P&C guaranteeed

Business auto coverages apply only to those autos that are identified as covered autos in the declarations page by entry of the appropriate numerical symbol. Which symbol affords the broadest coverage?

1

The personal property off premises extension of dwelling forms provides limits of coverage up to

10% of coverage c anywhere in the world

When an insured purchased his home 10 yrs ago for $80,000 it had a replacement cost of $100,000 today the home has a replacement cost of $200,000 and has deprecated by 4% each year. The insured's home had an actual cash value of

120,000

Farmer steves shed has been vacant for an entire year when he filed a claim to cover some recent damage to the shed how much will his farm policy pay

50% of the limit of insurance

Which of the following would be eligible for a HO coverage F medical payments in the event of the injury at the insured's premises

A full time maid

HO policies consider all of the following insured locations excepy

A strawberry patch owned by the insured

Coverage E and/or coverage F would respond to a claim arising from all of the following Except?

An insureds 14 year old throwing rocks

The statutory law defense that reduces injury and awards for damages proportionately when the plaintaif and defendant are both responsible is called

Comparative negligence

Which of the following agencies administers the National Flood Insurance Program

FIA

Insurance rates developed by the underwriter based on his skill and experience instead of actuarial analysis are known as

Judgement rates

Which of the following exposures is not covered under HO policy

Medical payments to an insured

The extended non owned coverage provides protection to

Only the person named on the policy

All of the following are additional coverages under a homeowners policy except

Outbuildings

A stock insurer is defined as an insurer

Owned by its stock holders

What does a HO personal property coverage not cover?

Persona property of roomers not related to the insured

Business owners liability coverage automatically includes all of the following liability coverages except

Pollution

The defendant being released on a surety bond is the

Princial

For an additional premium, the extended coverages written on the basic form dwelling policy would cover which of the following?

Riot

The amount of loss the insured is willing to absorb without insurance protection is known as

Self insured retention

Which of the following symbols in a business auto policy indicates that the coverage for newly acquired vehicles applies if the insurer already covers all autos owned by the insured

Symbol 7

When is the agent acting within the conditions of its agents?

Whenever the agent is acting within the conditions of the contract

Coverage provided by the NFIP will not cover

Fences, outdoors swimming pools

Which of the following is covered under a feeling policy?

Fire caused by an earthquake

An insured has a maximum limit of coverage available under her liability policy during a policy year, regardless of the number of claims made or or the number of accidents. Her limits are restored at the policy anniversary. What type of limit does this insured have?

Aggregrate

Coverage D additional living expenses is intended to

Allow the family to maintain their normal standard of living

A temporary license may be issued to all of the following individuals except

Executor of a deceased insured's estate

If an agent follows the rules and terms of his agent contract he is exefcising

Express authority

Which would not be covered by an insured's uninsured motorist coverage

The insured causes a head on collision with the car of an uninsured motorists

A liability policy that provides coverage for a claim for injury or damage only if the claim is first reported or filed during the policy period is called?

Claims made form

A lender who conditions approval of a loan on the condition that the borrower purchase insurance from that lender may be guilty of?

Coercion

Under which legal defense is there an apportionment of damages based upon the degree of fault of each of the plaintiffs and the defendant?

Comparative negligence

Coverage c in HO policy form offers all of the following except?

Coverage for loss of use

Which of the following clauses excludes assignment or granting of policy provisions to any person who repairs property for a fee?

No benefit to Bailee clause

A pharmacy offers a delivery service to its customers. When the delivery parked his truck in front of a customers home, someone broke into the delivery truck and stole the money inside. Which crime coverage will cover the loss of the money?

Outside the premises

All are true of the Sc valued policy law except

It applied to both real and personal property

Which of the following types of bonds guarantees that a supplier will furnish supplies materials products and equipment as specified in the written contract

Supply bond

When an employee got her a new job she was told that the local government required her to get a bond to guarantee that she would follow the city laws and regulations associated with her job. What kind of bond does the employee need

A license and permit bond

All of the following will be considered the insured under part B:medical payments of a personal auto policy except

A person using the insured's covered car without permission

Which of the following exclusions applies to both personal injury and advertising injury in the BOP

Willful violation of a penal statue or ordinance committed by the insured

An individual just applied for National Flood Insurance. How many days can she expect to wait before coverage is effective?

