Manny is purchasing a Commercial Property policy with a Business Income form included. Manny can select from any of the following as a method to provide coverage, while avoiding the coinsurance requirement, EXCEPT: - ANSWER The maximum monthly limit of indemnity optional coverage
The traditional...
NC Adjuster License Practice Exam
Correct 100%
Manny is purchasing a Commercial Property policy with a Business Income form
included. Manny can select from any of the following as a method to provide coverage,
while avoiding the coinsurance requirement, EXCEPT: - ANSWER The maximum
monthly limit of indemnity optional coverage
The traditional definition of actual cash value (ACV) is: - ANSWER Replacement cost
minus depreciation
Sam and Dan are working to clean out the gutters around the roof on Sam's house.
Sam and Dan are standing at the top of separate ladders that are propped against the
side of Sam's house, when Dan's ladder begins to wobble and ultimately falls into Sam's
ladder. Both men and their ladders crash to the ground. Whose injuries will be covered
by Sam's Homeowners policy under Coverage E - Personal Liability? - ANSWER Only
Dan's injuries would be covered
Torts that can be covered by insurance policies include all of the following, EXCEPT: -
ANSWER Intentional torts purposely committed to cause harm to another.
The insured has a $1,000,000 personal umbrella policy with a $5,000 retention limit. For
a $7,000 liability loss not covered under the insured's personal auto policy, but covered
under the umbrella policy, the insurance company would pay: - ANSWER $2,000
All of the following is considered an "insured" under a CGL policy, EXCEPT: - ANSWER
Lawyers of the named insured
What specific type of liability policy gives an owner protection against liability claims
arising out of the acts of its independent contractors? - ANSWER Owners and
Contractors Protective Liability Policy.
Which of the following would be eligible for coverage under a Businessowners policy? -
ANSWER A small retail store
Which of the following is NOT a correct statement in determining the cost of a
"comparable automobile" when a physical damage loss has a occurred? - ANSWER
The cost of a comparable automobile as determined by a computerized automobile
valuation service that produces statistically valid fair market values within the United
States market
All of the following statements are TRUE of North Carolina automobile liability policies,
EXCEPT - ANSWER If the insured carries limits greater than the minimum financial
, responsibility limits required by state law, they are not required to carry
Uninsured/Underinsured Motorists coverage.
The basic limit for Coverage F -- Medical Payments of the standard Homeowners forms
is: - ANSWER $1,000 per person
Oliver Dogwood was in an auto accident which destroyed his car. While investigating
the accident, Adjuster Doright found that Mr. Dogwood paid $1,000 for the vehicle. After
checking with others he found the same vehicle with an asking price of $1,700, a retail
price of $2,150 and a dealer price of $1,750. What amount will Mr. Dogwood receive? -
ANSWER $2,150
When a claims representative is collecting information from a third-party claimant, which
of the following is the information that should be obtained first? - ANSWER The nature
and extent of the injuries or property damage claimed.
The Business Auto uses Symbol 7 to cover "specifically described autos" identified in
the declarations. An auto acquired during the policy period will only be covered: -
ANSWER If the insured insures all of their vehicles with the company or it replaces a
covered auto..
What coverage under the BOP automatically applies if a customer slips and falls on the
named insured's premises, regardless of legal liability? - ANSWER Medical expense
coverage
When an insurer is called upon to defend a suit under a CGL policy, the amount that
can be paid for the defense costs is: - ANSWER Not limited
Any North Carolina lender in making or servicing real estate mortgage or deed of trust
loans on one to four family residences must accept a binder as proof of insurance. The
binder presented to the lender must include all of the following, EXCEPT - ANSWER A
sworn statement that the insurance will be kept in force.
Which of the following statements is TRUE concerning Part A - Liability coverage on a
standard Personal Automobile policy? - ANSWER The coverage is provided only for
accidents caused by those who are "insureds" under the policy..
Which of the following is NOT a reason to purchase a Dwelling policy instead of a
Homeowners policy? - ANSWER The Dwelling policy provides higher limits of liability
than the Homeowners policy..
Which of the following is NOT excluded by Section II - Liability of the Business
Automobile policy? - ANSWER Cost to defend the insured
The insured and her 18-year-old son, who lives in the insured's household, are crossing
the street when both of them are struck by a drunk driver. The Part B - Medical
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 Lecchris. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.99. You're not tied to anything after your purchase.
