PROPERTY AND CASUALTY INSURANCE
LICENSING REAL ACTUAL EXAM 2025 WITH
QUESTIONS AND CORRECT ANSWERS
|GRADED A+ | WITH RATIONALES |
GUARANTEED PASS | PROPERTY AND
CASUALTY INSURANCE MIDTERM AND FINAL
LATEST EXAM 2025 [BRAND NEW!!]
Which of the following is not an insured location for liability coverage under the
homeowner's policy?
a) a restaurant party room the insured has rented for a business meeting
b) the insured's cemetery plot
c) a restaurant party room the insured has rented for a birthday party
d) vacant land owned by the insured - ANSWER- a) a restaurant party room the
insured has rented for a business meeting
Special covers each of the following EXCEPT:
a) theft
b) mysterious disappearance
c) Acts of God
d) floods and earthquakes - ANSWER- d) floods and earthquakes
Sam has underinsured motorist coverage with limits of $100/$300. Sam is injured
by Quincy who has limits of $50/$100. Sam's injuries are valued at $125,000.
Sam's underinsured motorist coverage will pay;
,a) $25,000
b) $50,000
c) $75,000
d) $125,000 - ANSWER- b) $50,000
The contract agreement may be referred as the:
a) legal interest test
b) good faith
c) meeting of the minds
d) promise of indemnification - ANSWER- c) meeting of the minds
Which of the following boats owned by the insured would require the HO
watercraft endorsement for liability coverage?
a) a boat with 25 horsepower outboard engine
b) a sailboat with 25 ft. in length
c) a boat with a 15 horsepower inboard motor
d) none of the above - ANSWER- c) a boat with a 15 horsepower inboard motor
Authority expressed orally by the insurer to the agent is:
a)apparent authority
b) no authority
c) implied authority
d) express authority - ANSWER- d) express authority
Contracts require each of the following except:
a) consideration
, b) notarization
c) implied authority
d) express authority - ANSWER- b) notarization
Which section of the policy specifies which stores owned by an insured are
covered
a) Ensuring agreements
b) conditions
c) exclusions
d)declaration - ANSWER- d) declaration
Mike gets a grizzly bear to keep as a pet at his home. This results in a type of
liability known as:
a) strict liability
b) professional liability
c) absolute liability
d) vicarious liability - ANSWER- c) absolute liability
Insurable losses will be listed in what section?
a) declarations
b) exclusions
c) conditions
d) insuring agreements - ANSWER- d) insuring agreements
Which is true regarding insurance companies?
a) stock companies are managed by the policy owners
LICENSING REAL ACTUAL EXAM 2025 WITH
QUESTIONS AND CORRECT ANSWERS
|GRADED A+ | WITH RATIONALES |
GUARANTEED PASS | PROPERTY AND
CASUALTY INSURANCE MIDTERM AND FINAL
LATEST EXAM 2025 [BRAND NEW!!]
Which of the following is not an insured location for liability coverage under the
homeowner's policy?
a) a restaurant party room the insured has rented for a business meeting
b) the insured's cemetery plot
c) a restaurant party room the insured has rented for a birthday party
d) vacant land owned by the insured - ANSWER- a) a restaurant party room the
insured has rented for a business meeting
Special covers each of the following EXCEPT:
a) theft
b) mysterious disappearance
c) Acts of God
d) floods and earthquakes - ANSWER- d) floods and earthquakes
Sam has underinsured motorist coverage with limits of $100/$300. Sam is injured
by Quincy who has limits of $50/$100. Sam's injuries are valued at $125,000.
Sam's underinsured motorist coverage will pay;
,a) $25,000
b) $50,000
c) $75,000
d) $125,000 - ANSWER- b) $50,000
The contract agreement may be referred as the:
a) legal interest test
b) good faith
c) meeting of the minds
d) promise of indemnification - ANSWER- c) meeting of the minds
Which of the following boats owned by the insured would require the HO
watercraft endorsement for liability coverage?
a) a boat with 25 horsepower outboard engine
b) a sailboat with 25 ft. in length
c) a boat with a 15 horsepower inboard motor
d) none of the above - ANSWER- c) a boat with a 15 horsepower inboard motor
Authority expressed orally by the insurer to the agent is:
a)apparent authority
b) no authority
c) implied authority
d) express authority - ANSWER- d) express authority
Contracts require each of the following except:
a) consideration
, b) notarization
c) implied authority
d) express authority - ANSWER- b) notarization
Which section of the policy specifies which stores owned by an insured are
covered
a) Ensuring agreements
b) conditions
c) exclusions
d)declaration - ANSWER- d) declaration
Mike gets a grizzly bear to keep as a pet at his home. This results in a type of
liability known as:
a) strict liability
b) professional liability
c) absolute liability
d) vicarious liability - ANSWER- c) absolute liability
Insurable losses will be listed in what section?
a) declarations
b) exclusions
c) conditions
d) insuring agreements - ANSWER- d) insuring agreements
Which is true regarding insurance companies?
a) stock companies are managed by the policy owners
