Exam (elaborations)
NJ PROPERTY PRODUCER QUESTIONS AND ANSWERS
- Course
- Institution
NJ PROPERTY PRODUCER
[Show more]
Content preview
NJ PROPERTY PRODUCERDeclarations - answer Section of an insurance policy containing the basic underwriting
information such as the insured's name, address, amount of coverage and premiums,
and a description of insured's location.
Where is Declarations page found? - answer Usually first page.
Insuring Agreement - answerSection of an insurance policy containing the insurer's
promise to pay.
What does the insuring agreement list? - answerInsuring agreement lists the parties to
the contract, effective and renewal dates, the description of coverage provided, and
perils.
Conditions - answerIndicates the general rules or procedures that the insurer and
insured agree to follow under the terms of the policy.
Examples of Conditions - answer1. Inspection 2. Changes to policy 3. Liberalization
clause 4. Return of premium
Inspection (Condition) - answerAs needed by insurer. Insurance company reserves the
right to inspect or examine the insured's location or books to determine the exact
exposure for underwriting and rating purposes.
Changes to policy (Condition) - answerMust be made by insurer and MUST be in
writing.
Liberalization Clause (Condition) - answerEnsures if insurer introduces an improved
"free coverage", the insured will get the benefit of the new coverage immediately and
will not have to wait for policy renewal. (Similar to adjustment policies)
Return of premium (Condition) - answerDictates the method that will be used to
calculate the return premium when the policy is cancelled before the expiration date.
Exclusions - answerSection of insurance policy that details what perils are NOT insured
against and what persons are NOT insured.
Exclusion Examples from Property Policy - answerEarth movement and water damage.
, Insured - answerPerson or persons named in an insurance policy that is protected
under the contract, to whom the insurer reimburses losses, pays benefits or provides
services.
Duties of the Insured - answer1. Protect the damaged property from further loss. 2.
Prepare an inventory of damaged property. 3. Cooperate with the insurer in settling
loss. 4. Notify policy in case of theft loss. 5. Submit signed proof of loss within allotted
time.
Obligations of the Insurance Company - answerIn return for premium, must be fair in
underwriting and must pay covered losses.
Mortgage Clause - answerAttached to a policy to protect the interest of the mortgagee
in the mortgaged property. The loss reimbursement will be paid to the mortgagee as
interest appears. Mortgagee's rights of recovery will not be defeated by any negligence
of insured. Other rights includes bringing a suit in their own name to recover damages.
Proof of Loss - answerSworn statement that must usually be furnished by the insured to
an insurer before any loss under a policy can be paid. Contains date and description,
amount of indemnity claimed.
Notice of Claim - answerForm or statement from an insured to an insurer, informing the
insurer that events leading to a possible claim have occurred. Includes how, when, and
where.
Appraisal - answerA written demand as a result of a disagreement between the insured
and the insurer on the value of any property loss. If unable to agree on fair value, and
umpire is selected.
Other Insurance Provision - answerProvision in an insurance policy that defines how the
policy will respond if there is other valid insurance written on the same risk. Other
insurance considered "excess."
Assignment - answerTransfer of legal right or interest in an insurance policy. In P & C,
assignments of policies are valid only with the prior written consent of insurer.
Subrogation - answerInsurer's legal right to seek damages from third parties, after it has
reimbursed for loss. Based on principle of indemnity by preventing the insured to collect
on loss twice. Insured gives up rights to insured who goes after other party's insurance.
Contract - answerAn agreement between two or more parties enforceable by law. Must
have certain essential elements.
4 Essential Elements of Legal Contracts - answer1. Agreement-offer and acceptance. 2.
Consideration 3. Competent parties 4. Legal purpose
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 julianah420. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $14.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now