South Carolina Property & Casualty- questions
A producer must report to the director any conviction of the producer taken in any jurisdiction within how many days?
30 days
Under the HO-4 and HO-6 homeowners policy forms, property is insured against
Broad form perils
The business pursuits endorsement under Section II of a homeowners policy will cover all of the following EXCEPT
Business liability
And ensure neglects to pay a legitimate claim that is covered under the terms of policy. Which of the following insurance principles has the insurer violated?
Consideration
Which of the following statements is true concerning the special form dwelling policy?
Coverage A is for all-risk perils, and Coverage C is for the broad form perils.
Which of the following dwelling coverages with your vibe coverage to a garage not attached to the primary insured dwelling?
Coverage B
On a DP-3 dwelling property special form policy, the coverage provided for personal property is
The same as provided on the DP-2 Broad Form
The individual names insured endorsement under a commercial auto policy provides coverage for which of the following?
The sole proprietor of the business and his or her family members
A neighbor's tree has fallen into the insured's yard. The insured's homeowners policy will only pay to remove the tree if
The tree is blocking the driveway
The SC valued policy law is effective for which loss?
Total loss by fire
What is the major difference between government insurers and private insurers?
government programs are funded with taxes and serve national and state social purposes
Under the Fair Credit Reporting Act, if the consumer challenges the accuracy of the information contained in his or her report, the reporting agency must
respond to the consumer's complaint
Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?
3 days
Under additional coverages for homeowners policies, what is the maximum amount that can be charged to the insured for fire department services?
$500
What is the minimum age requirement for an insurer producer in this state?
18
An insured has a special form dwelling policy you were in for $100,000 on a dwelling,. The dwellings replacement cost is $115,000. Fire calls and $75,000 in damage to the dwelling, $15,000 damage to a separate garage, and kills 10 trees valued at $600 each. How much will the policy pay for the trees
$5,000
The broad theft coverage endorsement on the dwelling form specifies all of the following limitations EXCEPT
$1,000 on silverware
Anyone who willfully violates a cease and desist order can be fined up to
$100 per day
An insured has $5,000 of medical coverage on a personal auto policy at the time of a covered accident. The insured and two passengers are injured. Medical treatment costs $7,000 for the insured, $4,000 for the first passenger, and $8,000 for the second passenger. How much will the policy pay under medical payments coverage?
$14,000
What is the maximum penalty for habitual willful noncompliance with the Fair Credit Reporting Act?
$2,500
Tom's Truck Service's vehicle is stolen. The policyholder may obtain coverage for transportation expenses subject to which of the following limits?
$20 per day; $600 max
For auto policies with split limits of 25/50/25, what amount is required for bodily injuries to one person in a single accident?
$25,000
The insured's home is covered by an HO-3. Two years ago, the insured brought the home for $58,000. Today, it's replacement value is $60,000. How much Coverage A does the insured need to qualify for replacement cost coverage?
$48,000 (80% of value at date of loss)
How much coverage is provided under a homeowners policy for theft or unauthorized use of a credit card?
$500
An insured with a Homeowners policy has removed property from the insured location to protect it from loss that could be caused by a covered peril. The removal coverage applies for how many days?
30 days
How many days does a producer have to notify the department of a change of address
30 days
How soon must nonresident producers notify the states director of change of address?
30 days
A producer failed to complete the required continuing education credit hours for this compliance period, and allowed his license to lapse. Within what time period after the deadline may the license be reinstated?
6 months
Vandalism and malicious mischief would be covered if the insurance premises have been vacant for no more than how many days?
60
Assuming the insurer and the insured agree to the amount payable for a loss covered under a dwelling policy, how soon after the insurar has received proof of loss must it make payment?
60 days
Losses caused by vandalism and malicious mischief are excluded from coverage if a dwelling has been vacant for how many days?
60 days
Which of the following would be covered by the Broad theft endorsement on a dwelling policy
A camera the insured has with him on vacation
An insured couple owns a pontoon boat. Which situation would NOT be covered by their watercraft endorsement under their homeowners policy?
A friend rents their boat and runs it into a neighbor's dock.
What is a foreign insurer?
An insurer with a home office in another state
If an insurance company makes a statement that its policies are guaranteed by the existence of the insurance guarantee association, that would be considered
An unfair trade practice
Which of the following describes contributory negligence?
Any degree of negligence by the injured party may bar recovery
Under a personal auto policy, in which of the following locations would a vehicle primarily garages in California be covered?
Any other state
While an insured's covered auto is in the repair shop following damage caused by a collision, the insured would have coverage for which of the following vehicles under a personal auto policy?
