GA Property & Casualty Exam
Insurance policy covers what type of losses Correct answers Direct and
Indirect
In order to have an indirect loss, you must have Correct answers a
direct loss What does property insurance cover? Correct answers
structures and contents
Direct loss Correct answers physical destruction of property by lightening,
wind, fire, theft, etc
Indirect loss Correct answers consequences of direct losses - e.g. loss
of income, additional expenses to live, loss of rental income, etc.
What is the purpose of personal lines insurance? Correct answers
Coverage for personal activities of the insured for losses that might
take place
What is the purpose of commercial insurance? Correct answers policies that
cover NON personal activities of the insured where losses might take place
Who transfers risk in insurance? Correct answers Insurance involves
transfer of YOUR risk to other people for your losses to be covered
How do insurance companies use premiums? Correct answers Insurance
companies use our premiums to cover losses of the few.
Named Insured Correct answers HIGHEST ranking insured for any policy
Who is the insurance company? Correct answers The author of the policy,
issuer of the policy, and enforcer of policy
Cancellation Correct answers Stop policy mid-term before it has the chance
to expire. Both insurer and insured can cancel a policy
Insured cancels policy Correct answers Request must be made
in writing Risk Correct answers uncertainty of loss. The area
between 1 and 100.
Made Whole Correct answers Put you back like you were as if
the loss never happened
Insurance policy covers what type of losses Correct answers Direct and
Indirect
In order to have an indirect loss, you must have Correct answers a
direct loss What does property insurance cover? Correct answers
structures and contents
Direct loss Correct answers physical destruction of property by lightening,
wind, fire, theft, etc
Indirect loss Correct answers consequences of direct losses - e.g. loss
of income, additional expenses to live, loss of rental income, etc.
What is the purpose of personal lines insurance? Correct answers
Coverage for personal activities of the insured for losses that might
take place
What is the purpose of commercial insurance? Correct answers policies that
cover NON personal activities of the insured where losses might take place
Who transfers risk in insurance? Correct answers Insurance involves
transfer of YOUR risk to other people for your losses to be covered
How do insurance companies use premiums? Correct answers Insurance
companies use our premiums to cover losses of the few.
Named Insured Correct answers HIGHEST ranking insured for any policy
Who is the insurance company? Correct answers The author of the policy,
issuer of the policy, and enforcer of policy
Cancellation Correct answers Stop policy mid-term before it has the chance
to expire. Both insurer and insured can cancel a policy
Insured cancels policy Correct answers Request must be made
in writing Risk Correct answers uncertainty of loss. The area
between 1 and 100.
Made Whole Correct answers Put you back like you were as if
the loss never happened
