4/11/25, 9:25 Auto Insurance Renewal Flashcards |
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AUTO INSURANCE RENEWAL EXAM QUESTIONS AND
ANSWERS WITH COMPLETE SOLUTIONS VERIFIED
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Her snowmobile
Polly has a PAP endorsed with the
"miscellaneous vehicle" endorsement.
The Honda would be covered under the basic PAP, and coverage for the
Which of the following vehicles could
motor home and the golf cart can be added by the miscellaneous vehicle
not be covered under the endorsed
endorsement. A different endorsement is used with snowmobiles.
PAP?
Patrick performs on-site contract work for Pleasure use
Walker Dairies and drives 8 miles to the
farm each day for 1 week in a 5-week This use would be considered pleasure use because the use is less than 2 weeks
period. This use falls into which of the in a 5-week period.
following classifications?
Comprehensive coverage" refers to the other-than-collision coverage under part D—damage to your auto.
Which of the following situations would Larry buys three pickups to be used in his landscaping business.
not qualify for a PAP?
paying relatively small amounts of medical expenses related to use of her auto,
under her personal auto policy, Ann's even if she is not negligent.
medical payments coverage will serve the
purpose of The medical payments coverage of the PAP applies only to auto-related medical
expenses.
1. Which of the following people would Patrick steals Rob's car and drives it to the movies.
not have "reasonable belief" that he or
she is entitled to drive Rob's
pickup?
While on a ski trip to Colorado, Joel skids Any applicable prejudgment interest
on ice and causes a terrible accident
involving an SUV carrying four Although post judgment interest is one of the expenses covered as a
people. supplementary payment, prejudgment interest is covered within the PAP's liability
Joel's Mercedes sedan is insured with a limit.
PAP. The SUV driver sues Joel for
additional damages. Under the terms of
Joel's PAP, which of the following would
not be a supplementary payment that his
insurer would make?
Kathleen has a Toyota Corolla that she $137,000
insures with a PAP with a liability limit of
$100,000. Kathleen is involved in a
multiple-vehicle accident for which she
is at fault. The two victims sue Kathleen.
The defense costs are $37,000, and
the
settlement is $100,000. What is the total
amount Kathleen's policy will pay?
Which of the following situations would Dean is riding his motorcycle when he has an at-fault accident.
be excluded by an unendorsed PAP
based on the "vehicles with less than four The motorcycle is designed for on-road use, but it is excluded because it has
wheels or designated for off-road use" fewer than four wheels. Exceptions to the exclusion apply to liability claims
exclusion? related to medical emergencies, nonowned golf carts, and trailers
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PM
AUTO INSURANCE RENEWAL EXAM QUESTIONS AND
ANSWERS WITH COMPLETE SOLUTIONS VERIFIED
5.0 (1 review)
Save
Her snowmobile
Polly has a PAP endorsed with the
"miscellaneous vehicle" endorsement.
The Honda would be covered under the basic PAP, and coverage for the
Which of the following vehicles could
motor home and the golf cart can be added by the miscellaneous vehicle
not be covered under the endorsed
endorsement. A different endorsement is used with snowmobiles.
PAP?
Patrick performs on-site contract work for Pleasure use
Walker Dairies and drives 8 miles to the
farm each day for 1 week in a 5-week This use would be considered pleasure use because the use is less than 2 weeks
period. This use falls into which of the in a 5-week period.
following classifications?
Comprehensive coverage" refers to the other-than-collision coverage under part D—damage to your auto.
Which of the following situations would Larry buys three pickups to be used in his landscaping business.
not qualify for a PAP?
paying relatively small amounts of medical expenses related to use of her auto,
under her personal auto policy, Ann's even if she is not negligent.
medical payments coverage will serve the
purpose of The medical payments coverage of the PAP applies only to auto-related medical
expenses.
1. Which of the following people would Patrick steals Rob's car and drives it to the movies.
not have "reasonable belief" that he or
she is entitled to drive Rob's
pickup?
While on a ski trip to Colorado, Joel skids Any applicable prejudgment interest
on ice and causes a terrible accident
involving an SUV carrying four Although post judgment interest is one of the expenses covered as a
people. supplementary payment, prejudgment interest is covered within the PAP's liability
Joel's Mercedes sedan is insured with a limit.
PAP. The SUV driver sues Joel for
additional damages. Under the terms of
Joel's PAP, which of the following would
not be a supplementary payment that his
insurer would make?
Kathleen has a Toyota Corolla that she $137,000
insures with a PAP with a liability limit of
$100,000. Kathleen is involved in a
multiple-vehicle accident for which she
is at fault. The two victims sue Kathleen.
The defense costs are $37,000, and
the
settlement is $100,000. What is the total
amount Kathleen's policy will pay?
Which of the following situations would Dean is riding his motorcycle when he has an at-fault accident.
be excluded by an unendorsed PAP
based on the "vehicles with less than four The motorcycle is designed for on-road use, but it is excluded because it has
wheels or designated for off-road use" fewer than four wheels. Exceptions to the exclusion apply to liability claims
exclusion? related to medical emergencies, nonowned golf carts, and trailers
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3
