NJ P&C Insurance Exam With 100%
Correct Answers 2023.
A flood damages a single-family dwelling that is in a community in the early
stages of participation in the NFIP, but they are not yet considered participating.
What is the maximum a resident may receive for damages to their personal
property?
$10,000
Under the Dwelling Broad Form, losses to an unattached garage are paid on
which basis?
Replacement Cost
Which of the following is false regarding the Building and Personal Property
Coverage Form?
The policy covers vehicles licensed for road use
In which type of system does an employer have the choice to provide Workers'
Compensation benefits at its own option?
Elective
When coverage applies to losses from all perils except those specifically
excluded, the policy is said to be written on which of the following basis?
Open Perils
A manufacturer is held liable if a product caused an injury whether the product
was or was not defective. This describes what type of liability?
Strict
Which of the following perils is not covered by Crop/Hail insurance?
Failure to harvest
Which of the following is not true concerning Section II of the Homeowners
Policy?
The Damage to Property of Others duplicates coverage that is included in Section I
Who among the following may place business with the Association?
All producers licensed to do business in the state
Which of the following losses would be covered under all dwelling forms?
Fire damage to building materials and supplies that are located on the insured premises
All of the following are false about Damage to Your Auto, except:
In the event of total loss, adjustment will be made for the physical condition of the
vehicle
Which of the following statements is not true about a claim payment for a
collision loss under the PAP?
If the insurer recovers and returns stolen property to the insured, no further payment is
due
Choose the physical damage claim that would be covered under the Personal
Auto Policy.
Malicious mischief to the tires
A building valued at $200,000 is insured for $150,000 with an 80% coinsurance
requirement and a $1,000 deductible. After the building is totally destroyed,
, incurring debris removal expenses of $10,000, how much will the Building and
Personal Property Coverage Form pay?
$159,000
Which of the following would not be covered under Coverage C of the Special
Dwelling Form?
The insured's golden retriever
Fine arts and antiques are classes of property insured on a:
Valued basis
Flood is a specified cause of loss under which section of the Garage Coverage
Form?
Section IV
A hazard is best defined as:
Something that increases the chance of loss
Which statement is true concerning Dwelling policies?
The Special Form insures the dwelling on an open perils basis, and insures the contents
against the broad form perils
Which of the following is true under the Dwelling policy?
The Basic Form covers the perils of fire, lightning and internal explosion
Rates are referred to as which of the following when the insurance company files
for approval and then implements the rates?
File and Use
Which of the following is not true about an insurance policy?
The insuring agreement includes the name of the insured
Which of the following is not an implied warranty in relation to Ocean Marine
Insurance?
Full value
All of the following are true of a Yacht Policy, except:
A yacht is covered regardless of its location
Which of the following would be an eligible risk under the BOP?
Fast food restaurant
The Garage Liability section of the Garage Coverage Form covers which of the
following?
Property damage for which the insured is legally responsible
Which of the following would not be covered by the Ordinance or Law
endorsement.
Building code fines
Which statement is true regarding the Employers Liability Insurance Part of
Workers' Compensation?
It provides coverage for employment-related liability outside of Workers' Compensation
statute
Benefits from which of the following will begin when other benefits end, and after
the claimant applies for fund benefits?
Second injury fund
A value limitation for a shipment is not included in which type of bill of lading?
Straight
Which of the following is true regarding liability insurance?
Correct Answers 2023.
A flood damages a single-family dwelling that is in a community in the early
stages of participation in the NFIP, but they are not yet considered participating.
What is the maximum a resident may receive for damages to their personal
property?
$10,000
Under the Dwelling Broad Form, losses to an unattached garage are paid on
which basis?
Replacement Cost
Which of the following is false regarding the Building and Personal Property
Coverage Form?
The policy covers vehicles licensed for road use
In which type of system does an employer have the choice to provide Workers'
Compensation benefits at its own option?
Elective
When coverage applies to losses from all perils except those specifically
excluded, the policy is said to be written on which of the following basis?
Open Perils
A manufacturer is held liable if a product caused an injury whether the product
was or was not defective. This describes what type of liability?
Strict
Which of the following perils is not covered by Crop/Hail insurance?
Failure to harvest
Which of the following is not true concerning Section II of the Homeowners
Policy?
The Damage to Property of Others duplicates coverage that is included in Section I
Who among the following may place business with the Association?
All producers licensed to do business in the state
Which of the following losses would be covered under all dwelling forms?
Fire damage to building materials and supplies that are located on the insured premises
All of the following are false about Damage to Your Auto, except:
In the event of total loss, adjustment will be made for the physical condition of the
vehicle
Which of the following statements is not true about a claim payment for a
collision loss under the PAP?
If the insurer recovers and returns stolen property to the insured, no further payment is
due
Choose the physical damage claim that would be covered under the Personal
Auto Policy.
Malicious mischief to the tires
A building valued at $200,000 is insured for $150,000 with an 80% coinsurance
requirement and a $1,000 deductible. After the building is totally destroyed,
, incurring debris removal expenses of $10,000, how much will the Building and
Personal Property Coverage Form pay?
$159,000
Which of the following would not be covered under Coverage C of the Special
Dwelling Form?
The insured's golden retriever
Fine arts and antiques are classes of property insured on a:
Valued basis
Flood is a specified cause of loss under which section of the Garage Coverage
Form?
Section IV
A hazard is best defined as:
Something that increases the chance of loss
Which statement is true concerning Dwelling policies?
The Special Form insures the dwelling on an open perils basis, and insures the contents
against the broad form perils
Which of the following is true under the Dwelling policy?
The Basic Form covers the perils of fire, lightning and internal explosion
Rates are referred to as which of the following when the insurance company files
for approval and then implements the rates?
File and Use
Which of the following is not true about an insurance policy?
The insuring agreement includes the name of the insured
Which of the following is not an implied warranty in relation to Ocean Marine
Insurance?
Full value
All of the following are true of a Yacht Policy, except:
A yacht is covered regardless of its location
Which of the following would be an eligible risk under the BOP?
Fast food restaurant
The Garage Liability section of the Garage Coverage Form covers which of the
following?
Property damage for which the insured is legally responsible
Which of the following would not be covered by the Ordinance or Law
endorsement.
Building code fines
Which statement is true regarding the Employers Liability Insurance Part of
Workers' Compensation?
It provides coverage for employment-related liability outside of Workers' Compensation
statute
Benefits from which of the following will begin when other benefits end, and after
the claimant applies for fund benefits?
Second injury fund
A value limitation for a shipment is not included in which type of bill of lading?
Straight
Which of the following is true regarding liability insurance?
