CIC COMMERCIAL CASUALTY EXAM 2024 ACTUAL
EXAM COMPLETE 350 QUESTIONS WITH DEAILED
VERIFIED ANSWERS (100% CORRECT ANSWERS)
/ALREADY GRADED A+
1.1) If you are designated in the declarations as an individual, who else is an insured? -
ANSWERYou 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? - ANSWERYou 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? -
ANSWERYou, 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? - ANSWERYou, 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? -
ANSWERYou 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? - ANSWERVolunteer 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? - ANSWERTemporary 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? -
ANSWER90 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? -
ANSWERIndemnity 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? - ANSWERThe
coverage territory
1.2) What is the coverage territory? - ANSWERUS, it's territories and possessions,
Puerto Rico and Canada
1.2) is international airspace part of the coverage territory? - ANSWERYes, 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? - ANSWERNo.
1.3) Does coverage A apply to expected or intended injury? - ANSWERNo. Expected or
intended injury is an exclusion from Coverage A
1.3) What is Contractual Liability? - ANSWERArises 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? - ANSWERYes, 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? - ANSWERNo. Excluded
1.3) Is Employers Liability a provided coverage under Coverage A? - ANSWERNo.
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, fumes,
vapor or soot originating from a equipment used to heat, cool, or dehumidify the
building, or heat/cool water.
- If you are a contractor and the owner of the site/location has been added as an
additional insured with respect tothe contractors ongoing operations
- BI/PD resulting from heat, smoke or fumes from a hostile fire
1.3) If pollutants are brought to the site, and contractors are using them, then pollution is
excluded. If pollutants were already on site and not being used, but a contractor spilled
them, it would be covered. - ANSWERTrue. Idk. Needed to remember that.
1.3) Exclusions to Coverage A, that would be covered on other policy types are... -
ANSWER- Workers Compensation related claims
- Aircraft, Auto, and Watercraft
- Mobile Equipment (unless while in use for liability)
- Property (owned by named insured)
1.3.) Other exclusions to Coverage A... - ANSWERTypical exclusions, War, Pollution,
'Your Work' (Can be endorsed back), Liquor, Employers Liability,
aircraft/auto/watercraft, etc.
1.4) What is Personal and Advertising Injury? - ANSWER- False Arrest
- Malicious Persecution
- Wrongful Eviction
- Libel/Slander
- Advertising theft of ideas
- Copyright Infringement IN AN ADVERSTISMENT
1.4) What are the two promises in the Coverage B Insuring Agreement and when do
they end? - ANSWERIndemnity and Defense, and the duty to defend ends when the
limit of insurance is used to the maximum
, 1.4) Typical Exclusions to Coverage B... - ANSWER- Pollution
- War
- Criminal Acts
1.4) Unique exclusions to Coverage B... - ANSWER- Knowingly violating rights of
another
- Material published with knowledge of falsity
- Material Published prior to policy period
- Wrong Description of Prices
- Copyright Infringement
- Insureds in Media type businesses (except false arrest, malicious prosecution, and
wrongful eviction)
- Disclosure of confidential or personal information
1.5) Coverage C - Medical Payments, offers what two insuring promises? - ANSWER-
Promise to pay for medical expenses caused by an accident
- Payment made regardless of fault
1.5) Where/why would the injury have to occur for Coverage C to make medical
payments? - ANSWER- Accident occurred on premesis named insured owns/rents
- On ways next to premises the named insured owns/rents
- Or because of the named insureds operations
- Medical payments must be reasonable and within the limit of insurance
1.5) Examples of reasonable medical expenses Coverage C would pay for... -
ANSWER- First Aid administered at the time of accident
- Necessary medical, surgical, x-ray, and dental services
- Necessary ambulance, hospital, professional nursing and funeral services
1.5) Coverage C will not pay medical payments for... - ANSWER- Named Insured
- Hired person
- Injury on a normally occupied premises (has to be a one-off)
- Workers Comp related injuries
- Athletics Activites
- Products/Completed Ops claims
- Coverage A exclusions apply
1.6)Do Supplementary payments reduce the limit of insurance? - ANSWERNo.
1.6) Supplementary payments made by insurance company may include...(major ones)
- ANSWER- Expenses they incur
- Up to $250 for bail bonds
- Loss of earnings up to $250 per day for people that need to assist investigation
- Court taxes
