Idaho Property & Casualty Exam Prep
New Update/ 150 Questions and Answers
100% Verified/ Graded A+
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 - -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 - -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 - -C
-All of the following are true of negligence, except:
A
It is the failure to use ordinary care
B
It does not require a duty to be owed
C
It is a type of tort
D
It does not include breach of contract - -B
-All of the following are Optional Coverages under the
Businessowners Policy, except:
A
Money and securities
B
Employee dishonesty
C
Outdoor signs
D
Personal property of others that is in the insured's care, custody
and control - -D
-Policyholder S has an HO-5 policy with a $250,000 Coverage A
limit. After a strong wind blows a mailbox into S's front picture
window, causing $2,500 damage, S immediately buys $250 of
wood and plastic sheeting to cover the damaged window and
prevent further damage. How much will S's policy pay?
A
$2,250
,B
$2,750
C
$250
D
$500 - -B
-The Collision or Running Down Clause in Ocean Marine Insurance
covers:
A
Collision damage to another vessel when the shipper is liable
B
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 - -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 - -B
-Bodily Injury may include which of the following?
, A
Loss of Earnings
B
Slander
C
Invasion of Privacy
D
False Arrest - -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
D
License bond - -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
New Update/ 150 Questions and Answers
100% Verified/ Graded A+
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 - -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 - -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 - -C
-All of the following are true of negligence, except:
A
It is the failure to use ordinary care
B
It does not require a duty to be owed
C
It is a type of tort
D
It does not include breach of contract - -B
-All of the following are Optional Coverages under the
Businessowners Policy, except:
A
Money and securities
B
Employee dishonesty
C
Outdoor signs
D
Personal property of others that is in the insured's care, custody
and control - -D
-Policyholder S has an HO-5 policy with a $250,000 Coverage A
limit. After a strong wind blows a mailbox into S's front picture
window, causing $2,500 damage, S immediately buys $250 of
wood and plastic sheeting to cover the damaged window and
prevent further damage. How much will S's policy pay?
A
$2,250
,B
$2,750
C
$250
D
$500 - -B
-The Collision or Running Down Clause in Ocean Marine Insurance
covers:
A
Collision damage to another vessel when the shipper is liable
B
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 - -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 - -B
-Bodily Injury may include which of the following?
, A
Loss of Earnings
B
Slander
C
Invasion of Privacy
D
False Arrest - -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
D
License bond - -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
