NEW YORK INDEPENDENT GENERAL ADJUSTER
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EXAM SIMULATOR - SERIES 17-70 questions with verified|| || || || || || || ||
detailed answers ||
Which of the following would NOT be found in the conditions section of a homeowners
|| || || || || || || || || || || || || || ||
insurance policy? ||
Subrogation rights || ||
Duties of the insured|| || || ||
Insurance premium || ||
Mortgagee clause - ✔✔The insurance premium is not shown in the conditions section of
|| || || || || || || || || || || || || ||
the homeowner policy.
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Which of the following is true regarding dealers physical damage coverage under a garage
|| || || || || || || || || || || || || ||
policy?
It is a blanket limit for covered autos.
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It extends coverage to customers' autos.
|| || || || || ||
It is an annual maximum limit for comprehensive and collision losses.
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It is a maximum limit per auto. - ✔✔It is a blanket limit for covered autos.
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EXPLANATION:
The dealer's physical damage limit would be done on a blanket limit basis. This would
|| || || || || || || || || || || || || || ||
apply to comprehensive and collision losses to the auto inventory of the dealer. This is done
|| || || || || || || || || || || || || || || ||
because it is simply not practical to schedule each dealer owned vehicle for physical
|| || || || || || || || || || || || || ||
damage. This is generally accomplished by the use of a monthly reporting form.
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Which of the following would not be considered an occupational disease?
|| || || || || || || || || ||
,Black lung. || ||
Mesothelioma. ||
Pulmonary fibrosis. || ||
Bending over to pick up a box and hurting your back. - ✔✔Bending over to pick up a box
|| || || || || || || || || || || || || || || || || || ||
and hurting your back. is correct.
|| || || || ||
EXPLANATION:
Bending over to pick up a box and causing an injury is a work related injury and not a
|| || || || || || || || || || || || || || || || || || ||
disease.
Which of the following is correct in order for the additional coverage of "collapse" to be
|| || || || || || || || || || || || || || || ||
available under special BOP? || || ||
The collapse must be such that the building can not be used as intended
|| || || || || || || || || || || || || ||
The remaining part of the structure standing must be demolished
|| || || || || || || || || ||
The remaining part of the structure must be judged unsound to rebuild on
|| || || || || || || || || || || || ||
The building must be leaning, settling or in danger of collapsing - ✔✔The correct answer is:
|| || || || || || || || || || || || || || ||
The collapse must be such that the building can not be used as intended.
|| || || || || || || || || || || || || ||
EXPLANATION:
The definition of collapse in the policy is the "abrupt falling down or caving in of the
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structure or part of the structure" and it must render the building as unusable as intended.
|| || || || || || || || || || || || || || ||
Which of the following would not be eligible for coverage under a livestock floater?
|| || || || || || || || || || || || ||
Poultry ||
Cattle ||
Sheep ||
Swine - ✔✔EXPLANATION:
|| ||
,Poultry is not eligible property under the livestock floater.
|| || || || || || || ||
The insured owns a motorhome that is not covered by the insured's Personal Auto policy.
|| || || || || || || || || || || || || || ||
This vehicle can be added to the policy by using which of the following endorsements?
|| || || || || || || || || || || || || ||
||
Miscellaneous Type Vehicle endorsement || || || ||
Special Type Vehicle endorsement|| || || ||
Recreational Vehicle endorsement || || ||
Motorhome endorsement - ✔✔The correct answer is: Miscellaneous Type Vehicle
|| || || || || || || || || ||
endorsement.
EXPLANATION:
The Miscellaneous Type Vehicle endorsement can be used to cover motorhomes,
|| || || || || || || || || || ||
motorcycles, etc. ||
Insurers must maintain a complaint record for _________ after all elements of the
|| || || || || || || || || || || || ||
complaint are resolved and the file is closed. || || || || || || ||
five years || ||
three calendar years || || ||
one year || ||
six calendar years - ✔✔The correct answer is: six calendar years.
|| || || || || || || || || ||
EXPLANATION:
Insurers are required to maintain complaint records for six calendar years.
