insurance exam
violation of a cease and desist order commissioner can turn over to NJ superior court for further legal action and can assess a fine for each violation up to
$5,000
what is the time period to become a producer in NJ after submitting a license application, you must pass the licensing exam when?
1 year
The insurable value of property covered by the fair plan cannot be more than
1,500,000
How many days must an insurer provide notice for canceling due to non pays
10 days
if a producer dies or becomes disabled an unlicensed person can contract with another insurance producer to continue this person insurance transaction for
180 days
on the BOP policy if the actual value exceeds limit of insurance policy contains a seasonal provision that automatically increases the limit of insurance by how much
25%
if a producer has been convicted of a crime how many days to notify the commissioner?
30 days
a licensed insurance producer must notify the dept. Of change of mailing address in how many days and by what method
30 days by mail or electronically
how many days does a producer have to remit the collected premium to the insurer
5 business days
if a producer license has been revoked the waiting period to apply for reinstatement is
5 years
temporary work authority expires after how many days
60 days
in business income additional coverage in a BOP the waiting period before restoration may begin in
72 hours
under dwelling policy form what is maximum time limit which multiple volcanic activities would be considered part of one occurrence
72 hours
the coinsurance requirement for a theatrical property floater under an inland marine policy is
80%
candidate cannot be exempt from the examination for a resident producer license if
A resident producer license for pnc is applying for a life insurance license
A material misrepresentation is
A statement by the applicant that upon discovery would affect the underwriting decision of the insurance company
what common carriers are required to issue to every shipper in transport goods for
A uniform bill of lading
which term is the closest to describe in authorized insurer
Admitted
if a coveted property loss under a business owner policy (BOP) cannot be agreed between the insurer and insured the method used to resolve the issue is
Appraisal
common policy conditions for a commercial package policy (CPP) if insured dies the policy rights and duties what?
Automatically transfer to legal representative
In a insurance contract must contain the elements of all of the follow except
Beneficiary consent
what is it called when a producer places coverage in force before the insurer has an opportunity to issue the policy
Binding coverage
what type property would be covered by a personal floater
Cameras
if a violation of the NJ insurance code occurs a cease and desist order may be issued. Who may issue a cease and desist order?
Commissioner
Representation are statements made by the applicant that are
Considered true best of the applicant knowledge
what would be fair & accepted practice in all the following except:
Control business
if the insurer and insured have a dispute about whether a particular loss is covered the authority will settle a dispute is
Court system
What term insured must pay out of pocket and then insurer will pay additional amount of the loss above this limit
Deductible
what is an insurance company that has been formed under the laws of this state called
Domestic
which would not be included in a commercial package policy
Dwelling coverage
when an agency publizes false info about their financial stability and sound business practice is called
False financial statement
Which of the four is considered a peril
Fire
Replacement cost is
Full replacement of property at its current cost; new and without reduction for depreciation
Condos unit owner endorsement does not cover
Furniture in the building
Apartment occupant personal property would be insured under what form
Ho4
When is a misrepresentation on the insurance application considered fraud
If it is intentional and material
Per the business of insurance a hazard is
Increases the possibility of loss
what does the major portion of the premium on an equipment breakdown policy pay for
Inspections & examinations
about national flood insurance what is NOT ture
Insurance provided by the flood program is also available in standard property policy
Persons covered under in an insurance policy whether there named or not are known as
Insured
Who is responsible for filling out a claim form
Insured
Conditions not commonly found in the insurance policy
Insuring agreement
A false statement on Coverage B on an HO policy is
It must be added by endorsement by HO policy
NationWide Marine definition what would not be subject to inland marine insurance
Large pleasure boats
what describes an insurer's responsibility for payment under a policy as stated in the common policy provision
Limits of liability
what limitation does a HO policy place on a home run business
No more than 2 people working at any one time
on a participating insurance policy issued by a mutual insured company dividend paid to policyholders are
Not taxable; since the IRS treats them as a return of the portion of the premium paid
duties of the insurer are all of the following except
Notify insured of financial difficulty
losses caused by continuous or repeated exposure to conditions resulting in injury or property damage that is neither intended or expected is defined as
Occurrence
misrepresentation pertaining to unfair trade practice are all of the following except
Okay to make comparison between different policies
When is a hired in non-owned auto liability endorsement available in a BOP
Only if the insured does not have commercial auto coverage
Type of insurance policy insures against all risks of loss unless excluded
Open peril policy
A liability policy that sets the amount from a single incident is?
Per occurrence
the requirement that agents must account for all insurance fund collected that are not permitted to co mingle those funds with their own
Predouchairy responsibility
the other insurance provision that limits the liability of the insurer to a portion of the loss no greater then the amount insurer bears to all insurance covering the property is called
Pro-rata liability
what do insurers use to protect themselves against catastrophic losses
Reinsurance
what type of info found in policy insuring agreement
Renewal dates
Cost to rebuild a house if something happened to it is
Replacement cost
If a single dwelling is insured for at least 80% of replacement value, what would you automatically get?
Replacement cost
additional causes of loss in the broad form of A commercial policy what is NOT a cause of loss
Replacement cost
the method of valuation contrary to the basic concept of indemnity is
Replacement cost
Definition of ACV
Replacement cost of time of the loss less deprecation
the commissioner may revoke a producer license for all of the following except
Should act in a produchairy capacity
if insured owns several buildings each at different locations and each a separate policy the type of coverage they have is known as
Specific
the MCcarran Act insured that the federal gov. Would not regulate the insurance industry as long as an adequate job was done by the
State
what is an insurer that is owned by stockholders
Stock companies
a cease and desist order forces an insurer to
Stop committing a particular violation
HO2 and HO3 forms cover
Sudden and accidental rupture of heating system
All of the following are limited lines of authority expect:
Surplus lines
Replacement cost coverage is provided in both broad and special form dwelling policy when?
The amount of insurance on the dwelling is at least 80% of replacement cost at the time of loss
HO policy would pay how much after the loss of one of a pair of golden candlesticks
The difference in the ACV as a pair and as a single
the commercial property dec page contains what information
The friction of the property insured
What does not describe a confident party
The person must have at least completed secondary education
what is the purpose of the NFIP
To fill the gap left by the private insurers in flood coverage
type of insurance used to cover a single shipment of goods for a specific trip
Trip transit
how long is a producer appointment with the insurer last
Until it is terminated
beside the peril of earthquake which other peril is covered by the earthquake cause of loss form under a commercial property policy
Volcanic eruption