The members of a limited The limited liability company is designated as the named
liability company are insured.
insureds under a
businessowners policy
(BOP) if
An endorsement added to Utility Services - Direct Damage.
a businessowners policy
that provides coverage for
direct damage caused by
utility service disruption
stemming from a covered
peril is called
Which of the following Providing specific details regarding an occurrence
would be the insured's duty
in the event of a loss
according to the duties in
event of occurrence, claim,
or suit condition?
Which common policy Transfer of rights and duties under the policy
condition prohibits the
insured from changing the
rights or duties as defined
under the policy to any
other person or entity
without the written consent
of the insurance company?
,A company has a The coinsurance formula would apply
businessowners policy on a
building with an estimated
replacement cost of
$300,000. The company
carries $150,000 of
insurance. If a loss occurs,
how much will the insured
company be paid?
The businessowners policy 1 year
liability coverage will pay
for necessary medical
expenses of others incurred
within what maximum time
period?
The most the insurer will The limit of insurance after the deductible is paid.
pay for a loss under a
businessowners policy is
Which of the following is Valuable papers and records
NOT settled on an actual
cash value basis while
covered under the business
property coverage form?
Which endorsement adds Hired and nonowned auto liability
coverage for employee use
of automobiles in the
insured's business and the
insured's use of rented
autos if no coverage is
provided on a business auto
policy?
,Which of the following is an Automatic sprinkler system
example of a protective
safeguard in a
businessowners policy?
A BOP (businessowners Homeowners.
policy) is most similar to
Jean owns a craft store. The 48 hours
protective safeguards
endorsement of her BOP
requires the store to have a
functional automatic
sprinkler system. A winter
storm freezes the pipes to
the sprinkler system,
causing the system to shut
down. How many hours
does Jean have to restore
the system before she must
notify her insurer?
Frank's Steaks furnishes Utility service - direct damage
meat to steakhouses. An
accident on the premises
causes the building to lose
refrigeration for 32 hours.
The state inspectors will not
allow the meat in the
refrigerating units to be
sold for human
consumption, and Frank
loses $18,500 in disposing
of the meat. What coverage
under Frank's BOP policy
will cover the loss?
, Which of the following is A 6-story office building with less than 100,000 square
eligible for a feet total area
businessowners policy?
In business income 72 hours.
additional coverage in a
businessowners policy
(BOP), the waiting period
that must occur before the
period of restoration may
begin is
Under the additional 30 days.
coverages of a
businessowners policy,
property removed to
protect it from loss will be
covered at another location
for up to
All of the following It provides coverage for all employees, even those
statements are true employees who were terminated in the past 90 days.
regarding employee
dishonesty optional
coverage under the
businessowners policy
(BOP) EXCEPT
Under a businessowners The insurer does not have the right to inspect the
policy, the inspections and insured's property and operations.
surveys condition specifies
all of the following EXCEPT
When is a hired and Only if the insured does not have commercial auto
nonowned auto liability coverage
endorsement available in a
businessowners policy
(BOP)?
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