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A BOP policy has a $500,000 occurrence limit for liability and a $1,000,000 aggregate limit.
|| || || || || || || || || || || || || || ||
If claims for $600,000 and $400,000 have been filed in two separate incidents, how much
|| || || || || || || || || || || || || || ||
coverage remains, if any, for any future claims submitted during the policy term?
|| || || || || || || || || || || ||
, Answer Choices: || ||
$500,000 ||
-0- ||
$100,000 ||
$1,000,000 - ✔✔The correct answer is: $100,000. || || || || || ||
EXPLANATION:
The most the policy will pay for any one single occurrence is $500,000. So that amount
|| || || || || || || || || || || || || || || ||
would be payable for the first loss. Once paid that amount must be subtracted from the
|| || || || || || || || || || || || || || || ||
Aggregate limit (the most available for all claims in the policy year) leaving $500,000
|| || || || || || || || || || || || || ||
remaining in the aggregate. The second claim is within the occurrence limit and since there
|| || || || || || || || || || || || || || ||
is enough left in the aggregate, the entire $400,000 is payable. After subtracting the $400,000
|| || || || || || || || || || || || || ||
loss from the remaining aggregate, $100,000 is left to pay any and all future claims for the
|| || || || || || || || || || || || || || || || || ||
remainder of the policy term. || || || ||
All of the following are uniform mandatory policy provisions, except the:
|| || || || || || || || || ||
entire contract provision. || || ||
grace period provision. || || ||
reinstatement provision. || ||
cancellation provision. - ✔✔The correct answer is: cancellation provision.. || || || || || || || ||
EXPLANATION:
The cancellation provision is an optional provision giving insurers the ability to determine
|| || || || || || || || || || || || ||
how the renewability of a health policy will be renewed.
|| || || || || || || || ||
|| || || || ||
EXAM SIMULATOR - SERIES 17-70 questions with verified|| || || || || || || ||
detailed answers ||
Which of the following would NOT be found in the conditions section of a homeowners
|| || || || || || || || || || || || || || ||
insurance policy? ||
Subrogation rights || ||
Duties of the insured|| || || ||
Insurance premium || ||
Mortgagee clause - ✔✔The insurance premium is not shown in the conditions section of
|| || || || || || || || || || || || || ||
the homeowner policy.
|| ||
Which of the following is true regarding dealers physical damage coverage under a garage
|| || || || || || || || || || || || || ||
policy?
It is a blanket limit for covered autos.
|| || || || || || || ||
It extends coverage to customers' autos.
|| || || || || ||
It is an annual maximum limit for comprehensive and collision losses.
|| || || || || || || || || || ||
It is a maximum limit per auto. - ✔✔It is a blanket limit for covered autos.
|| || || || || || || || || || || || || || ||
EXPLANATION:
The dealer's physical damage limit would be done on a blanket limit basis. This would
|| || || || || || || || || || || || || || ||
apply to comprehensive and collision losses to the auto inventory of the dealer. This is done
|| || || || || || || || || || || || || || || ||
because it is simply not practical to schedule each dealer owned vehicle for physical
|| || || || || || || || || || || || || ||
damage. This is generally accomplished by the use of a monthly reporting form.
|| || || || || || || || || || || ||
Which of the following would not be considered an occupational disease?
|| || || || || || || || || ||
,Black lung. || ||
Mesothelioma. ||
Pulmonary fibrosis. || ||
Bending over to pick up a box and hurting your back. - ✔✔Bending over to pick up a box
|| || || || || || || || || || || || || || || || || || ||
and hurting your back. is correct.
|| || || || ||
EXPLANATION:
Bending over to pick up a box and causing an injury is a work related injury and not a
|| || || || || || || || || || || || || || || || || || ||
disease.
