1. In dwelling policies, automatic increase in insurance is
(Choose from the following options)
1. Coverage for newly acquired property.
2. Coverage by endorsement.
3. Automatic coverage.
4. Coverage without additional premium. - CORRECT ANSWER 2. Coverage by
endorsement.
2. Personal busine...
Exam FX Stimulation Exam | 93
Questions with 100% Correct Answers
|GRADED
1. In dwelling policies, automatic increase in insurance is
(Choose from the following options)
1. Coverage for newly acquired property.
2. Coverage by endorsement.
3. Automatic coverage.
4. Coverage without additional premium. - CORRECT ANSWER 2. Coverage by
endorsement.
2. Personal business property out in the open is covered under Commercial Property
Policy only while
(Choose from the following options)
1. Within 150 feet of the described premises.
2. Within 100 feet of the described premises.
3. Located on the described premises.
4. Specifically described on the declarations. - CORRECT ANSWER 2. Within 100
feet of the described premises.
3. Under a Commercial Crime Coverage Part, following a covered loss, the insured must
submit a written proof of loss within
(Choose from the following options)
1. 60 days.
2. 90 days.
3. 120 days.
4. One year. - CORRECT ANSWER 3. 120 days.
,4. Which of the following provisions requires an insurer to document all correspondence
with an insured?
(Choose from the following options)
1. Claims settlement
2. Entire contract
3. Errors and omissions
4. Unfair trade practices - CORRECT ANSWER 3. Errors and omissions
5. Which statement is true regarding Workers Compensation law in California?
(Choose from the following options)
1. Injured workers may sue an employer for negligence only when fault is clearly
established against the employer.
2. Injured workers may always sue an employer for negligence regardless of the degree
of fault against the employer.
3. Injured workers cannot sue an employer for negligence.
4. Injured workers may sue an employer for negligence when any degree of fault is
established - CORRECT ANSWER 3. Injured workers cannot sue an employer for
negligence.
6. In order to determine whether to test a life insurance applicant for HIV or AIDS, the
insurer may do which of the following: I. Base its decision to test on the incidence of
AIDS in the person's ZIP code; II. Test only persons who are single and under age 30;
III. Establish minimum uniform standards for testing all applicants for insurance; or IV.
Not test anyone for HIV or AIDS, because it is discriminatory.
(Choose from the following options)
1. III only.
2. I and II.
3. IV only.
4. I, - CORRECT ANSWER 1. III only.
,7. A provision found in most claims-made liability policy forms that provide a specified
period of time following the policy expiration, during which claims arising out of
occurrences during the policy period may be made against the policy at no extra cost, is
called
(Choose from the following options)
1. Extension of coverage.
2. Supplemental extended reporting period.
3. Grace period.
4. Basic extended reporting period. - CORRECT ANSWER 4. Basic extended
reporting period.
8. The personal injury liability endorsement to an HO policy applies to all the following
EXCEPT
(Choose from the following options)
1. False arrest.
2. A third party breaks a leg when the insured knocks him down.
3. Slander.
4. Invasion of privacy. - CORRECT ANSWER 2. A third party breaks a leg when the
insured knocks him down.
9. What license allows an agent to transact only automobile, personal watercraft,
residential property, earthquake, flood, inland marine and umbrella insurance?
(Choose from the following options)
1. Limited Lines
2. Applicable Lines
3. Personal Lines
4. Fire and Casualty - CORRECT ANSWER 3. Personal Lines
, 10. Norm has a Personal Auto Policy with both comprehensive (other than collision) and
collision coverage. His car is stolen and recovered five days later. If Norm claims
transportation expenses of $20 per day, how much will his policy pay?
(Choose from the following options)
1. $60
2. $75
3. $100
4. $45 - CORRECT ANSWER 1. $60
11. The Standard Fire Policy would provide coverage in which of these cases?
(Choose from the following options)
1. Insured's neglect
2. Fire
3. Acts of war
4. Theft - CORRECT ANSWER 2. Fire
12. The major portion of the premium for a boiler and machinery policy pays
(Choose from the following options)
1. Repair to prevent.
2. Coverage for BI & PD of others.
3. For replacement parts.
4. For inspections and examinations. - CORRECT ANSWER 4. For inspections and
examinations.
13. Which of the following homeowners forms is designed for individuals that own and
reside in a condominium?
(Choose from the following options)
1. HO-6
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Smartprof. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $17.99. You're not tied to anything after your purchase.
