AINS 23 Practice Test Questions
with All Correct Answers
The most widely used financial institution bond (Standard Form 24) is also known as? -
Answer ✔ banker's blanket bond
Policy that covers crime loss exposures associated with financial institutions? - Answer
✔ financial institution bond
Financial Institution Bonds cover... - Answer ✔ employee dishonesty
Theft of Money and Securities (Inside the Premises) covers? - Answer ✔ disappearance
regardless if theft was the cause
For Safe Burglary coverage (Robbery & Safe Burglary Inside the Premises) to apply... -
Answer ✔ marks of forcible entry must be evident on safe or vault
For fire exclusion NOT to apply in regards to the Theft of Money and Securities (Inside
the Premises, the insured must prove ... - Answer ✔ the fire damaged the safe
Under the 'loss sustained' form of the Extended Period to Discover Loss condition of the
ISO CCC form, the coverage applies to acts discovered within ___ year after the policy
is cancelled? - Answer ✔ 1
Under the Consolidation - Merger and Acquisition condition, coverage applies ___ days
but the insured MUST notify the insurer and pay appropriate premium for coverage
beyond that time. - Answer ✔ 90
Equipment and Breakdown Insurance covers ? ? relating to a covered peril? - Answer ✔
business expense and extra income
Under the equipment breakdown Joint or Disputed Loss Agreement condition, each
insurer will pay... - Answer ✔ the entire amount of loss, plus 1/2 of the disputed amount
Is COINS applicable to equipment breakdown property damage coverage? - Answer ✔
no
Jeweler's Block Coverage forms cover the merchandise of retail jewelers. Does it also
cover similar property of others in the insured's custody/care? - Answer ✔ yes
, ___ form covers loss of securities and other negotiable instruments in transit by mail? -
Answer ✔ The Mail Coverage form under the ISA commercial marine coverage forms
____ covers physdam to vessels, their machinery and fuel, but not their cargo? -
Answer ✔ hull insurance
Damage to another ship is covered under? - Answer ✔ collision liability clause
Under the commercial auto policy, the bailee is _________ for damage to a customer's
property - Answer ✔ strictly liable
Under the commercial auto policy, the Transfer of Rights Against Others provision
allows an insurer - Answer ✔ to recover a loss from an at-fault party causing the loss
What is located on the Information Page of the WC and EL Policy? - Answer ✔
endorsements
An insured must notify the insurer ___ days if they begin operations in a state they listed
in 3C that isn't listed in 3A or it won't be covered? - Answer ✔ 30
LHWCA and WC exposures must be rated ___ - Answer ✔ separately
Several states have ___ ____ ____ for workers comp insurance? - Answer ✔
independent rating bureaus
Are autos, airplanes and watercraft covered under the BOP? - Answer ✔ no
The farm program broad cause of loss form covers death of livestock from? - Answer ✔
drowning
Is COINS applicable to Cov F - Unscheduled Farm Personal Property? - Answer ✔ yes
80%
BOP is written on a(n) _____ basis - Answer ✔ occurence
Does Livestock Coverage include or exclude accidental shooting of covered livestock? -
Answer ✔ exclude
When does umbrella SIR apply? - Answer ✔ when there is NO underlying coverage at
all. Umbrella is excess regardless of whether other insurance is collectible or not
collectible. the SIR does not apply when underlying coverage is present.
Are punitive damages covered under professional liability policies? - Answer ✔ no
with All Correct Answers
The most widely used financial institution bond (Standard Form 24) is also known as? -
Answer ✔ banker's blanket bond
Policy that covers crime loss exposures associated with financial institutions? - Answer
✔ financial institution bond
Financial Institution Bonds cover... - Answer ✔ employee dishonesty
Theft of Money and Securities (Inside the Premises) covers? - Answer ✔ disappearance
regardless if theft was the cause
For Safe Burglary coverage (Robbery & Safe Burglary Inside the Premises) to apply... -
Answer ✔ marks of forcible entry must be evident on safe or vault
For fire exclusion NOT to apply in regards to the Theft of Money and Securities (Inside
the Premises, the insured must prove ... - Answer ✔ the fire damaged the safe
Under the 'loss sustained' form of the Extended Period to Discover Loss condition of the
ISO CCC form, the coverage applies to acts discovered within ___ year after the policy
is cancelled? - Answer ✔ 1
Under the Consolidation - Merger and Acquisition condition, coverage applies ___ days
but the insured MUST notify the insurer and pay appropriate premium for coverage
beyond that time. - Answer ✔ 90
Equipment and Breakdown Insurance covers ? ? relating to a covered peril? - Answer ✔
business expense and extra income
Under the equipment breakdown Joint or Disputed Loss Agreement condition, each
insurer will pay... - Answer ✔ the entire amount of loss, plus 1/2 of the disputed amount
Is COINS applicable to equipment breakdown property damage coverage? - Answer ✔
no
Jeweler's Block Coverage forms cover the merchandise of retail jewelers. Does it also
cover similar property of others in the insured's custody/care? - Answer ✔ yes
, ___ form covers loss of securities and other negotiable instruments in transit by mail? -
Answer ✔ The Mail Coverage form under the ISA commercial marine coverage forms
____ covers physdam to vessels, their machinery and fuel, but not their cargo? -
Answer ✔ hull insurance
Damage to another ship is covered under? - Answer ✔ collision liability clause
Under the commercial auto policy, the bailee is _________ for damage to a customer's
property - Answer ✔ strictly liable
Under the commercial auto policy, the Transfer of Rights Against Others provision
allows an insurer - Answer ✔ to recover a loss from an at-fault party causing the loss
What is located on the Information Page of the WC and EL Policy? - Answer ✔
endorsements
An insured must notify the insurer ___ days if they begin operations in a state they listed
in 3C that isn't listed in 3A or it won't be covered? - Answer ✔ 30
LHWCA and WC exposures must be rated ___ - Answer ✔ separately
Several states have ___ ____ ____ for workers comp insurance? - Answer ✔
independent rating bureaus
Are autos, airplanes and watercraft covered under the BOP? - Answer ✔ no
The farm program broad cause of loss form covers death of livestock from? - Answer ✔
drowning
Is COINS applicable to Cov F - Unscheduled Farm Personal Property? - Answer ✔ yes
80%
BOP is written on a(n) _____ basis - Answer ✔ occurence
Does Livestock Coverage include or exclude accidental shooting of covered livestock? -
Answer ✔ exclude
When does umbrella SIR apply? - Answer ✔ when there is NO underlying coverage at
all. Umbrella is excess regardless of whether other insurance is collectible or not
collectible. the SIR does not apply when underlying coverage is present.
Are punitive damages covered under professional liability policies? - Answer ✔ no
