Sim Test Questions Pt.2

pay dividends to the policyowner

A participating insurance policy may do which of the following?

Appraisal

A policy condition that stipulates how much the amount or lost property will be determined if the insured and the principal do not agree on the value of a property loss is known as this

Coverage by endorsement

In dwelling policies, automatic increase in insurance is

blanket

a policy that insurers all property at multiple locations for a single amount is referred to as this

Waiver

an insurance company receives an application with some information missing and issues the policy anyway, what is this called

$1000

antennas, towers, and satellite dishes attached to the dwelling are covered under Coverage A, but have a special limit of insurance for this amount in any 1 occurrence

bailee form

covers customers' property whether or not the insured has been negligent

30 days

if an insurer is cancelling a policy for any reason except nonpayment of funds, the insurer must give the mortgage holder at least this many days notice following businessowners policy Section I

Replacement cost at the time of the loss, less depreciation

in property insurance, actual cash value is defined as this

$2000

maximum fine for misrepresenting the terms of a policy upon conviction

claims-made form

requires that the loss occur after the retroactive date and the claim be reported before the expiration date of the coverage if the policy is to respond

Utmost good faith

the insurer must be able to rely on the statements in the application and the insured must be able to rely on the insurer to pay valid claims

Property and liability

the limited fungi, wet or dry rot, or bacteria coverage endorsement applies to which type of losses

for inspections and examinations

the major portion of the premium for an equipment breakdown policy pays for what

definitions

the part of a policy that clarifies terms in the policy is this

Agreed value, inflation guard, replacement cost

these are coverages that are built into the condominium association coverage form and may be activated by an entry on the dec page

Accounts receivable coverage form

this form reimburses the insured for amounts that can't be collected from customers due to damage to the company's records

Replacement cost

this is a method of loss valuation that is contrary to the basic concept of indemnity because following a loss it may provide the insured with a settlement in excess of the property's actual cash value

a share of the loss

when other insurance is written on the same basis as a commercial property policy, the obligation of the insurer is to cover what

Privilege to adjust with the owner

which inland marine coverage condition says that an insurer will settle with the actual owners of property involved in a loss