California Property and Causality Practice Exam(RATED A+)EXAM BUNDLE

Which of the following is incorrect? Part A covers long term care Part A covers hospital care Part B covers physicians Part B requires monthly premium payments - ANSWER Part A covers long term care Medical payments coverage under the personal auto policy applies for medical bills insure...

What is the required rate discount under a Good Driver Discount policy? - ANSWER 20% below the rate the insured would have been otherwise charged for the same coverage All the following are authorized activities for the Limited Automobile Insurance Agent EXCEPT if the agent - ANSWER Charges and c...

Bob is thinking about obtaining insurance because he just found out he needs extensive surgery that will require several days in the hospital. This situation of waiting until the last minute to obtain insurance is known as: - ANSWER Adverse Selection According to the California insurance law, eit...

When can a person who sells real property require the use of a specific insurance agent, broker or solicitor? 1. As a condition precent to the sale of such real property. 2. When a buyer's credit score is below the lender's threshold. 3. A buyer is always able to choose their own insura...

The process where by a mutul insurer becomes a stock company is called - ANSWER Demutalization The process whereby a stock company a mutal insurer is called - ANSWER Mutalization The provision in a property policy which states that the insured has been paid up to their insurable interest is - ...

All the following are considered an insured under Part A liability coverage, of the personal auto policy EXCEPT! - ANSWER Employer while insured is driving a company car. A bank customer's identity was compromised and the thieves made numerous purchases from a retailer by signing the customer's...

Symbol 7 in a Business Auto policy refers to: - ANSWER Specifically described auto An individual who has Liability, Uninsured Motorist, Medical Payment and Other than Collision, falls asleep at the wheel and crashes into a flower shop. Damage to the shop would be covered by which of the following...

Specific insurance - ANSWER This type of insurance designates a particular item to be insured Blanket insurance - ANSWER This type of insurance covers more than one item of property at a single location or one more items of property at multiple locations. Speculative - ANSWER possibility of bo...

Bailee - ANSWER An individual or organization who has taken into its care, custody, and/or control the property of another for servicing, repair, or storage Hazard - ANSWER Something that increases the chance or likelihood of a loss occuring. (physical or moral or morale) Market Value - ANS...

Insurance -ANSWER The transfer of risk through a legal contract Property -ANSWER Covers real property and personal property against damage or loss resulting from covered causes of loss called perils casualty -ANSWER covers non-property losses (3rd Party) Personal lines -ANSWER Insurance...

Which of the following are the authorities that an agent can hold? - ANSWER Express and implied Which of the following terms refers to such disabilities the loss of a limb, hearing , or eye sight? - ANSWER Permanent partial disability Who is NOT considered an employee in an commercial general ...

UNDERWRITING - ANSWER classifies the applicant based upon the underwriting requirements INSURABLE INTEREST - ANSWER an economic interest in a property that must exist at the time of loss (you can insure the equity interest in your own home) of the insurer; matches the risk presented with the prem...

A chance or uncertainty of loss is called ___? - ANSWER Risk Gambling is an example of ____. - ANSWER Speculative risk Insurance will only cover ____ risks. - ANSWER Pure The transfer of risk from an individual or business to a professional risk taking company is called ____. - ANSWER Insur...

Insurer - ANSWER the insurance company or carrier. Insured (Homeowners policy( - ANSWER 1. The named insured. 2. The named insured's spouse, if a resident. 3. Relatives of the named insured and anyone under age 21 in the insureds care. Like a foreign exchange student. 4. Full time studen...