PSI PROPERTY AND CASUALTY EXAM QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS VERIFIED 2024 LATEST UPDATE
What will happen if a house covered by a standard mortgage clause is a total
loss?
The insurer pays the mortgage according to the mortgagee's interest in the property
Which coverage form would provide coverage for all incoming and outgoing
shipments?
Annual transit
Tom's Truck Service's vehicle is stolen. The policyholder may obtain coverage for
transportation expenses subject to which of the following limits?
$20/day. $600 max
Crunchy Flakes Cereal Company shipped some of its product in faulty containers
that caused spoilage. This resulted in some consumers becoming ill. If the
company is sued for this event, it would be an example of a
Product liability claim
What fundamental principle in property insurance holds that when there is an
unbroken connection between occurrence and damage that grows out of the
occurrence, then the resultant damage is all a part of the occurrence?
Proximate cause
An agent offers his client free tickets to a sporting event in exchange for the
purchase of an insurance policy. The agent is guilty of
rebating
, Which of the following could be covered by a HO policy
an oriental rug in an on premises apartment
(HO Does NOT apply to animals, cars, and tenant property)
What is the maximum amount an insurer will pay under the equipment dealers
pollution cleanup and removal extension of an inland marine policy?
$10,000 for all expenses incurred during a 12 month period
Persons covered under an insurance policy, whether named or not, are known as
the
insured
The legal process that gives an insurer, after a payment of a loss, the right to
seek recovery from a third party that was responsible for the loss is known as:
subrogation
Unfair Claims Settlement Practices
advise the insured that if the claim goes to settlement, the insured would get less that
what is currently being offered
According to the loss payment condition in HO policies, losses must be paid
within how many days of the insurer receiving proof of loss?
60
A licensee serving in the military is unable to fulfill her CE requirement. What
would the licensee have to do to renew her license?
licensee may submit a request to the department to have requirements and fees
waived. The Dept will then determine if the request is permissible
COMPLETE SOLUTIONS VERIFIED 2024 LATEST UPDATE
What will happen if a house covered by a standard mortgage clause is a total
loss?
The insurer pays the mortgage according to the mortgagee's interest in the property
Which coverage form would provide coverage for all incoming and outgoing
shipments?
Annual transit
Tom's Truck Service's vehicle is stolen. The policyholder may obtain coverage for
transportation expenses subject to which of the following limits?
$20/day. $600 max
Crunchy Flakes Cereal Company shipped some of its product in faulty containers
that caused spoilage. This resulted in some consumers becoming ill. If the
company is sued for this event, it would be an example of a
Product liability claim
What fundamental principle in property insurance holds that when there is an
unbroken connection between occurrence and damage that grows out of the
occurrence, then the resultant damage is all a part of the occurrence?
Proximate cause
An agent offers his client free tickets to a sporting event in exchange for the
purchase of an insurance policy. The agent is guilty of
rebating
, Which of the following could be covered by a HO policy
an oriental rug in an on premises apartment
(HO Does NOT apply to animals, cars, and tenant property)
What is the maximum amount an insurer will pay under the equipment dealers
pollution cleanup and removal extension of an inland marine policy?
$10,000 for all expenses incurred during a 12 month period
Persons covered under an insurance policy, whether named or not, are known as
the
insured
The legal process that gives an insurer, after a payment of a loss, the right to
seek recovery from a third party that was responsible for the loss is known as:
subrogation
Unfair Claims Settlement Practices
advise the insured that if the claim goes to settlement, the insured would get less that
what is currently being offered
According to the loss payment condition in HO policies, losses must be paid
within how many days of the insurer receiving proof of loss?
60
A licensee serving in the military is unable to fulfill her CE requirement. What
would the licensee have to do to renew her license?
licensee may submit a request to the department to have requirements and fees
waived. The Dept will then determine if the request is permissible
