CIC COMMERCIAL MULTILINE TESTS EXAM
2026 FINAL PAPER QUESTIONS AND
SOLUTIONS GRADED A+
◉ Group 2 exclusions- builders risk. Answer: -contamination or
deterioration (resultant damage covered if by covered peril)
-Criminal, Fraudulent, Dishonest, Or Illegal Acts
-Defects, Errors, And Omissions (if these result in a covered peril,
then resulted damage is paid)
-Delay In Completion And Increased Construction Costs
-Electrical Currents
-Loss Of Use And Consequential Loss
-Mechanical Breakdown (if results in specified peril, damage is
covered)
,-Missing Property
-Pollutants (unless pollutants released caused by specified peril
-Steam Boiler Explosion (except if causes damage by fire)
-Temperature/Humidity
-Voluntary Parting
-Wear And Tear
-Equipment Breakdown and Testing Issues (electrical current,
mechanical breakdown, steam boiler explosion)
◉ Equipment Breakdown And Testing Coverage (IM 7083 08 10).
Answer: -accident must involve mechanical breakdown, artificially
generated current, steam equipment, or water heating equipment)
-provides coverage for loss to covered property caused by an
accident to covered equipment
,◉ Testing Endorsement (IM 7076 01 12). Answer: -begins by adding
an additional testing exclusion
-adds back testing coverage with a specific limit of insurance
◉ When Coverage Ends (Builders Risk). Answer: 1) occupancy and
use, occupied in whole or in part and/or its put to its intended use
ADD PERMISSION TO OCCUPY
2) This policy expires or is cancelled.
3) The covered building or structure is accepted by the purchaser.
4) The insured's insurable interest in the covered property ceases
5)The insured abandons construction with no intent to complete it.
6)Covered buildings or structures have been completed for more
than 90 days. Exposures to completed buildings are different than
those for builders risk.
, ◉ Time Element Coverages Builders Risk. Answer: DELAY IN
COMPLETION SCHEDULE
-can add Rental Income and Income Coverages if project is delayed
due to covered loss
-30 day limit
-can include Additional Construction Expenses (advertising, design
fees, financing, permit fees, professional fees)
-can include Additional Soft C osts (interest payments, insurance
premiums, lease expenses)
-general administration expenses and overhead expenses coverage
(additional clerical personal, security costs)
-can buy sewer back up
-coverage extensions (ordinance or law)
◉ Purpose of the Installation Floater. Answer: -covers materials and
equipment to be installed in an existing building or structure
2026 FINAL PAPER QUESTIONS AND
SOLUTIONS GRADED A+
◉ Group 2 exclusions- builders risk. Answer: -contamination or
deterioration (resultant damage covered if by covered peril)
-Criminal, Fraudulent, Dishonest, Or Illegal Acts
-Defects, Errors, And Omissions (if these result in a covered peril,
then resulted damage is paid)
-Delay In Completion And Increased Construction Costs
-Electrical Currents
-Loss Of Use And Consequential Loss
-Mechanical Breakdown (if results in specified peril, damage is
covered)
,-Missing Property
-Pollutants (unless pollutants released caused by specified peril
-Steam Boiler Explosion (except if causes damage by fire)
-Temperature/Humidity
-Voluntary Parting
-Wear And Tear
-Equipment Breakdown and Testing Issues (electrical current,
mechanical breakdown, steam boiler explosion)
◉ Equipment Breakdown And Testing Coverage (IM 7083 08 10).
Answer: -accident must involve mechanical breakdown, artificially
generated current, steam equipment, or water heating equipment)
-provides coverage for loss to covered property caused by an
accident to covered equipment
,◉ Testing Endorsement (IM 7076 01 12). Answer: -begins by adding
an additional testing exclusion
-adds back testing coverage with a specific limit of insurance
◉ When Coverage Ends (Builders Risk). Answer: 1) occupancy and
use, occupied in whole or in part and/or its put to its intended use
ADD PERMISSION TO OCCUPY
2) This policy expires or is cancelled.
3) The covered building or structure is accepted by the purchaser.
4) The insured's insurable interest in the covered property ceases
5)The insured abandons construction with no intent to complete it.
6)Covered buildings or structures have been completed for more
than 90 days. Exposures to completed buildings are different than
those for builders risk.
, ◉ Time Element Coverages Builders Risk. Answer: DELAY IN
COMPLETION SCHEDULE
-can add Rental Income and Income Coverages if project is delayed
due to covered loss
-30 day limit
-can include Additional Construction Expenses (advertising, design
fees, financing, permit fees, professional fees)
-can include Additional Soft C osts (interest payments, insurance
premiums, lease expenses)
-general administration expenses and overhead expenses coverage
(additional clerical personal, security costs)
-can buy sewer back up
-coverage extensions (ordinance or law)
◉ Purpose of the Installation Floater. Answer: -covers materials and
equipment to be installed in an existing building or structure
