Exam (elaborations)
Personal Lines Final Exam Questions With 100% Correct Answers.
- Course
- Institution
Personal Lines Final Exam Questions With 100% Correct Answers.
[Show more]
Seller
Follow
EvaTee
Reviews received
Content preview
Personal Lines Final Exam Questions With 100% Correct Answers.Statements made in the application are considered:
A. Warranties
B. Representations
C. Possible Concealments
D. None of the Above Answer - B. Representations
The definition of Risk is:
A. Uncertainty regarding loss
B. A chance of gain
C. Uncertainty regarding gain or profit
D. Intended unforseen damage to property for gain or profit Answer - A. Uncertainty regarding loss
A financial device for transferring or shifting risk from an individual or entity to a large
group with the same risk is the definition of:
A. Avoidance
B. Retention
C. Transfer
D. Insurance Answer - D. Insurance
Hazards include which of the following:
1. Unintended oily rags stacked in a corner
2. A homeowner's carelessness because he has insurance
A. 1 only
B. 2 only
C. Both 1 & 2
D. Neither 1 or 2 Answer - C. Both 1 & 2
The mortgage condition in a property policy:
1. Guarantees that the lending institutions may act for itself in paying a premium
2. Guarantees claim payments will be divided as the interests of the insurance and mortgagee appear
A. 1 only
B. 2 only
C. Both 1 & 2
D. Neither 1 nor 2 Answer - C. Both 1 & 2
Which of the following situations does NOT create an insurable interest?
A. Being named in someone's will as an heir
B. Holding a mortgage or lien on property C. Having custody or control of someone else's property
D. Owning property Answer - A. Being named in someone's will as an heir
The plumbing in Mrs. Ward's home suddenly burst and the ceilings were damaged by water. Which of the following homeowner forms would cover the loss?
A. HO1
B. HO2
C. HO4
D. HO7` Answer - B. HO2
Nicole has a Personal Auto policy with limits of 10/20/10 for liability coverage. She causes an accident that results in $12,000 bodily injury damages to the other driver and $5,000 in property damage to the other driver's car. How much would Nicole's policy pay for the the BI and PD losses?
A. $15,000
B. $17,000
C. $10,000
D. $12,000 Answer - A. $15,000
Sally Smith calls her agent, Hubert Dufus, to purchase flood insurance. Agent Dufus explains to Ms. Smith that flood coverage can be purchased directly through the NFIP or through him. Should Ms. Smith choose to purchase coverage through Agent
Dufus it is called the:
A. Write your own program
B. Create flood insurance program
C. Flood insurance is not available through private insurers
D. None of the Above Answer - A. Write your own program
The law of large numbers state that the larger...
A. The number of insured, the more likely they will have losses
B. A company, the more profit it will make
C. The chance of loss, the higher the premium
D. The number of insureds, the easier it is to estimate their losses Answer - D. The number of insureds, the easier it is to estimate their losses
A sudden, unintended, and unexpected event is known as:
A. Negligence
B. Warranty
C. Accident
D. Occurrence Answer - C. Accident
The Commissioner of Insurance in the State of Indiana is appointed by which of the following:
A. The chairman of the Banking & Insurance Commission
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller EvaTee. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for CA$20.06. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
84866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now