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AINS 103 EXAM ACTUAL EXAM PREP KIT WITH COMPLETE QUESTIONS AND CORRECT ANSWERS RATED A+
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AINS 103 EXAM ACTUAL EXAM PREP KIT WITH COMPLETE QUESTIONS AND CORRECT ANSWERS RATED A+
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AINS 103 EXAM ACTUAL EXAM PREP KITWITH COMPLETE QUESTIONS AND
CORRECT ANSWERS RATED A+
Fire, Lightning, Explosion, windstorm, hail, smoke, sprinkler
damage are all covered on the:
A. Broad Form Only
B. Basic Form Only
C. Both Correct Answer C. Both
The special BPP form insurances on an _____ perils basis
Correct Answer open, anything that isn't specifically excluded
The amount an insurer is obligated to pay for a loss covered by
the BPP is determined by the ______ of _____ and the ______
Correct Answer Limits of insurance and the deductible
BPP Limits of Insurance can either be ______ or ______ Correct
Answer specific or blanket
Removing the debris after a fire, recovering data from damaged
servers would be things covered in a BPP's _______ _______
and _______ Correct Answer Additional coverages and
extensions
Although subject to special limits, the amounts payable under
coverage extensions are in ________ to the _______ _______ of
insurance stated in the declarations Correct Answer in addition;
overall limits
TRUE/FALSE: Business income insurance policies with and
without additional coverage for extra expenses use the same
insuring agreement Correct Answer TRUE
,TRUE/FALSE: The Business Income With Extra Expense
Coverage form covers extra expenses, but only if they reduce (i.e.
mitigate the effects of) the business income loss Correct Answer
FALSE - expenses like cleaning and restocking do not reduce the
business income loss (i.e. are not critical to normal business
operations like rent, utilities, payroll) but are still covered
TRUE/FALSE: The Business Income and Extra Expense
Coverage form covers extra expenses, even if they do not reduce
the business income loss Correct Answer TRUE
The limit of insurance stated in the BIC declarations is the
_______ amount the insurer will pay for loss in any ___
occurrence Correct Answer Maximum amount for any one
occurrence
If BIC is written on a specific basis, a limit is set for ____ _____
insured Correct Answer each building
If BIC is written on a blanket basis, a limit applies to ___ ______
at one location (or ___ _____ at multiple locations) Correct
Answer all buildings at one location, or all buildings at multiple
locations
In a BIC policy, the amount of insurance required = _________ __
x ________ _____ Correct Answer coinsurance % x coinsurance
basis
The coinsurance basis of a BIC policy is the sum of the insured's
___ _____ + all ________ ________ that would have been
incurred in the absence of a loss over a ___ month period
beginning with the ______ date Correct Answer net income + all
operating expenses over 12 month period beginning with the
inception date
,To calculate the amount paid out for an underinsured policy,
divide the _____ _____ / ______, then multiply that ratio by the
_____ ______ ____. The difference between that amount and the
loss amount is referred to as the _____ Correct Answer (policy
limit/ coinsurance basis) * business income loss
subtract from the loss amount to get the penalty
Policy that covers two or more lines of business by combining
ISO's commercial lines coverage parts. Correct Answer
Commercial package policy (CPP)
Policy that covers only one line of business Correct Answer
Monoline policy
An insurance-to-value provision in many property insurance
policies providing that if the property is underinsured, the amount
that an insurer will pay for a covered loss is reduced. Correct
Answer Coinsurance
TRUE/FALSE: A commercial property coverage part typically
includes more than one coverage form Correct Answer TRUE
TRUE/FALSE: A commercial property coverage part typically
includes one coverage form Correct Answer FALSE
TRUE/FALSE: A commercial property coverage part typically
contains more than one causes of loss form Correct Answer
TRUE - Typically, one coverage form insures the insured's
buildings and/or personal property, and another coverage form
insures business income and/or extra expense.
TRUE/FALSE: A commercial property coverage part typically
contains one causes of loss form Correct Answer FALSE -
Typically, one coverage form insures the insured's buildings
, and/or personal property, and another coverage form insures
business income and/or extra expense
Commercial property loss exposure is any condition that presents
the possibility of a _______ resulting from ______ to or _____ of
property Correct Answer Loss resulting from damage to or theft
of
Commercial property loss exposures stem from owning two main
categories of property: ______ property (______) and _______
property Correct Answer real property (realty) and personal
property
Fixtures permanently attached to a structure, or growing on the
land are types of _______ property Correct Answer real property
Movable items owned by business (furniture, computers,
machinery, tools, forklifts) are types of ______ property Correct
Answer personal property
The "contents" of a building are considered _____ property
Correct Answer "personal" or "business personal"
Plumbing, wiring, heating and air conditioning equipment are
considered _____ property Correct Answer Real property -
considered part of the building because it is permanently attached
TRUE/FALSE: Vehicles and watercraft are always considered
personal property Correct Answer FALSE: often further
categorized by vehicle type, operator type, usage, or a
combination of these factors
Causes of loss are referred to as: _____ Correct Answer perils
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