PSI Practice Questions Property Exam With Correct Solutions 2025

PSI Practice Questions Property Exam
With Correct Solutions 2025




An insured operates a auto repair shop and has a garage coverage form with garagekeepers insurance when
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an employee on a test drive with a customer's car is involved in a crash. How will the customer's car be covered
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by the insured's policy?CORRECT ANSWERS✔✔The customer's car is covered for any physical damage while
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in the custody of the insured.
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Liability arising out of any of the following is excluded from the personal and advertising injury liability
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coverage EXCEPTCORRECT ANSWERS✔✔unknowingly inflicting injury that violates the rights of another.
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A bank customer's identity was compromised and the thieves made numerous purchases from a retailer by
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signing the customer's checks. When the bank refused to make payment for the goods, the retailer brought
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suit against the bank. Which coverage indemnified the bank for liability in the suit?CORRECT ANSWERS✔✔
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forgery and alteration j j




Workers' compensation coverage is rated on the basis of which of the following?CORRECT ANSWERS✔✔
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employer's payroll j




Which of the following is the party who agrees to be responsible for loss in the case of a fidelity bond?CORRECT
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ANSWERS✔✔the surety
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The insured carries underinsured motorists coverage limits of 250/500/250 on his automobile policy and his
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vehicle is struck by an at fault motorist who insures with the State minimum for liability of 20/40/10. If the
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, insured brings suit for bodily injury damages to himself of $500,000, how much will he recover from at fault
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driver's policy?CORRECT ANSWERS✔✔$20k
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Under the commercial general liability which one of the following is covered under supplementary
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payments?CORRECT ANSWERS✔✔cost of bail bonds
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When the insured's child spills red juice on the carpet of insured's covered automobile, which of the following
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coverages will apply?CORRECT ANSWERS✔✔comprehensive
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Which of the following best describes the commercial general liability?s general aggregate annual limit as it
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applies to the coverage parts of the CGL?CORRECT ANSWERS✔✔Coverage A, B, and C apply in sum and are
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the most that will be paid subject to the general aggregate annual limit.
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Under liability coverage which of the following will trigger coverage for property damage?CORRECT
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ANSWERS✔✔unintended damage to tangible property of others
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All of the following are exclusions are found under the personal auto policy Part A liability coverage,
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EXCEPTCORRECT ANSWERS✔✔bodily Injury to an insured's nonresident family member or relative.
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All of the following specify limits of insurance for the commercial general liability EXCEPTCORRECT ANSWERS
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✔✔legal defense. j




All of the following activities would warrant the imposition of absolute liability EXCEPTCORRECT ANSWERS✔
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✔risky transportation. j




Which of the following is TRUE when the insured's limits of insurance apply per occurrence?CORRECT
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ANSWERS✔✔Coverage is triggered for smoke damage to siding caused by repeated acts by insured's
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neighbor.
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