30

When a licensed insurance producer places insurance business with an insurer that has not appointed the producer he is deemed to be acting as

A broker

The transfer of a legal right or interest in an insurance policy is called

An assignment

Which of the following exclusions would specifically fall under coverage E

Contractual liability

Which of the following exposures is not covered under the garage liability form

Contractual liability

Which of the following is eligible for a businessowners policy?

Convenience stores

Which commercial property form provides coverage for the insured's legal liability for property in her or her care, custody, or control?

Legal liability

An insured's diner suffered a fire loss. In addition to the damage cause by the fire the floor covering had to be replaced bc of the water damage. It took 4 wks for the repairs to be completed. The insured was without income for that period of time. The insured's policy includes both direct and indirect loss coverage. What part of the loss would be paid as indirect loss?

The loss of income for the time the diner was closed

The insurance fraud act which facilitates detection of fraud requires investigation of fraud and sets penalties for fraud is also known as

The omnibus insurance fraud and reporting immunity act

Which statement is an accurate description of life insurance policy dividends

They are not taxable and not guaranteed

When does the federal emergency flood insurance program go into effect

When a community applies for the program

If a car is stolen and left in a snow bank, causin the radiator to freeze and sustain heavy damage is the damage covered by the auto policy

Yes, freezing exclusion is removed if the car is stolen

While engaged in a pick-up soccer game in the neighborhood park, the insured collides with another player, breaking his nose. Would the insured's homeowners medical payments cover the injury?

Yes, medical payments coverage also applied off the insured's premises

According the business property coverage form vacancy condition, if a policy is issued to the owner of the building the building will be considered vacant if what portion of square footage is unused?

70%

Which of the following insurance principles states that ambiguities in a policy will always be construed in favor of the insured

Adhesion

Under coverage c and at the request of an insured personal property of a guest or residence employee is covered

While it is in any residence premises occupied by an insured

In a personal auto policy, underinsured motorist coverage applies when?

You are injured in an auto accident with another motorist who is at fault but has limits of insurance that are not adequate to cover your medical expenses

Anthony has insured his dwelling under two fire policies if Anthony suffers a fire loss, what provision in the policies will prevent Anthony from collecting more than the actual amount of the fire damage

Apportionment clause

Which of the following would not be covered under the directors and officers liability coverage

Reimbursements for fines and penalties

Which of the following dwelling policies require insurance equal to at least 80% of the replacement value of the dwelling at the time of loss in order to provide replacement cost coverage?

DP2 and DP3

A policyholder believes that his company is committing insurance fraud. Which of the following is the right authority for investigating this matter?

Director

A HO has misplaced some of her insured personal property and has no idea what may have happened to it. Which HO policy form would cover such a loss?

HO-5

Under coverage B a homeowners policy provides coverage for other structures on the residence premises. Which of the following statements is Not true of this coverage?

Any loss paid under Coverage B reduces the coverage A limit of liability

Which of the following is not an example of the company's location of incorporation

Authorized

The equipment breakdown coverage form provides coverage for all of the following except

Bodily injury liability

The obligation to a compensate injured workers without regard to fault or negligence is known as?

Absolute liability

Which of the following would be added for coverage under a property policy by an endorsement

Additional insured's

Coverage B-personal and advertising injury liability responds to claims arising from

Suits alleging infringement of a copyright

Under a commercial general liability policy which of the following is not considered mobile equipment

An automobile used as a company car by a real estate company

The second injury fund will pay the benefits in which of the following situations

An employee with a previous injury suffers a second injury that causes the disability to be more serious

A scheduled personal property endorsement will be used to insure?

Higher limits of coverage for fine arts items

Under the employee theft coverage when a covered employee is found to have participated in a dishonest act the coverage for that employee will termninate

Immediately

When reviewing a standard workers compensation and employees liability policy, the limits of coverages are described in part one of the policy. The dollar limits of the benefits provided are stated

In the state workers compensation law itself

With respect to the commercial package policy, an inter line endorsement is one that

May apply to more than one line of insurance that is included in the package

What coverage form in the Farm policy insures equipment on an open peril basis?

Mobile agriculture machinery and equipment

A liability insurance policy that covers all claims arising out of incidents occurring during the policy period, regardless of whether the policy is still in effect at the time that the claim is made is called?

