Exam FX Insurance Practice Exam
Questions | 120 Questions with 100%
Correct Answers | Updated & Verified|
Graded A+
The causes of loss insured against in an insurance policy are
known as - -Perils
-Before an insurer will pay any loss under a policy, what is usually
required from the insured? - -Proof of loss
-An insured works outside the home. The insured's sister lives
with him and cares for his four children. When the insured's home
is severely damaged by fire, the family moves into an apartment
while repairs are being made. The largest apartment available in
the area has two bedrooms, so the insured's sister has to stay at
a motel. How much will the HO-3 form pay for these additional
living expense? - -All of the expense up to the Coverage D limit
-All of the following statements concerning coinsurance are true
EXCEPT - -The coinsurance formula will also be applied to total
losses.
, -What insurance policy provision defines how the policy will
respond if there is more than one insurance policy written on the
same risk? - -Other insurance
-What is the purpose of the coinsurance clause found in property
insurance policies? - -Encourage the insured to insure the
property closer to its full value
-With respect to the business of insurance, a hazard is - -Any
condition or exposure that increases the possibility of loss.
-A building is insured, but no one has lived or worked in it for 10
years. The building is completely empty of any furniture or
personal belongings. From an insurance standpoint, the building
is considered - -Vacant
-For the reported losses of an insured group to become more
likely to equal the statistical probability of loss for that particular
class, the insured group must become - -Larger
-The businessowners policy liability coverage will pay for
necessary medical expenses of others incurred within what
maximum time period? - -1 year
, -An insured is driving her auto and strikes a large pothole,
causing a flat tire. Which coverage of the insured's personal auto
policy will pay for the repair? - -This loss is not covered
-Which of the following coverages in dwelling and homeowners
policies is for indirect losses? - -Loss of use
-Which of the following types of valuation works best for property
whose value does not fluctuate much? - -Agreed value
-Under the limits of insurance provision found in the Physical
Damage Coverage Form in a Commercial Auto policy, how much
will an insurer pay to repair or replace a covered auto? - -The
lesser of the actual cash value or the cost to repair or replace a
covered auto
-All of the following conditions must exist for injury or damage to
be included in the products and completed operations hazard of a
commercial general liability policy EXCEPT - -The injury or
damage must occur within 90 days after the insured's work is
completed.
-The type of professional liability coverage a medical doctor
needs is - -Malpractice coverage.
Questions | 120 Questions with 100%
Correct Answers | Updated & Verified|
Graded A+
The causes of loss insured against in an insurance policy are
known as - -Perils
-Before an insurer will pay any loss under a policy, what is usually
required from the insured? - -Proof of loss
-An insured works outside the home. The insured's sister lives
with him and cares for his four children. When the insured's home
is severely damaged by fire, the family moves into an apartment
while repairs are being made. The largest apartment available in
the area has two bedrooms, so the insured's sister has to stay at
a motel. How much will the HO-3 form pay for these additional
living expense? - -All of the expense up to the Coverage D limit
-All of the following statements concerning coinsurance are true
EXCEPT - -The coinsurance formula will also be applied to total
losses.
, -What insurance policy provision defines how the policy will
respond if there is more than one insurance policy written on the
same risk? - -Other insurance
-What is the purpose of the coinsurance clause found in property
insurance policies? - -Encourage the insured to insure the
property closer to its full value
-With respect to the business of insurance, a hazard is - -Any
condition or exposure that increases the possibility of loss.
-A building is insured, but no one has lived or worked in it for 10
years. The building is completely empty of any furniture or
personal belongings. From an insurance standpoint, the building
is considered - -Vacant
-For the reported losses of an insured group to become more
likely to equal the statistical probability of loss for that particular
class, the insured group must become - -Larger
-The businessowners policy liability coverage will pay for
necessary medical expenses of others incurred within what
maximum time period? - -1 year
, -An insured is driving her auto and strikes a large pothole,
causing a flat tire. Which coverage of the insured's personal auto
policy will pay for the repair? - -This loss is not covered
-Which of the following coverages in dwelling and homeowners
policies is for indirect losses? - -Loss of use
-Which of the following types of valuation works best for property
whose value does not fluctuate much? - -Agreed value
-Under the limits of insurance provision found in the Physical
Damage Coverage Form in a Commercial Auto policy, how much
will an insurer pay to repair or replace a covered auto? - -The
lesser of the actual cash value or the cost to repair or replace a
covered auto
-All of the following conditions must exist for injury or damage to
be included in the products and completed operations hazard of a
commercial general liability policy EXCEPT - -The injury or
damage must occur within 90 days after the insured's work is
completed.
-The type of professional liability coverage a medical doctor
needs is - -Malpractice coverage.
