Oklahoma Property and Casualty Exam Questions & Answers | 100%
Verified solutions |Questions with Correct Answers 2025 latest update!!
Terms in this set (110)
Representations Statements made by the applicant on an insurance application.
Contract of Utmost Good Faith An insurer must rely o the truthfulness and integrity of the applicant.
Contract of Adhesion When one party constructs the contract and the other party has no input.
1. Legal Purpose
2. Agreement (Offer and Acceptance)
Elements of a Legally Binding
3.Competent Parties
Contract
4. Consideration
Type of policy that insures against open perils of loss that are not
Special Peril
specifically excluded.
Example of Consequential or Indirect Loss of income from a rental unit due to tornado damage to the roof.
Loss
Class 1 - Frame Exterior walls, floors and roof are constructed with wood.
Exterior walls constructed with masonry such as brick or rock.
Class 2 - Joisted Masonry
Floors and roof are constructed with wood.
Exterior walls, floors and roof are constructed with non-
Class 3 - Noncombustible
combustible materials such as metal or asbestos.
Exterior walls are constructed with masonry such as brick or rock.
Class 4 - Masonry Noncombustible
Floors and roof are constructed with metal or other non-
combustible material.
Exterior walls, floor and roof are constructed with fire resistive
Class 5 - Modified Fire Resistive
materials with a fire resistive rating of less than 2 hours.
Exterior walls, floor and roof are constructed with fire resistive
Class 6 - Fire Resistive
materials with a fire resistive rating of 2 hours or more.
A type of policy limit that does not restore the limits of liability after
Aggregate Limit
each occurrence.
A policy provision which requires the insured to carry an adequate amount of
Coinsurance insurance. Penalty applies when property is insured for an amount
under the market value of the dwelling.
1. Declarations
2.Insuring Agreement
Mandatory Parts of a Policy
3.Conditions
4. Exclusions
1. Endorsements
Non-mandatory Parts of a Policy
2.Definitions
, Endorsements Add, delete or modify the insurance contract.
Definitions Defines terms for a specific contract.
Declarations Who, what, when, where and how much.
Insuring Agreement Provides the major coverages (two to four per policy).
Policy territory, appraisal cause, arbitration, insured's duties in the
event of a loss, cancellation or non-renewal, other insurance,
Conditions
subrogation, standard mortgage
clause, assignment, right of salvage, abandonment, loss settlement,
liberalization, loss payment and property coinsurance.
Omit risks which are not insurable, eliminate risks duplicated by
Exclusions
another policy, eliminate risks for high risk exposures.
Limit of Liability The maximum amount the policy will pay in the event of a covered loss.
The insured turns the damaged property over to the insurer after
Right of Salvage
payment is made for the damaged goods.
Verified solutions |Questions with Correct Answers 2025 latest update!!
Terms in this set (110)
Representations Statements made by the applicant on an insurance application.
Contract of Utmost Good Faith An insurer must rely o the truthfulness and integrity of the applicant.
Contract of Adhesion When one party constructs the contract and the other party has no input.
1. Legal Purpose
2. Agreement (Offer and Acceptance)
Elements of a Legally Binding
3.Competent Parties
Contract
4. Consideration
Type of policy that insures against open perils of loss that are not
Special Peril
specifically excluded.
Example of Consequential or Indirect Loss of income from a rental unit due to tornado damage to the roof.
Loss
Class 1 - Frame Exterior walls, floors and roof are constructed with wood.
Exterior walls constructed with masonry such as brick or rock.
Class 2 - Joisted Masonry
Floors and roof are constructed with wood.
Exterior walls, floors and roof are constructed with non-
Class 3 - Noncombustible
combustible materials such as metal or asbestos.
Exterior walls are constructed with masonry such as brick or rock.
Class 4 - Masonry Noncombustible
Floors and roof are constructed with metal or other non-
combustible material.
Exterior walls, floor and roof are constructed with fire resistive
Class 5 - Modified Fire Resistive
materials with a fire resistive rating of less than 2 hours.
Exterior walls, floor and roof are constructed with fire resistive
Class 6 - Fire Resistive
materials with a fire resistive rating of 2 hours or more.
A type of policy limit that does not restore the limits of liability after
Aggregate Limit
each occurrence.
A policy provision which requires the insured to carry an adequate amount of
Coinsurance insurance. Penalty applies when property is insured for an amount
under the market value of the dwelling.
1. Declarations
2.Insuring Agreement
Mandatory Parts of a Policy
3.Conditions
4. Exclusions
1. Endorsements
Non-mandatory Parts of a Policy
2.Definitions
, Endorsements Add, delete or modify the insurance contract.
Definitions Defines terms for a specific contract.
Declarations Who, what, when, where and how much.
Insuring Agreement Provides the major coverages (two to four per policy).
Policy territory, appraisal cause, arbitration, insured's duties in the
event of a loss, cancellation or non-renewal, other insurance,
Conditions
subrogation, standard mortgage
clause, assignment, right of salvage, abandonment, loss settlement,
liberalization, loss payment and property coinsurance.
Omit risks which are not insurable, eliminate risks duplicated by
Exclusions
another policy, eliminate risks for high risk exposures.
Limit of Liability The maximum amount the policy will pay in the event of a covered loss.
The insured turns the damaged property over to the insurer after
Right of Salvage
payment is made for the damaged goods.
