
What does California's WCIRB stand for? Correct Answer: sadfs
What is the Modular Concept? Correct Answer: asda
What is an interline form? Correct Answer: dsada
What is a monoline policy? Correct Answer: A single coverage policy.
What are the 6 common conditions? Correct Answer: Cancellation, Changes, Right to Examine,
Inspection and Surveys, Premiums, Transfer of Rights and Duties.
What is Assignment? Correct Answer: dsadssad
, What are the 7 Coverage parts? Correct Answer: Commercial Property, Commercial General Liability
(CGL), Commercial Automobile Insurance, Commercial Crime, Commercial Inland marine, Boiler and
Machinery Insruance (Equipment Breakdown), and Farm Coverages.
What are the 9 property conditions? Correct Answer: asdaad
What is a Bailee? Correct Answer: A person who has possession, care, custody, or control of the property
of customers for business purposes.
When can an examination of Books and Records be completed? Correct Answer: At anytime during a
policy period and up to 3 years after. This is done to make sure the insurer has collected the appropriate
premium.
What is the Inspection and Survey condition? Correct Answer: The insurer has the right but is not
obligated to inspect the property and make recommendations. This is done for insurability and rating
only. It does not warrant the place safe or incompliance.
Who can cancel a Commercial Package Policy (CPP)? Correct Answer: Either the named insured or
insurer may cancel the policy.
NOTE: The insurer may only cancel the policy if it has been in effect for less that 60 days and is not a
renewal. The insurer may cancel the policy after 60 days, but only under certain circumstances.
When an insurer is cancelling a policy, how many days in advance must they provide written notice to
the named insured? Correct Answer: 10 days prior to the date of cancellation for nonpayment of
premium.
30 days prior to the date of cancellation for any other allowable reason.
NOTE: The insurer must be able to prove it has mailed the cancellation notice to the address on file,
although no proof of delivery of this notice is required.
Who can request changes, cancel, and is responsible for the policy premium? Correct Answer: Only the
named insured.
What amount is paid in a total loss policy. Correct Answer: Face Value.
What does "Your" in policy language refer to? Correct Answer: The named insured and those listed on
the declarations page.
What 3 categories does a Building Personal Property form consist of? Correct Answer: Coverage A:
Covers the buildings
Questions and Verified Answers
What does SERP stand for? Correct Answer: Supplemental Extended Reporting Period
What does E & O stand for? Correct Answer: Errors and Omissions
What does D & O stand for? Correct Answer: adas
What does P & I stand for? Correct Answer: sdfs
What does CGL stand for? Correct Answer: Commercial general liability.
What does BAP stand for? Correct Answer: asdas
What does EDP stand for? Correct Answer: asda
What does BPP stand for? Correct Answer: Building Personal Property.
What does B & M stand for? Correct Answer: ...
What does NCCI stand for? Correct Answer: sdsf
What does California's WCIRB stand for? Correct Answer: sadfs
What is the Modular Concept? Correct Answer: asda
What is an interline form? Correct Answer: dsada
What is a monoline policy? Correct Answer: A single coverage policy.
What are the 6 common conditions? Correct Answer: Cancellation, Changes, Right to Examine,
Inspection and Surveys, Premiums, Transfer of Rights and Duties.
What is Assignment? Correct Answer: dsadssad
, What are the 7 Coverage parts? Correct Answer: Commercial Property, Commercial General Liability
(CGL), Commercial Automobile Insurance, Commercial Crime, Commercial Inland marine, Boiler and
Machinery Insruance (Equipment Breakdown), and Farm Coverages.
What are the 9 property conditions? Correct Answer: asdaad
What is a Bailee? Correct Answer: A person who has possession, care, custody, or control of the property
of customers for business purposes.
When can an examination of Books and Records be completed? Correct Answer: At anytime during a
policy period and up to 3 years after. This is done to make sure the insurer has collected the appropriate
premium.
What is the Inspection and Survey condition? Correct Answer: The insurer has the right but is not
obligated to inspect the property and make recommendations. This is done for insurability and rating
only. It does not warrant the place safe or incompliance.
Who can cancel a Commercial Package Policy (CPP)? Correct Answer: Either the named insured or
insurer may cancel the policy.
NOTE: The insurer may only cancel the policy if it has been in effect for less that 60 days and is not a
renewal. The insurer may cancel the policy after 60 days, but only under certain circumstances.
When an insurer is cancelling a policy, how many days in advance must they provide written notice to
the named insured? Correct Answer: 10 days prior to the date of cancellation for nonpayment of
premium.
30 days prior to the date of cancellation for any other allowable reason.
NOTE: The insurer must be able to prove it has mailed the cancellation notice to the address on file,
although no proof of delivery of this notice is required.
Who can request changes, cancel, and is responsible for the policy premium? Correct Answer: Only the
named insured.
What amount is paid in a total loss policy. Correct Answer: Face Value.
What does "Your" in policy language refer to? Correct Answer: The named insured and those listed on
the declarations page.
What 3 categories does a Building Personal Property form consist of? Correct Answer: Coverage A:
Covers the buildings
