Insurance chap 7
Under a Personal Auto policy, which of the following will be paid by supplementary payments provided by Part A? A $250 bail bond A judgment against the insured for damages related to a third party's bodily injury $1,000 for loss of earnings when the insured is disabled Medical expenses when the insured's daughter is injured in an auto accident
A $250 bail bond
Part B - Medical Payments Coverage of a Personal Auto policy would cover medical expenses sustained by any insured while they occupy:
A car used to carpool with colleagues
Under medical payments coverage provided by a Personal Auto policy, how long after an accident does the insured have coverage for resulting medical expenses?
Three years
Which of the following coverages under the Personal Auto policy protects the insured against drivers who do not have adequate auto liability insurance limits to respond to claims related to an accident?
Underinsured motorists coverage
Under the PAP, a temporary substitute would be covered if used:
While an insured auto needs servicing
Uninsured motorist coverage provided by a Personal Auto policy covers insureds while they occupy or use which of the following vehicles? A vehicle being used as a taxi A vehicle being used to carry property for a fee A covered vehicle owned by the named insured A vehicle being driven without permission
A covered vehicle owned by the named insured
Under a Personal Auto policy, Part A would provide coverage to all of the following people as insureds, except:
A mechanic servicing the auto
An unendorsed Personal Auto policy may be used to insure all of the following, except: A motorcycle A conversion van A station wagon A farm pickup
A motorcycle
Under a Personal Auto policy, which is covered under Part D - Coverage for Damage to Your Auto?
A newly acquired vehicle reported to the insurer 10 days after purchase
An insured has a Personal Auto policy with comprehensive coverage. After a tree falls on the insured's vehicle during a windstorm, the auto is unusable and must be repaired. If the insured incurs any transportation expenses, Part D of the policy will:
Cover transportation expenses incurred beginning 24 hours after the loss
An insured has a Personal Auto policy. While their covered auto is being serviced, they use a non-owned auto as a temporary substitute. Which of the following is true if the insured is liable for bodily injury after an accident while using the temporary substitute?
Coverage is provided on an excess basis
Coverages provided by an unendorsed Personal Auto policy apply while the auto is located:
Only in the United States, its territories, Canada, and Puerto Rico
A bird hits and breaks the windshield of an insured vehicle. This is covered under which of the following coverages of a Personal Auto policy?
Other than collision coverage
While driving in another state with higher liability coverage requirements, which of the following sections of a Personal Auto policy automatically provides the required coverage?
Out of State Coverage
An insured with comprehensive coverage under Part D of their Personal Auto policy would be protected in the event of all of the following physical damage losses, except: Overturn of the vehicle Earthquake Flood Theft
Overturn of the vehicle
An insured accidentally backs into the neighbor's son on his skateboard. The son has medical expenses, and there is damage to the skateboard. Which sections of the insured's Personal Auto policy will pay?
Bodily injury and property damage
When the Limited Mexico Coverage Endorsement is added to a Personal Auto policy, it provides coverage while the covered autos is how many miles into Mexico?
25 miles
An insured's covered auto is stolen, and the insured incurs transportation expenses in order to get to work each day. Transportation expenses coverage under Part D of their Personal Auto policy begins how long after the theft?
48 hours
Liability coverage provided by a Personal Auto policy covers damages awarded against an insured for:
Bodily injury or property damage to others
Under a Personal Auto policy, medical payments coverage is provided for which of the following? A family member using a covered auto in a recognized racing activity The named insured while their auto is being used as a public or livery conveyance A passenger while occupying a covered auto Any person while occupying a motorcycle
A passenger while occupying a covered auto
Physical damage to which of the following items is covered by an unendorsed Personal Auto policy?
A pickup's bedliner
A temporary substitute vehicle is not considered a Your Covered Auto if it is used to substitute for which of the following?
A rental car that broke down
Under an unendorsed Personal Auto policy, which of the following vehicles would not be considered Your Covered Auto? An non-owned SUV being used temporarily after the insured's auto was totaled in an accident A farm implement being towed by the named insured's pickup truck A sedan furnished for the named insured's regular use A hatchback owned by the named insured and described on the Declarations page
A sedan furnished for the named insured's regular use
An insured with collision and comprehensive coverage on a Personal Auto policy is using a temporary substitute auto while their owned auto is out for servicing. Which loss would be excluded by physical damage coverage provided by the insured's policy?
