CIC COMMERCIAL CASUALTY EXAM 2024
1.1) If you are designated in the declarations as an individual, who else is an
insured? - ANSWER You AND your spouse, but only with respect to the business
1.1) If you are designated in the declarations as a partnership or joint venture , who
else is an insured? - ANSWER You are an insured, your members, partners, and
their spouses are also insureds, but only with respect to the business
1.1) If you are designated in the declarations as an LLC, who else is an insured? -
ANSWER You, your members, but only in respect to the business. Your managers
are insureds, but only in respect to their duties as managers
1.1) If you are designated in the declarations as an organization other than
partnership, joint venture, or LLC, who else is an insured? - ANSWER You, your
officers, and directors, but only with respect to the business Stockholders are also
insureds, but only in respect to their duties as stockholders
1.1) If you are designated in the declarations as a trust, who else is an insured? -
ANSWER You and your trustees but only in respect to the business
1.1) Aside from owners, officers, or managers, who else is automatically insureds as
well? - ANSWER Volunteer Workers (while preforming duties related to the conduct
of the business) and Employees (only in the scope of their employment) Real Estate
Managers
1.1) Volunteer Workers and Employees are automatically insureds. Which type(s) of
employees are NOT automatic insureds? - ANSWER Temporary or leased workers.
They are excluded
1.1) Employees and volunteer workers are not considered automatic insureds when
they cause... - ANSWER - BI/PD to a named insured
- Injury to the family of a coworker
- BI/AI when providing professional health care services
- Property damage owned by, or in the CCC of a named insured
1.1) Newly acquired organizations are automatic insureds for what period of time? -
ANSWER 90 days, excludes claims that occurred prior to acquisition of new
organization.
1.2) What are the two promises found in paragraph 'a.' of the insuring agreement? -
ANSWER Indemnity and Defense. (Pays sum the insured becomes legally obligated
to pay as damages because of BI/PD and the defense costs)
1.2) Define BI and PD - ANSWER - BI: sickness or disease, injury, or death
- PD: Physical injury or loss of use to tangible property
, 1.2) Where must the 'occurrence' take place for coverage to be active? - ANSWER
The coverage territory
1.2) What is the coverage territory? - ANSWER US, it's territories and possessions,
Puerto Rico and Canada
1.2) is international airspace part of the coverage territory? - ANSWER Yes, but only
when flying between locations in the coverage territory
1.2) Under what circumstances is the coverage territory worldwide? - ANSWER -
Product is made or sold in territory described in coverage territory
- Temporary business travel
- Personal or advertising injury occurs on the web
- SUIT MUST BE BROUGHT IN THE US
1.2) Is previously known injury or damage a covered loss? - ANSWER No.
1.3) Does coverage A apply to expected or intended injury? - ANSWER No.
Expected or intended injury is an exclusion from Coverage A
1.3) What is Contractual Liability? - ANSWER Arises from one party assuming
responsibility of another party (Tenant - Landlord, Sub - GC, Lessee - Lessor)
1.3) What is considered an 'Insured Contract'? (LEASEPlus) - ANSWER - Lease of
Premises
- Easement or license agreement (unless within 50 feet of a railroad)
- An obligation to indemnify a municipality or required by ordinance except when
working for a municipality)
- Sidetrack Agreement
- Elevator maintenance agreement
- Plus any other contract which the named insured assumes tort liability of another
party to pay BI/PD to a third party
1.3) What is NOT considered an 'Insured Contract' (Three things) - ANSWER - A
railroad indemnity agreement
- Architect, engineer, or surveyor indemnity agreement
- Professional Liability for any of the above things
1.3) Is liquor liability excluded from Coverage A? - ANSWER Yes, however host
liquor coverage is provided if the named insured is not in the business of producing,
selling or distributing liquor/alcohol
1.3) Does Coverage A apply to Workers Comp Laws? - ANSWER No. Excluded
1.3) Is Employers Liability a provided coverage under Coverage A? - ANSWER No.
Excluded
1.3) Pollution is excluded from Coverage A, however there are three exceptions.