Which of the following is correct in order for the additional coverage of "collapse" to be
|| || || || || || || || || || || || || || || ||
available under special BOP? || || ||
The collapse must be such that the building can not be used as intended
|| || || || || || || || || || || || || ||
The remaining part of the structure standing must be demolished
|| || || || || || || || || ||
The remaining part of the structure must be judged unsound to rebuild on
|| || || || || || || || || || || || ||
The building must be leaning, settling or in danger of collapsing - ✔✔The correct answer is:
|| || || || || || || || || || || || || || ||
The collapse must be such that the building can not be used as intended.
|| || || || || || || || || || || || || ||
EXPLANATION:
The definition of collapse in the policy is the "abrupt falling down or caving in of the
|| || || || || || || || || || || || || || || || ||
structure or part of the structure" and it must render the building as unusable as intended.
|| || || || || || || || || || || || || || ||
Which of the following would not be eligible for coverage under a livestock floater?
|| || || || || || || || || || || || ||
Poultry ||
Cattle ||
Sheep ||
Swine - ✔✔EXPLANATION:
|| ||
,Poultry is not eligible property under the livestock floater.
|| || || || || || || ||
The insured owns a motorhome that is not covered by the insured's Personal Auto policy.
|| || || || || || || || || || || || || || ||
This vehicle can be added to the policy by using which of the following endorsements?
|| || || || || || || || || || || || || ||
||
Miscellaneous Type Vehicle endorsement || || || ||
Special Type Vehicle endorsement|| || || ||
Recreational Vehicle endorsement || || ||
Motorhome endorsement - ✔✔The correct answer is: Miscellaneous Type Vehicle
|| || || || || || || || || ||
endorsement.
EXPLANATION:
The Miscellaneous Type Vehicle endorsement can be used to cover motorhomes,
|| || || || || || || || || || ||
motorcycles, etc. ||
Insurers must maintain a complaint record for _________ after all elements of the
|| || || || || || || || || || || || ||
complaint are resolved and the file is closed. || || || || || || ||
five years || ||
three calendar years || || ||
one year || ||
six calendar years - ✔✔The correct answer is: six calendar years.
|| || || || || || || || || ||
EXPLANATION:
Insurers are required to maintain complaint records for six calendar years.
|| || || || || || || || || ||
A BOP policy has a $500,000 occurrence limit for liability and a $1,000,000 aggregate limit.
|| || || || || || || || || || || || || || ||
If claims for $600,000 and $400,000 have been filed in two separate incidents, how much
|| || || || || || || || || || || || || || ||
coverage remains, if any, for any future claims submitted during the policy term?
|| || || || || || || || || || || ||
, Answer Choices: || ||
$500,000 ||
-0- ||
$100,000 ||
$1,000,000 - ✔✔The correct answer is: $100,000. || || || || || ||
EXPLANATION:
The most the policy will pay for any one single occurrence is $500,000. So that amount
|| || || || || || || || || || || || || || || ||
would be payable for the first loss. Once paid that amount must be subtracted from the
|| || || || || || || || || || || || || || || ||
Aggregate limit (the most available for all claims in the policy year) leaving $500,000
|| || || || || || || || || || || || || ||
remaining in the aggregate. The second claim is within the occurrence limit and since there
|| || || || || || || || || || || || || || ||
is enough left in the aggregate, the entire $400,000 is payable. After subtracting the $400,000
|| || || || || || || || || || || || || ||
loss from the remaining aggregate, $100,000 is left to pay any and all future claims for the
|| || || || || || || || || || || || || || || || || ||
remainder of the policy term. || || || ||
All of the following are uniform mandatory policy provisions, except the:
|| || || || || || || || || ||
entire contract provision. || || ||
grace period provision. || || ||
reinstatement provision. || ||
cancellation provision. - ✔✔The correct answer is: cancellation provision.. || || || || || || || ||
EXPLANATION:
The cancellation provision is an optional provision giving insurers the ability to determine
|| || || || || || || || || || || || ||
how the renewability of a health policy will be renewed.
|| || || || || || || || ||