A valet driver crashes the auto into another vehicle
Which private passenger auto is not eligible for coverage under a Personal Auto policy? An auto driven over 25,000 miles annually A pickup truck used to transport furniture for a neighbor, who is moving to a new home A van used to deliver shipments from a warehouse A sedan used for carpooling
A van used to deliver shipments from a warehouse
The definition of an uninsured motor vehicle under a standard Personal Auto policy does not include:
A vehicle newly acquired by the named insured that has not been reported to the insurer
A standard Personal Auto policy considers all of the following to be uninsured motor vehicles, except: A vehicle with no liability insurance coverage A hit-and-run vehicle whose owner or operator cannot be identified A vehicle that is being used as a residence A vehicle with insurance from an insurer that becomes insolvent
A vehicle that is being used as a residence
Unendorsed Personal Auto policies would refuse to provide liability coverage for:
A vehicle with fewer than four wheels
An insured slips on an icy patch in the road and collides with a tree. The insured's Personal Auto policy will provide coverage as long as the insured:
Allows the insurer to inspect the damage before repairs
A Personal Auto policy would consider all of the following to be a covered auto, except: A newly acquired auto that has not been reported to the insurer after it was purchased five days ago A non-owned auto being used to temporarily replace a covered auto that is being repaired An owned farm wagon being towed by a pickup truck An auto that is owned by the named insured, but not shown in the Declarations
An auto that is owned by the named insured, but not shown in the Declarations
A Personal Auto policy is designed to cover:
An individual's or their family's personal use of an auto
The Extended Non-Owned Coverage Endorsement available to Personal Auto policies should be added by an insured who is:
Being furnished a company car
Under Part D - Coverage for Damage to Your Auto of the Personal Auto policy, vehicle upset would be covered under:
Collision coverage
Liability coverage provided by a Personal Auto policy would cover which of the following damages? Damage to a storefront caused by a valet driver operating a covered auto Damage to a neighbor's riding lawn mower that is in the care of the insured Damage to property being transported by the insured in a covered auto Damage to a private garage rented to the insured, caused by the insured's child driving a covered auto
Damage to a private garage rented to the insured, caused by the insured's child driving a covered auto
Which of the following claims would be covered by collision coverage under Part D - Coverage for Damage to Your Auto of a Personal Auto policy? Damage to the auto caused by objects blown into it during a tornado Damage to the auto caused by collision with an animal on the roadway Breakage of the windshield caused by collision with a stone or other missile Damage to the insured auto's bumper when the auto crashed into a tree
Damage to the insured auto's bumper when the auto crashed into a tree
Other than collision coverage provided under Part D of an insured's Personal Auto policy would cover losses to an insured vehicle caused by all of the following, except:
Driving into a tree (collision)
Which statement is correct about medical payments provided by a Personal Auto policy? Expenses for medical services sustained by the insured are covered Medical expenses include payments for injuries that result from an auto racing activity Medical payments coverage is provided by Part A Medical expenses are paid only when the insured is legally liable
Expenses for medical services sustained by the insured are covered
Under a Personal Auto policy, which of the following vehicle uses is not excluded by medical payments coverage? Farm use Use as a livery conveyance Use for organized racing Occupancy of the vehicle as a residence
Farm use
Under Part A - Liability Coverage of a Personal Auto policy, which of the following statements regarding the limit of liability is incorrect? If the loss is covered under more than one part of the policy, payment will be duplicated The limit of liability is the maximum the policy will pay regardless of the number of insureds The limit of liability is the maximum the policy will pay regardless of the number of vehicles involved in the accident A combined single limit is the maximum the policy will pay in any one accident for bodily injury and property damage
If the loss is covered under more than one part of the policy, payment will be duplicated
Under physical damage coverage provided by a Personal Auto policy, all of the following statements are incorrect, except: In the event of total loss, adjustment will be made for the physical condition of the vehicle If repairs result in materials that are better than the previous kind or quality, the policy covers the amount of betterment A sublimit of liability applies for losses to portable electrical equipment The limit of liability is the greater of the vehicle's actual cash value or the cost to repair
In the event of total loss, adjustment will be made for the physical condition of the vehicle
All of the following are correct about a newly acquired pickup truck being added to a Personal Auto policy, except: Liability coverage is as broad as the broadest coverage on any vehicle already protected by the policy It can be used to transport commercial merchandise for hire if receipts are less than $2,000 It must be reported to the insurer within 14 days of purchase to have liability coverage from the date of purchase It may be used on a farm
It can be used to transport commercial merchandise for hire if receipts are less than $2,000
The named insured's spouse will not be considered an insured on the named insured's Personal Auto policy if:
It has been 90 days since the spouse moved to a different residence away from the named insured
Physical damage coverage on a Personal Auto policy may cover which of the following losses to Your Covered Auto?
