KY Property & Casualty Insurance Exam (2025) Exam Actual Exam ( Version) |
Complete Questions and Correct Answers with Detailed Explanations| Verified
Answers
Terms in this set (43)
Faulty wiring in a home is an Hazard
example of a:
a) loss
b) peril
c) risk
d) hazard
When a person buys Transfer
insurance what method of
handling risk has been
undertaken?
a) transfer
b) reduction
c) avoidance
d) retention
In property and casualty At the time of loss
insurance, insurable interest
must exist:
a) at the time a change is made to
a policy
b) at the time of policy
application
c) at the time of loss
d) at the time of policy
solicitation
, All of the following actions Investing in the stock market
by a person could be
described as a risk
avoidance EXCEPT:
a) investing in the stock market
b) refusing to scuba dive
c) never flying in an airplane
d) taking a flu shot each year
Which of the following Reciprocal
insurance options would be
considered a risk-sharing
arrangement ?
a) stock
b) mutual
c) surplus lines
d) reciprocal
Illegal use of narcotics Moral hazard
would be an example of:
a) pure hazard
b) morale hazard
c) moral hazard
d) physical hazard
What do individuals use to Insurance
transfer their risk of loss to a
larger group?
a) insurable interest
b) exposure
c) indemnity
d) insurance
For the reported losses of an Larger
insured group to become
more likely to equal the
statistical probability of loss for
that
particular class, the insured
group must become:
a) more active
Complete Questions and Correct Answers with Detailed Explanations| Verified
Answers
Terms in this set (43)
Faulty wiring in a home is an Hazard
example of a:
a) loss
b) peril
c) risk
d) hazard
When a person buys Transfer
insurance what method of
handling risk has been
undertaken?
a) transfer
b) reduction
c) avoidance
d) retention
In property and casualty At the time of loss
insurance, insurable interest
must exist:
a) at the time a change is made to
a policy
b) at the time of policy
application
c) at the time of loss
d) at the time of policy
solicitation
, All of the following actions Investing in the stock market
by a person could be
described as a risk
avoidance EXCEPT:
a) investing in the stock market
b) refusing to scuba dive
c) never flying in an airplane
d) taking a flu shot each year
Which of the following Reciprocal
insurance options would be
considered a risk-sharing
arrangement ?
a) stock
b) mutual
c) surplus lines
d) reciprocal
Illegal use of narcotics Moral hazard
would be an example of:
a) pure hazard
b) morale hazard
c) moral hazard
d) physical hazard
What do individuals use to Insurance
transfer their risk of loss to a
larger group?
a) insurable interest
b) exposure
c) indemnity
d) insurance
For the reported losses of an Larger
insured group to become
more likely to equal the
statistical probability of loss for
that
particular class, the insured
group must become:
a) more active