Occurrence policy

The individual named insured endorsement offers liability coverage to the sole proprietor of a business and his or her family members. Which coverage is also provided under the individual named insured endorsement of a commercial auto policy for owned passenger vehicles and no owned autos?

Physical damage coverage

Which of the following is not available in a package policy

Professional liability

The equipment breakdown coverage from values loss on

Replacement cost basis

Which of the following statements is correct regarding the debris removal coverage under the BOP?

The insured's limit of liability is 25% of the sum of the direct loss payment plus the deductible amount

What was the purpose of the Motor Carrier Act of 1980

To establish financial responsibility requirements for interstate motor carriers

The director intends to hold a public hearing to provide public with info related to the SC Wind and Hail underwriting Association. How many days of notice should she provide?

30

Space age rockets makes model rockets supplies and has 12 employees. The company is located in Atl, Ga. Ga has compulsory workers comp laws. Space age's owner thinks that his company is too small and unprofitable to carry the workers comp plan mandated by the state. Possible consequences of noncompliance includes all of the following except

Forced payment of billing for services rendered by any private insurer that binds coverage based on an employees request for coverage

For negligent liability to exist which is not a requirement

Intervening cause

The garage coverage form is written to cover the insurance needs of an insured in the business of selling repairing servicing or storing automobiles. Which of the following coverages are not included in a garage policy

Physical damage on a costumers auto

Policy limits are the maximum amount an insured may collect, or for which an insured is protected under the terms of the?

Policy

All of the following statements about a mutual insurance companies are correct except

Policy dividends issued by mutual companies are guaranteed and not taxable

Which of the following commercial auto coverage provides protection for most commercial auto exposures except truckers, garages, and motor carriers?

Business auto coverage

An insured rents out a bedroom in his residence for $50 a week. The residence is badly damaged by fire. During the 3 weeks required to repair the fire damage, the insured pays $900 in rent for a short term apartment and the renter is forced to find other accommodations. Disregarding any extra expense for meals, how much would a H0-3 will pay under coverage D?

$1050

Roger owned a grocery store and had a reporting form policy with a $100,000 limit for the stores inventory. The last report Roger submitted was during a slow period and showed a value of $50,000. The value increased to $75,000 and Roger failed to submit his next report when due. What is the maximum amount of coverage Roger has?

$50,000

With regard to HO section II, which of the following does not meet the definition of insured location?

A plot of farmland owned or rented by the insured

You are at fault in an auto wreck out of state, how does your company adjust

At least to the min required by that state

A personal umbrella policy may act as excess over any of the following insurance coverage policies except

Auto collision coverage

In a DP-1 if the insured elects to apply Coverage B to a detached garage, coverage A will

Be reduced by 10%

An audit revealed the administrator for a pension plan has made investments that were not consistent with the risk tolerance set forth in the plan for its members. The earnings for the past year are substantially below the average for comparable funds. The governing board wants to take action against the administrator. What type of commercial liability would the board need to provide for this risk?

Fiduciary liability policy paid by the pension fund

Which of the following describes an insurers responsibility for payment, under a policy, as stated in the common policy provisions?

Limits of liability

Which endorsement when added to the personal auto policy alters the definition of covered auto to include motor homes golf carts or motorcycles

Misc type vehicles endorsement

What are the two sources for workers compensation insurance?

Monopolistic state fund and competitive market

An insurance company that is owned by its policyholders is a

Mutual insurer

An insured's child ran into a neighbors planet on his bicycle and broke the planter and ruined the plants. The cost to replace the planter was $400 and the cost to replace the plants was $100. Which section of the insured's HO policy would pay?

Section II with no deductible

Which of the following entities becomes involved in the event of insurer insolvencies

The South Carolina life and Heath guaranty association

In liability policy with split limits of 25/50/25 which number is the max amount that would be payable in the event of damage to a persons property?

The amount of the 3rd number

If a licensee wants to transact insurance under a different name than that listed on the producers license, which of the following must occur?

The change must be reported to the director

Which of the following is false concerning liability coverage of a business auto polic

The company will reimburse the insured for all loss of earnings

A golfer slices a tee shot and the ball goes through the window of a house beside the fairway. The broken glass is paid for by

The golfers homeowners liability coverage