ACA TEST PAPER EXAM 2025/2026 QUESTIONS WITH
SOLUTIONS GRADED A+
✔✔All of the following are optional limits for the liability section of a BOP EXCEPT: -
✔✔$250,000
✔✔Under Equipment Breakdown Protection, also called Boiler and Machinery
Coverage, the following are true statements: - ✔✔-Minimum limit for liability is $500,000
-"Accident" is defined as sudden and accidental breakdowns
-Exclusions include wear & tear and deterioration
✔✔There are advantages of an agent recommending a commercial package policy over
several monoline policies. Which of the following would NOT be an advantage? -
✔✔The terminology in the package policy is easier to understand
✔✔A shipper contemplates 10 or 11 loads of produce to be shipped to Pennsylvania
over the course of the next 10 months. What inland marine coverage best fits this
exposure? - ✔✔An annual transit policy
✔✔An Inland Marine or Personal Articles Floater might be used to cover all of the
following except: - ✔✔Personal Auto
✔✔Exclusions to the All Risk Coverage of a Personal Article Floater Policy include all of
the following excepting: - ✔✔Theft
✔✔Umbrella Policies provide additional... - ✔✔Liability coverage
✔✔Umbrella Policies... - ✔✔- May contain a Self-insured retention
- May have coverage that is not available in the underlying policy
- May cover more than one underlying policy
✔✔Which of the following is true: - ✔✔With Flood Insurance, "other structures" are paid
at Actual Cash Value
✔✔Actual Cash Value - ✔✔Is current cost minus depreciation
✔✔Which entity manages the Flood Insurance program? - ✔✔FEMA & NFIP
✔✔All of the following may qualify for a dwelling policy EXCEPT: - ✔✔A 6 - family
dwelling
✔✔All of the following are eligible for a Homeowners Policy EXCEPT: - ✔✔A beach
house owned by Acme Corporation
, ✔✔A homeowner had his house for $80,000. It was totally destroyed in a hurricane. His
company paid the full $80,000, due to the: - ✔✔The "Florida Valued Policy Law"
✔✔The principle of "insurable interest" is important in the dwelling policy as well as
other kinds of insurance. which of the following does not have "insurable interest" in the
described property? - ✔✔One who attends a Mary Kay party at a friend's home
✔✔Aunt Mary lives with the insured Homeowner. A thief steals her hearing aid. The
HO-3 will: - ✔✔Cover within the limits of the H/O policy
✔✔Which of the following is eligible for a Homeowners policy? - ✔✔-Susie, who has
purchased a condo unit for her residence
-John, who buys a duplex and lives in one side
-Sam, who rents an apartment for his residence
✔✔Which of the following could not qualify for H/O? - ✔✔Acme Dental Lab Inc., which
purchases a condo on Daytona Beach for employee enjoyment
✔✔Which of the following is not covered under Coverage C, Personal Property? -
✔✔The dead fish when the insured accidentally overturns his tropical fish tank and all
the fish die from lack of oxygen
✔✔Which of the following events would not be covered under a HO-3? - ✔✔A sewer
line become clogged and the toilet in the house backed up and overflowed, damaging
the carpet
✔✔A lender has an insurable interest in a home - and finds protection in the: -
✔✔Mortgagee Clause
✔✔Under both the Dwelling and Homeowners, Cov. B - unattached structures - usually
is: - ✔✔10% of Coverage A - Structure
✔✔What does Coverage B - unattached structures - under the dwelling policy cover? -
✔✔Unattached structures located on the premises
✔✔How many day non-renewal or cancellation is permitted on a dwelling policy? -
✔✔120 days
✔✔Which of the following forms is "all risks" on the dwelling policy? - ✔✔DP-3, or the
special form
SOLUTIONS GRADED A+
✔✔All of the following are optional limits for the liability section of a BOP EXCEPT: -
✔✔$250,000
✔✔Under Equipment Breakdown Protection, also called Boiler and Machinery
Coverage, the following are true statements: - ✔✔-Minimum limit for liability is $500,000
-"Accident" is defined as sudden and accidental breakdowns
-Exclusions include wear & tear and deterioration
✔✔There are advantages of an agent recommending a commercial package policy over
several monoline policies. Which of the following would NOT be an advantage? -
✔✔The terminology in the package policy is easier to understand
✔✔A shipper contemplates 10 or 11 loads of produce to be shipped to Pennsylvania
over the course of the next 10 months. What inland marine coverage best fits this
exposure? - ✔✔An annual transit policy
✔✔An Inland Marine or Personal Articles Floater might be used to cover all of the
following except: - ✔✔Personal Auto
✔✔Exclusions to the All Risk Coverage of a Personal Article Floater Policy include all of
the following excepting: - ✔✔Theft
✔✔Umbrella Policies provide additional... - ✔✔Liability coverage
✔✔Umbrella Policies... - ✔✔- May contain a Self-insured retention
- May have coverage that is not available in the underlying policy
- May cover more than one underlying policy
✔✔Which of the following is true: - ✔✔With Flood Insurance, "other structures" are paid
at Actual Cash Value
✔✔Actual Cash Value - ✔✔Is current cost minus depreciation
✔✔Which entity manages the Flood Insurance program? - ✔✔FEMA & NFIP
✔✔All of the following may qualify for a dwelling policy EXCEPT: - ✔✔A 6 - family
dwelling
✔✔All of the following are eligible for a Homeowners Policy EXCEPT: - ✔✔A beach
house owned by Acme Corporation
, ✔✔A homeowner had his house for $80,000. It was totally destroyed in a hurricane. His
company paid the full $80,000, due to the: - ✔✔The "Florida Valued Policy Law"
✔✔The principle of "insurable interest" is important in the dwelling policy as well as
other kinds of insurance. which of the following does not have "insurable interest" in the
described property? - ✔✔One who attends a Mary Kay party at a friend's home
✔✔Aunt Mary lives with the insured Homeowner. A thief steals her hearing aid. The
HO-3 will: - ✔✔Cover within the limits of the H/O policy
✔✔Which of the following is eligible for a Homeowners policy? - ✔✔-Susie, who has
purchased a condo unit for her residence
-John, who buys a duplex and lives in one side
-Sam, who rents an apartment for his residence
✔✔Which of the following could not qualify for H/O? - ✔✔Acme Dental Lab Inc., which
purchases a condo on Daytona Beach for employee enjoyment
✔✔Which of the following is not covered under Coverage C, Personal Property? -
✔✔The dead fish when the insured accidentally overturns his tropical fish tank and all
the fish die from lack of oxygen
✔✔Which of the following events would not be covered under a HO-3? - ✔✔A sewer
line become clogged and the toilet in the house backed up and overflowed, damaging
the carpet
✔✔A lender has an insurable interest in a home - and finds protection in the: -
✔✔Mortgagee Clause
✔✔Under both the Dwelling and Homeowners, Cov. B - unattached structures - usually
is: - ✔✔10% of Coverage A - Structure
✔✔What does Coverage B - unattached structures - under the dwelling policy cover? -
✔✔Unattached structures located on the premises
✔✔How many day non-renewal or cancellation is permitted on a dwelling policy? -
✔✔120 days
✔✔Which of the following forms is "all risks" on the dwelling policy? - ✔✔DP-3, or the
special form
