Idaho Property & Casualty Exam
Prep
New Update 2023-2024 Questions
and Answers 100% Verified
Which of the following statements is false with respect to requirements for
rates?
A) Rates may not be inadequate
B) A purpose of the rate regulation is to diminish competition between
insurers
C) Rates may not be unfairly discriminatory
D) A purpose of the rate regulation is to regulate cooperative action among
insurers
Answer - B
The Businessowners Coverage Form to the Businessowners Policy provides
coverage
on which of the following
basis?
A) Modified Perils
B) Simplified Perils
C) Broad Perils
D) Open Perils Answer - D
Which of the following describes the coverage of the Extra Expense
Coverage Form?
A
It covers the loss of business income during the period of restoration
B
It covers the expense of disposing of spoiled merchandise caused by a power
outage
C
It covers the necessary additional expenses incurred during the period of
restoration which would not otherwise have been incurred in the absence of
a direct loss
D
It covers the expense of removing the debris of a covered direct loss Answer
-C
Idaho Property & Casualty
,All of the following are true of negligence,
except: A
It is the failure to use ordinary B
care
C
It does not require a duty to be It
owed D
is a type of
All of the following are Optional
tort
Coverages under the
Businessowners Policy, except:
It does not include breach of contract
Answer - B
A
Money and
B
securities
Employee
C
dishonesty
Outdoor s
D
sign
Personal property of others that is in the insured's care, custody and control
Answer - D
Policyholder S has an HO-5 policy with a $250,000 Coverage
tron A limit.
wind blows
After a s a mailbox into S's front picture window, causing
g $2,500
immediately
damage, S buys $250 of wood and plastic sheeting to cover the damaged
prevent
window andfurther damage. How much will S's
A
policy pay?
$2,20
B
5
$2,70
C
5
$2 0
D5
$500 Answer B
-
The Collision or Running Down Clause in Ocean Marine Insurance covers:
A
Collision damage to another vessel when the shipper is liable
B
Idaho Property & Casualty
,Collision damage to the insured vessel when it collides with a pier or fixed
object
C
Damage to the insured vessel caused by running aground
D
Collision damage to the insured vessel when it collides with another vessel
Answer - A
Which Ocean Marine insurance provision protects against direct damage
caused by
bursting of
boilers?
A
Boiler & Machinery Clause
B
Inchmaree Clause
C
Mechanical Failure Clause
D Running Down Clause
Answer - B
Bodily Injury may include which of the following?
A
Loss of Earnings
B
Slander
C
Invasion of Privacy
D
False Arrest Answer - A
Which of the following covers an employee in a position of private trust and
protects an
employer against loss caused by the employee's
dishonesty.
A
Performance bond
B
Fidelity bond
C
Lender's bond
Idaho Property & Casualty
, D License bond
Answer - B
Which of the following is correct regarding products liability under the CGL?
A
Coverage applies to the bodily injury (BI) and property damage (PD) the
product causes, but not to the product itself
B
Products liability coverage commences immediately upon sale of the
product, before the purchaser leaves the insured's premises
C
Products liability coverage includes dram shop liability insurance
D
Coverage applies to BI and PD caused by the product, and to damage to the
product itself once in the purchaser's care, custody and control Answer - A
Notice of premium or coverage changes must be sent out with ___ days'
notice.
A
21
B
25
C
14
D
30 AnswerD-
All of the following are covered perils under the Extended Coverage
Endorsement to the DP-1, except:
A
Vehicles
B
Weight of ice, snow or sleet
C
Windstorm
D Volcanic eruption
Answer - B
Which statement is true concerning Coverage D of the Homeowners Policy?
A
The coverage will pay for all the insured's living expenses until the property
is restored
B
Idaho Property & Casualty
Prep
New Update 2023-2024 Questions
and Answers 100% Verified
Which of the following statements is false with respect to requirements for
rates?
A) Rates may not be inadequate
B) A purpose of the rate regulation is to diminish competition between
insurers
C) Rates may not be unfairly discriminatory
D) A purpose of the rate regulation is to regulate cooperative action among
insurers
Answer - B
The Businessowners Coverage Form to the Businessowners Policy provides
coverage
on which of the following
basis?
A) Modified Perils
B) Simplified Perils
C) Broad Perils
D) Open Perils Answer - D
Which of the following describes the coverage of the Extra Expense
Coverage Form?
A
It covers the loss of business income during the period of restoration
B
It covers the expense of disposing of spoiled merchandise caused by a power
outage
C
It covers the necessary additional expenses incurred during the period of
restoration which would not otherwise have been incurred in the absence of
a direct loss
D
It covers the expense of removing the debris of a covered direct loss Answer
-C
Idaho Property & Casualty
,All of the following are true of negligence,
except: A
It is the failure to use ordinary B
care
C
It does not require a duty to be It
owed D
is a type of
All of the following are Optional
tort
Coverages under the
Businessowners Policy, except:
It does not include breach of contract
Answer - B
A
Money and
B
securities
Employee
C
dishonesty
Outdoor s
D
sign
Personal property of others that is in the insured's care, custody and control
Answer - D
Policyholder S has an HO-5 policy with a $250,000 Coverage
tron A limit.
wind blows
After a s a mailbox into S's front picture window, causing
g $2,500
immediately
damage, S buys $250 of wood and plastic sheeting to cover the damaged
prevent
window andfurther damage. How much will S's
A
policy pay?
$2,20
B
5
$2,70
C
5
$2 0
D5
$500 Answer B
-
The Collision or Running Down Clause in Ocean Marine Insurance covers:
A
Collision damage to another vessel when the shipper is liable
B
Idaho Property & Casualty
,Collision damage to the insured vessel when it collides with a pier or fixed
object
C
Damage to the insured vessel caused by running aground
D
Collision damage to the insured vessel when it collides with another vessel
Answer - A
Which Ocean Marine insurance provision protects against direct damage
caused by
bursting of
boilers?
A
Boiler & Machinery Clause
B
Inchmaree Clause
C
Mechanical Failure Clause
D Running Down Clause
Answer - B
Bodily Injury may include which of the following?
A
Loss of Earnings
B
Slander
C
Invasion of Privacy
D
False Arrest Answer - A
Which of the following covers an employee in a position of private trust and
protects an
employer against loss caused by the employee's
dishonesty.
A
Performance bond
B
Fidelity bond
C
Lender's bond
Idaho Property & Casualty
, D License bond
Answer - B
Which of the following is correct regarding products liability under the CGL?
A
Coverage applies to the bodily injury (BI) and property damage (PD) the
product causes, but not to the product itself
B
Products liability coverage commences immediately upon sale of the
product, before the purchaser leaves the insured's premises
C
Products liability coverage includes dram shop liability insurance
D
Coverage applies to BI and PD caused by the product, and to damage to the
product itself once in the purchaser's care, custody and control Answer - A
Notice of premium or coverage changes must be sent out with ___ days'
notice.
A
21
B
25
C
14
D
30 AnswerD-
All of the following are covered perils under the Extended Coverage
Endorsement to the DP-1, except:
A
Vehicles
B
Weight of ice, snow or sleet
C
Windstorm
D Volcanic eruption
Answer - B
Which statement is true concerning Coverage D of the Homeowners Policy?
A
The coverage will pay for all the insured's living expenses until the property
is restored
B
Idaho Property & Casualty