What are they? - ANSWER - BI if sustained within a building and caused by smoke,
1.1) If you are designated in the declarations as an individual, who else is an
insured? - ANSWER You AND your spouse, but only with respect to the business
1.1) If you are designated in the declarations as a partnership or joint venture , who
else is an insured? - ANSWER You are an insured, your members, partners, and
their spouses are also insureds, but only with respect to the business
1.1) If you are designated in the declarations as an LLC, who else is an insured? -
ANSWER You, your members, but only in respect to the business. Your managers
are insureds, but only in respect to their duties as managers
1.1) If you are designated in the declarations as an organization other than
partnership, joint venture, or LLC, who else is an insured? - ANSWER You, your
officers, and directors, but only with respect to the business Stockholders are also
insureds, but only in respect to their duties as stockholders
1.1) If you are designated in the declarations as a trust, who else is an insured? -
ANSWER You and your trustees but only in respect to the business
1.1) Aside from owners, officers, or managers, who else is automatically insureds as
well? - ANSWER Volunteer Workers (while preforming duties related to the conduct
of the business) and Employees (only in the scope of their employment) Real Estate
Managers
1.1) Volunteer Workers and Employees are automatically insureds. Which type(s) of
employees are NOT automatic insureds? - ANSWER Temporary or leased workers.
They are excluded
1.1) Employees and volunteer workers are not considered automatic insureds when
they cause... - ANSWER - BI/PD to a named insured
- Injury to the family of a coworker
- BI/AI when providing professional health care services
- Property damage owned by, or in the CCC of a named insured
1.1) Newly acquired organizations are automatic insureds for what period of time? -
ANSWER 90 days, excludes claims that occurred prior to acquisition of new
organization.
1.2) What are the two promises found in paragraph 'a.' of the insuring agreement? -
ANSWER Indemnity and Defense. (Pays sum the insured becomes legally obligated
to pay as damages because of BI/PD and the defense costs)
1.2) Define BI and PD - ANSWER - BI: sickness or disease, injury, or death
- PD: Physical injury or loss of use to tangible property
, 1.2) Where must the 'occurrence' take place for coverage to be active? - ANSWER
The coverage territory
1.2) What is the coverage territory? - ANSWER US, it's territories and possessions,
Puerto Rico and Canada
1.2) is international airspace part of the coverage territory? - ANSWER Yes, but only
when flying between locations in the coverage territory
1.2) Under what circumstances is the coverage territory worldwide? - ANSWER -
Product is made or sold in territory described in coverage territory
- Temporary business travel
- Personal or advertising injury occurs on the web
- SUIT MUST BE BROUGHT IN THE US
1.2) Is previously known injury or damage a covered loss? - ANSWER No.
1.3) Does coverage A apply to expected or intended injury? - ANSWER No.
Expected or intended injury is an exclusion from Coverage A
1.3) What is Contractual Liability? - ANSWER Arises from one party assuming
responsibility of another party (Tenant - Landlord, Sub - GC, Lessee - Lessor)
1.3) What is considered an 'Insured Contract'? (LEASEPlus) - ANSWER - Lease of
Premises
- Easement or license agreement (unless within 50 feet of a railroad)
- An obligation to indemnify a municipality or required by ordinance except when
working for a municipality)
- Sidetrack Agreement
- Elevator maintenance agreement
- Plus any other contract which the named insured assumes tort liability of another
party to pay BI/PD to a third party
1.3) What is NOT considered an 'Insured Contract' (Three things) - ANSWER - A
railroad indemnity agreement
- Architect, engineer, or surveyor indemnity agreement
- Professional Liability for any of the above things
1.3) Is liquor liability excluded from Coverage A? - ANSWER Yes, however host
liquor coverage is provided if the named insured is not in the business of producing,
selling or distributing liquor/alcohol
1.3) Does Coverage A apply to Workers Comp Laws? - ANSWER No. Excluded
1.3) Is Employers Liability a provided coverage under Coverage A? - ANSWER No.
Excluded
1.3) Pollution is excluded from Coverage A, however there are three exceptions.
What are they? - ANSWER - BI if sustained within a building and caused by smoke,
