TEXAS PROPERTY & CASUALTY
LICENSE EXAM WITH ALL NEEDED TO
PASS
Property gvs gCasualty: gWhat gis gconsidered gproperty? g- gcorrect ganswers g-
Structure g& gPersonal gProperty
Property gvs gCasualty: gWhat gis gconsidered gcasualty? g- gcorrect ganswers g-Non-
property glosses. gLegal gliability gto gothers. g3rd gParty
Risk g- gcorrect ganswers g-uncertainty gof gfinancial gloss
Pure gRisk g- gcorrect ganswers g-Chance gof gLoss
Speculative gRisk g- gcorrect ganswers g-Chance gof gLoss gor gGain g(Gamble)
, Insurance g(covers gwhich gtype gof grisk?) g- gcorrect ganswers g-Pure gRisk gOnly
How gdoes gthe glaw gof glarge gnumbers gapply gin ginsurance? g- gcorrect ganswers
g-Actuaries guse gthe glaw gof glarge gnumbers gto gestimate gclaims
What gis gthe glaw gof glarge gnumbers? g- gcorrect ganswers g-as gthe gnumber gof ga
gsimilar gloss gexposure gincreases, gthe gmore gaccurate gclaims gcan gbe gpredicted
gfrom gthe ggroup.
What gis ga gperil? g- gcorrect ganswers g-cause gof gloss
What gis ga ghazard? g- gcorrect ganswers g-things gthat gincrease gthe gchance gof ga
gperil ghappening
Three gtypes gof ghazards g- gcorrect ganswers g-Physical: gvisible gcharacteristic
g(dead gtree)
Moral: gDishonest gtendencies
Morale: gAttitude gof gcarelessness
Proximate gCause g- gcorrect ganswers g-First gcause gin gan gunbroken gchain gof
gevents
Elements gof ga glegal gcontract g(CALC) g- gcorrect ganswers g-C g- gCompetent
gparties g(18/Right gframe gof gmind)
A g- gAgreement g(Both gparties gagree)
L g- gLegal gPurpose g(The grisk gis gLEGAL)
C g- gConsideration g(It ghas gto gbe gfair)
What gis grepresentation? g- gcorrect ganswers g-Information gbelieved gto gbe gtrue.
What gis gmisrepresentation? g- gcorrect ganswers g-Information gthat gis gnot gtrue.
gFalse ginformation.
What gis gmaterial gmisrepresentation? g- gcorrect ganswers g-Information gthat gis
gnot gtrue gbut gwould ghave gcaused gthe ginsurer gnot gto gissue gthe gpolicy. g(4
gprev gspd gtix)
What gis gfraud? g- gcorrect ganswers g-An gall gout geffort gby gone gparty gto
gdeceive gand gcheat gthe gother.
What gis gwarranty? g- gcorrect ganswers g-Guarantee gthat gan ginsured gwill gor gwill
gnot gdo gsomething
What gare gthe gfour gmajor gparts gto gan ginsurance gpolicy gstructure? g(DICE) g-
gcorrect ganswers g-D g- gDeclarations gPage g(First gPage)
I g- gInsuring gAgreement g(Insurers gpromise gto gpay)
LICENSE EXAM WITH ALL NEEDED TO
PASS
Property gvs gCasualty: gWhat gis gconsidered gproperty? g- gcorrect ganswers g-
Structure g& gPersonal gProperty
Property gvs gCasualty: gWhat gis gconsidered gcasualty? g- gcorrect ganswers g-Non-
property glosses. gLegal gliability gto gothers. g3rd gParty
Risk g- gcorrect ganswers g-uncertainty gof gfinancial gloss
Pure gRisk g- gcorrect ganswers g-Chance gof gLoss
Speculative gRisk g- gcorrect ganswers g-Chance gof gLoss gor gGain g(Gamble)
, Insurance g(covers gwhich gtype gof grisk?) g- gcorrect ganswers g-Pure gRisk gOnly
How gdoes gthe glaw gof glarge gnumbers gapply gin ginsurance? g- gcorrect ganswers
g-Actuaries guse gthe glaw gof glarge gnumbers gto gestimate gclaims
What gis gthe glaw gof glarge gnumbers? g- gcorrect ganswers g-as gthe gnumber gof ga
gsimilar gloss gexposure gincreases, gthe gmore gaccurate gclaims gcan gbe gpredicted
gfrom gthe ggroup.
What gis ga gperil? g- gcorrect ganswers g-cause gof gloss
What gis ga ghazard? g- gcorrect ganswers g-things gthat gincrease gthe gchance gof ga
gperil ghappening
Three gtypes gof ghazards g- gcorrect ganswers g-Physical: gvisible gcharacteristic
g(dead gtree)
Moral: gDishonest gtendencies
Morale: gAttitude gof gcarelessness
Proximate gCause g- gcorrect ganswers g-First gcause gin gan gunbroken gchain gof
gevents
Elements gof ga glegal gcontract g(CALC) g- gcorrect ganswers g-C g- gCompetent
gparties g(18/Right gframe gof gmind)
A g- gAgreement g(Both gparties gagree)
L g- gLegal gPurpose g(The grisk gis gLEGAL)
C g- gConsideration g(It ghas gto gbe gfair)
What gis grepresentation? g- gcorrect ganswers g-Information gbelieved gto gbe gtrue.
What gis gmisrepresentation? g- gcorrect ganswers g-Information gthat gis gnot gtrue.
gFalse ginformation.
What gis gmaterial gmisrepresentation? g- gcorrect ganswers g-Information gthat gis
gnot gtrue gbut gwould ghave gcaused gthe ginsurer gnot gto gissue gthe gpolicy. g(4
gprev gspd gtix)
What gis gfraud? g- gcorrect ganswers g-An gall gout geffort gby gone gparty gto
gdeceive gand gcheat gthe gother.
What gis gwarranty? g- gcorrect ganswers g-Guarantee gthat gan ginsured gwill gor gwill
gnot gdo gsomething
What gare gthe gfour gmajor gparts gto gan ginsurance gpolicy gstructure? g(DICE) g-
gcorrect ganswers g-D g- gDeclarations gPage g(First gPage)
I g- gInsuring gAgreement g(Insurers gpromise gto gpay)
