NY INDEPENDENT GENERAL ADJUSTER EXAM -
SERIES 17-70
Johnny neglected to admit in his application for a health policy that he had
suffered rheumatic fever as a child. In order for the company to cancel this policy,
the insurer must determine that this omission was: - ANSWERS-deliberate and
fraudulent.
Jack is helping a friend move a pool table when he strains his back, causing a
disability. The insurer declines his claim because the injury is not considered
accidental under the terms of Jack's policy. Jack's policy must include; - ANSWERS-
an accidental means definition of an accident..
In order to issue a written binder for a commercial property policy, what is the
minimum consideration an agent must secure from an applicant? - ANSWERS-A
promise to pay the premium.
Does an aircraft policy cover a loss involving an unapproved pilot operating an
insured aircraft? - ANSWERS-No, a loss involving an unapproved pilot is excluded.
Under a business owners policy, the hired non-owner coverage would apply to: -
ANSWERS-Vehicles borrowed by the insured.
An insured has a $2 million limit of insurance under a personal umbrella liability
policy with a $2,000 self-insured retention limit. The insured is sued for $1 million
,in personal injury damages and $1.5 million in property damages arising from the
same occurrence. The insured's underlying liability policies do not cover the
damages. In this case, the umbrella policy will pay: - ANSWERS-$1,998,000 of the
damages. Since the underlying coverage does not apply the insured must pay the
$2,000 self-retained limit and the umbrella insurer must pay the rest of the claim.
Which dwelling forms provide broad perils coverage for personal property? -
ANSWERS-DP2 and DP3.
In ocean marine insurance, what is the purpose of the IVEL clause? - ANSWERS-To
provide excess hull and collision liability coverage.
An employee suffered a severe injury while operating a piece of machinery known
to be in need of repair. Unfamiliar with the workers compensation law, the
spouse sued the employer, claiming loss of consortium. What coverage if any in a
standard workers compensation policy would respond to this lawsuit? -
ANSWERS-Employer's Liability Coverage.
What is the limit under the Businessowners Policy for pollution clean up? -
ANSWERS-A maximum of $10,000.
How are losses evaluated for payment under the Watercraft and Yacht policies? -
ANSWERS-Actual cash value at the time of the loss.
Henry is the first named insured on a $1 million umbrella liability policy. His wife,
Dorothy, is also an insured. Both Henry and Dorothy were sued for $1 million in
, separate, unrelated suits by separate third parties. Both insureds lost their suits
on the same day. In this possible but rare situation, if the umbrella policy is
applicable and the self-insured retention is not applicable: - ANSWERS-Henry will
not receive more protection than Dorothy and the policy could pay a total of the
$2 million amount for the two awards, subject to the "aggregate limit". .
The requirements of the Employment Retirement Income Security Act compel
employers to cover their professional liability exposure for honest errors and
omissions regarding employee benefit plans by purchasing: - ANSWERS-Fiduciary
Liability.
How long is payroll coverage limited to in case of a business income loss under
the BOP? - ANSWERS-60 days.
Is coverage under the Terrorism Risk Insurance Act mandatory? - ANSWERS-No.
The most comprehensive coverage provided by the Dwelling Property program is
found in the: - ANSWERS-DP3.
An insurance policy is issued as a policy having two unequal parts, the liability
assumed by the insurer and the premium paid by the insured. Therefore, an
insurance policy is referred to as: - ANSWERS-An aleatory contract.
Dram Shop Liability refers to: - ANSWERS-Liquor Law Liability.
SERIES 17-70
Johnny neglected to admit in his application for a health policy that he had
suffered rheumatic fever as a child. In order for the company to cancel this policy,
the insurer must determine that this omission was: - ANSWERS-deliberate and
fraudulent.
Jack is helping a friend move a pool table when he strains his back, causing a
disability. The insurer declines his claim because the injury is not considered
accidental under the terms of Jack's policy. Jack's policy must include; - ANSWERS-
an accidental means definition of an accident..
In order to issue a written binder for a commercial property policy, what is the
minimum consideration an agent must secure from an applicant? - ANSWERS-A
promise to pay the premium.
Does an aircraft policy cover a loss involving an unapproved pilot operating an
insured aircraft? - ANSWERS-No, a loss involving an unapproved pilot is excluded.
Under a business owners policy, the hired non-owner coverage would apply to: -
ANSWERS-Vehicles borrowed by the insured.
An insured has a $2 million limit of insurance under a personal umbrella liability
policy with a $2,000 self-insured retention limit. The insured is sued for $1 million
,in personal injury damages and $1.5 million in property damages arising from the
same occurrence. The insured's underlying liability policies do not cover the
damages. In this case, the umbrella policy will pay: - ANSWERS-$1,998,000 of the
damages. Since the underlying coverage does not apply the insured must pay the
$2,000 self-retained limit and the umbrella insurer must pay the rest of the claim.
Which dwelling forms provide broad perils coverage for personal property? -
ANSWERS-DP2 and DP3.
In ocean marine insurance, what is the purpose of the IVEL clause? - ANSWERS-To
provide excess hull and collision liability coverage.
An employee suffered a severe injury while operating a piece of machinery known
to be in need of repair. Unfamiliar with the workers compensation law, the
spouse sued the employer, claiming loss of consortium. What coverage if any in a
standard workers compensation policy would respond to this lawsuit? -
ANSWERS-Employer's Liability Coverage.
What is the limit under the Businessowners Policy for pollution clean up? -
ANSWERS-A maximum of $10,000.
How are losses evaluated for payment under the Watercraft and Yacht policies? -
ANSWERS-Actual cash value at the time of the loss.
Henry is the first named insured on a $1 million umbrella liability policy. His wife,
Dorothy, is also an insured. Both Henry and Dorothy were sued for $1 million in
, separate, unrelated suits by separate third parties. Both insureds lost their suits
on the same day. In this possible but rare situation, if the umbrella policy is
applicable and the self-insured retention is not applicable: - ANSWERS-Henry will
not receive more protection than Dorothy and the policy could pay a total of the
$2 million amount for the two awards, subject to the "aggregate limit". .
The requirements of the Employment Retirement Income Security Act compel
employers to cover their professional liability exposure for honest errors and
omissions regarding employee benefit plans by purchasing: - ANSWERS-Fiduciary
Liability.
How long is payroll coverage limited to in case of a business income loss under
the BOP? - ANSWERS-60 days.
Is coverage under the Terrorism Risk Insurance Act mandatory? - ANSWERS-No.
The most comprehensive coverage provided by the Dwelling Property program is
found in the: - ANSWERS-DP3.
An insurance policy is issued as a policy having two unequal parts, the liability
assumed by the insurer and the premium paid by the insured. Therefore, an
insurance policy is referred to as: - ANSWERS-An aleatory contract.
Dram Shop Liability refers to: - ANSWERS-Liquor Law Liability.
