Wisconsin
Property and
Casualty
test(279
questions with
100% correct
answers)
FAIR - answer Fair Access to Insurance
Requirements
Elements of a Legal Contract. L. O. A. C. - answer
• Consideration
• Legal Purpose
• Offer
,• Acceptance
• Competent Parties
Consideration - answer Money and statements
made on application
Legal Purpose - answer Risk transfer doesn't
violate the law
Offer - answer Insured submits application and
first month premium to insurer
Insurer accepts or insurer declines the risk
Counteroffer - answer Agrees to issue policy but
with higher premium or restrictions/ exclusions
Insured either accepts the conditions or
withdraws their application
Competent Parties - answer Competent• Legal
age (usually 18) • Mentally sane• Sober
Adhesion - answer Policy written by the
insurance company
Adhesion = glue
Insured has no input
,If ambiguous, court will take the side of the
insured
Aleatory Contract - answer • Unequal value
• Pay small premium and have a large claim, or
pay premiums for many years without a claim
representation - answer believed to be true
misrepresentation - answer representation that
is actually false.
Material misrepresentation - answer
information given that is not true and DOES
affect the insurer's decision
warranty - answer statement that is guaranteed
to be true, and it may be relied on by the other
party. If a warranty is not kept, there is a breach
of warranty that voids the contract.
Concealment - answer failure to disclose known
facts
Property insurance policies - answer
Covers"mystuff"
, "Mystuff"=buildings(real property) and personal
belongings
First Part Loss
Casualty Insurance - answer Casualty = Liability
Always pays the other guy, never me
Third party losses
D. I. C. E. E. - answer ■ Declarations■ Insuring
agreements■ Conditions■ Endorsements and
additional supplementary coverages ■
Exclusions
Declarations - answer who, what, when, where,
and how much
Insuring agreement(s) - answer promise to pay
and perils covered
Conditions - answer rules for the policy
Endorsements - answer changes to the original
policy
Exclusions - answer items not covered
Property and
Casualty
test(279
questions with
100% correct
answers)
FAIR - answer Fair Access to Insurance
Requirements
Elements of a Legal Contract. L. O. A. C. - answer
• Consideration
• Legal Purpose
• Offer
,• Acceptance
• Competent Parties
Consideration - answer Money and statements
made on application
Legal Purpose - answer Risk transfer doesn't
violate the law
Offer - answer Insured submits application and
first month premium to insurer
Insurer accepts or insurer declines the risk
Counteroffer - answer Agrees to issue policy but
with higher premium or restrictions/ exclusions
Insured either accepts the conditions or
withdraws their application
Competent Parties - answer Competent• Legal
age (usually 18) • Mentally sane• Sober
Adhesion - answer Policy written by the
insurance company
Adhesion = glue
Insured has no input
,If ambiguous, court will take the side of the
insured
Aleatory Contract - answer • Unequal value
• Pay small premium and have a large claim, or
pay premiums for many years without a claim
representation - answer believed to be true
misrepresentation - answer representation that
is actually false.
Material misrepresentation - answer
information given that is not true and DOES
affect the insurer's decision
warranty - answer statement that is guaranteed
to be true, and it may be relied on by the other
party. If a warranty is not kept, there is a breach
of warranty that voids the contract.
Concealment - answer failure to disclose known
facts
Property insurance policies - answer
Covers"mystuff"
, "Mystuff"=buildings(real property) and personal
belongings
First Part Loss
Casualty Insurance - answer Casualty = Liability
Always pays the other guy, never me
Third party losses
D. I. C. E. E. - answer ■ Declarations■ Insuring
agreements■ Conditions■ Endorsements and
additional supplementary coverages ■
Exclusions
Declarations - answer who, what, when, where,
and how much
Insuring agreement(s) - answer promise to pay
and perils covered
Conditions - answer rules for the policy
Endorsements - answer changes to the original
policy
Exclusions - answer items not covered