Malicious mischief to tires
Which of the following is not a supplementary payment provided by the liability coverage of a Personal Auto policy? Up to $250 for the cost of bail bonds Reasonable legal expenses incurred at the insurer's request UP to $200 per day for the insured's lost earnings due to the trial Medical payments for an occupant of an insured vehicle
Medical payments for an occupant of an insured vehicle
Coverage for recreational vehicles and motor homes can be added to a Personal Auto policy by the:
Miscellaneous Type Vehicle Endorsement
Under a Personal Auto policy, which of the following vehicles is covered by liability coverage?
Non-owned golf cart
All of the following are true of Part D - Coverage for Damage to Your Auto on a Personal Auto policy, except: Collision coverage usually is written with a deductible Part D provides physical damage coverage for covered autos and non-owned autos used by an insured Part D covers damage to the insured auto and to another auto with which it collided Damage to the insured auto after colliding with a deer would be covered under other than collision coverage
Part D covers damage to the insured auto and to another auto with which it collided
All of the following are true of Part D - Coverage for Damage to Your Auto on a Personal Auto policy, except: Damage to the insured auto after colliding with a deer would be covered under other than collision coverage Part D provides physical damage coverage for covered autos and non-owned autos used by an insured Part D covers damage to the insured auto and to another auto with which it collided Collision coverage usually is written with a deductible
Part D covers damage to the insured auto and to another auto with which it collided
Which type of standard policy includes coverage options that would not exclude damage by flood?
Personal Auto policies
Supplementary payments under Part A - Liability Coverage of a Personal Auto policy will pay:
Premiums on appeal bonds
A Personal Auto policy provides liability coverage under Part A for:
Property damage caused by an insured to a private garage rented to them
T has a Personal Auto policy with the Towing and Labor Costs Coverage Endorsement. The endorsement will:
Provide payment for labor that is performed only at the site of disablement
An insured with a Personal Auto policy on their car is using a non-owned auto to run errands. Under the insured's policy, liability coverage for use of the non-owned auto is:
Provided on an excess basis
A Personal Auto policy would consider all of the following to be examples of occupying a vehicle, except: Standing by the car to see damage after an accident Closing a car door Climbing onto the roof of the car Jumping off the trunk
Standing by the car to see damage after an accident
Collision coverage provided by a Personal Auto policy applies to:
The insured's car, regardless of liability
Supplementary payments provided by a Personal Auto policy's liability coverage include payments for all of the following, except:
The insured's loss of income due to bodily injury after an accident, up to $200 per day
An insured is on vacation and using a vehicle in a state that is different from their home state where the auto is principally garaged. Which of the following statements best describes how liability coverage provided by the insured's Personal Auto policy applies in the different state?
The liability limits are automatically adjusted to the minimum limits required by the state, if the original policy limits do not meet those requirements
A Personal Auto policy's liability coverage would protect the insured in the event that:
The named insured's resident family member injures someone in an accident while using a covered auto without the insured's permission
In the event of an accident, all of the following people may receive medical payments under a Personal Auto policy, except: The named insured, who is occupying a rental car A family friend, who is a passenger in a covered auto The named insured's foster child, who is struck by an auto while on a crosswalk The named insured, who is struck as a pedestrian by an ATV
The named insured, who is struck as a pedestrian by an ATV
Under a Personal Auto policy, all of the following are correct about medical payments coverage, except: The policy limit is applied on a per occurrence basis, not per person Payments under Part B will not be duplicated if other parts of the policy also provide coverage The named insured and family members are covered if injured as pedestrians Insured passengers must be occupying Your Covered Auto in order to be covered
The policy limit is applied on a per occurrence basis, not per person
When a Personal Auto policy includes OTC coverage, physical damage coverage will cover all of the following losses, except Theft of the insured's cell phone from the auto Theft of the auto's battery Theft of a stereo permanently installed by the auto's manufacturer Theft of the auto's catalytic converter
Theft of the insured's cell phone from the auto