Exam Fx-Property and Casualty Questions
and Answers | Complete Study Guide | A+
Guide
• Wish respect to auto insurance, the term owned autos includes all of
the following EXCEPT -✓✓A pickup or van titled to and used in the
named insured's business
• A binder is effective for a period of -✓✓90 days
• Negligence is defined as -✓✓The failure to do what a reasonable
prudent person would do under given circumstances
• Under the professional liability loss settlement provision, what must an
insurer do before offering to pay a claimant to settle a claim? -✓✓Get
the insured's consent
• The at-fault driver in an insured's auto crash had the state required
minimums for auto liability coverage, but not enough to pay for all the
damage done to the insured. The driver is -✓✓Considered underinsured
• Which of the following statements is true concerning a bonded
contractor who defaults on a construction performance contract? -
✓✓The obligee may engage another contractor and then seek
reimbursement from the surety
• A business using its own trucks to move its own cargo would insure
the cargo using -✓✓Motor truck cargo - owners form
• A specific coverage part is listed on the commercial package policy
declaractions page, but there is no premium shown. What does that
mean? -✓✓There is no coverage
, • Erroneous Publishing copied all the material from Angels Inc.'s book.
The only changes made by Erroneous were to rename the title and
chapters, put a different cover on it, and distribute it as its own. Angels
Inc. files a claim against Erroneous and seeks damages. Will a
commercial general liability policy cover the claim? -✓✓No, because
the claim results from copyright infringement and is not in an
advertisement
• The type of insurance used to cover goods for one specific trip is called
-✓✓Trip transit
• Events or conditions that increase the chances of an insured loss
occurring are referred to as -✓✓Hazards
• A premium discount is the term that describes when an insured owes a
total standard premium greater than -✓✓$5,000
• The transfer of an insured's right to seek damages from a negligent
party to the insurer is found in which of the following clauses? -
✓✓Subrogation
• The crime of forced entry into the premises of another by a person or
persons with felonious intent is defined as a -✓✓Burglary
• An insured owns a building that is valued at $400,000. To comply with
the 80% coinsurance provision of his insurance policy, how much
should he insure the property for? -✓✓80% of the property's
replacement cost or more
• Which of the following is another term for an authorized insurer? -
✓✓Admitted
and Answers | Complete Study Guide | A+
Guide
• Wish respect to auto insurance, the term owned autos includes all of
the following EXCEPT -✓✓A pickup or van titled to and used in the
named insured's business
• A binder is effective for a period of -✓✓90 days
• Negligence is defined as -✓✓The failure to do what a reasonable
prudent person would do under given circumstances
• Under the professional liability loss settlement provision, what must an
insurer do before offering to pay a claimant to settle a claim? -✓✓Get
the insured's consent
• The at-fault driver in an insured's auto crash had the state required
minimums for auto liability coverage, but not enough to pay for all the
damage done to the insured. The driver is -✓✓Considered underinsured
• Which of the following statements is true concerning a bonded
contractor who defaults on a construction performance contract? -
✓✓The obligee may engage another contractor and then seek
reimbursement from the surety
• A business using its own trucks to move its own cargo would insure
the cargo using -✓✓Motor truck cargo - owners form
• A specific coverage part is listed on the commercial package policy
declaractions page, but there is no premium shown. What does that
mean? -✓✓There is no coverage
, • Erroneous Publishing copied all the material from Angels Inc.'s book.
The only changes made by Erroneous were to rename the title and
chapters, put a different cover on it, and distribute it as its own. Angels
Inc. files a claim against Erroneous and seeks damages. Will a
commercial general liability policy cover the claim? -✓✓No, because
the claim results from copyright infringement and is not in an
advertisement
• The type of insurance used to cover goods for one specific trip is called
-✓✓Trip transit
• Events or conditions that increase the chances of an insured loss
occurring are referred to as -✓✓Hazards
• A premium discount is the term that describes when an insured owes a
total standard premium greater than -✓✓$5,000
• The transfer of an insured's right to seek damages from a negligent
party to the insurer is found in which of the following clauses? -
✓✓Subrogation
• The crime of forced entry into the premises of another by a person or
persons with felonious intent is defined as a -✓✓Burglary
• An insured owns a building that is valued at $400,000. To comply with
the 80% coinsurance provision of his insurance policy, how much
should he insure the property for? -✓✓80% of the property's
replacement cost or more
• Which of the following is another term for an authorized insurer? -
✓✓Admitted