Any vehicle not owned by the insured, but furnished for use while the covered auto is out of normal use because of repair
First aid costs for others injured on the insured's premises
Are paid in addition to the liability limit
Uninsured motorist bodily injury coverage pays for all of the following except
Down payment on a new vehicle
Which of the following provisions requires that the insured protects the damaged property from further damage, cooperates with the insurance settling the laws, and submits to the insurer signed proof of loss within a specified period of time?
Duties after loss
Which of the following are the authorities that agent can hold?
Express and implied
All the following are exclusions that apply in all three types of dwelling policies except
Fire or lightning
Which of the following losses would be covered by an unendorsed homeowners policy?
Fire or lightning
What insurance concept is associated with the names Weiss and Fitch
Guides describing company financial integrity
Which insurance principle states that is a policy allows for greater compensation in the financial loss in curd, the insured may also receive benefits for the amount lost?
Indemnity
When agents are acting within the scope of their contract, their actions will be assumed to be the acts of the
Insurer
The additional living expense coverage on homeowners polices
Is intended to allow the family to maintain its normal standard of living
The insurer may suspect that a moral hazard exist if the policyholder
Is not honest about his health on an application for insurance
Dwelling coverage includes all of the following except
Land on which the dwelling is located
What type of property would not be covered under the dwelling policy special form coverage a dwelling
Land on which the dwelling is located
An insurance organization that does not issue insurance policies but provides a meeting place for underwriters to conduct business is known as a
Lloyd's Association
A house insured under a dwelling policy has been Vnkett for 70 consecutive days. Which of the following statements is true?
Loss by vandalism and malicious mischief is excluded
Which of the following is not true concerning the fair rental value coverage provided an a dwelling policy?
Loss or expense caused by the cancellation of a lease is covered
Which of the following coverages is included in an unedited homeowners policy?
Medical payment to others
A home is insured under an HO-2 policy. The homeowner decides to replace the roof on the house. He wasn't able to complete the roof in one day and left a portion of it unfinished overnight. A heavy rainstorm caused $20,000 of damage to the interior of the house and some furniture. In this situation, the policy will pay
Nothing
Duties of the insurer found in property policy conditions include all the following except
Notify the insured in the event of financial difficulty.
Why don't commercial auto coverage forms automatically include medical payment coverage?
Often, any person occupying a commercial vehicle would be covered under a workers compensation policy
The insured's car was hit and damaged by a deer. Under which of the following coverages in a personal auto policy would this loss be paid?
Other-than-collision
What hazard would you be concerned about if you live next to an explosives contractor?
Physical
The other insurance provision that limits the liability of the insured to a portion of the laws no greater than the amount the ensurer bears to all the insurance covering the property is called
Pro rata liability
Under the personal auto policy, liability for bodily injury resulting from the insured's use of a nonowned automobile is
Provided by the insured's policy on an excess basis.
Which services are associated with Standard & Poor's and AM Best?
Rating the financial strength of insurance companies
What type of information would be found in a policies insuring agreement?
Renewal dates
When are insurers required to renew appointments?
September 30 of every even numbered year
Which of the following symbols is available to an insured with vehicles subject to no-fault coverage?
Symbol 5 covers owned autos subject to no-fault coverage
An apartment occupant's personal property would be insured under which homeowners form?
Tenant broad form (HO-4)
Which of the following may not be included in an insurance companies advertisement
That it's policies are covered by a state Guaranty Association
All of the following people would be considered insureds under the liability section of a homeowners policy EXCEPT
The 22-year-old niece of the insured who is visiting.
The contents coverage on a homeowners policy would pay how much after the loss of one of a pair of golden candlesticks?
The difference in the actual cash value as a pair and as a single
All the following are characteristics of the dwelling policy except
The dwelling must be owner-occupied
In which of the following situations would off-premises coverage and in a broad theft endorsement of the insured's dwelling policy apply
The insured camera is stolen from his suitcase while he is on vacation
A mortgage company is named as a loss payee on the insured's homeowner policy, under the standard mortgage clause. If the insured suffers a loss due to a fire, which of the following is true?
The loss is payable to the insured and the mortgagee
An insured's fire policy has been in force for over 120 days. For which of the following reasons may the insurer cancel the policy?
The producer photographed the wrong house; the insured's house would not pass the underwriting standards
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. In the forming of an insurance contract, this is referred to as
Utmost good faith
An insurance nine-year-old son throw a ball, accidentally breaking a neighbor's plate glass window. The insured was found legally liable for the cost of replacing the window. This is an example of
Vicarious liability
The limits for uninsured motorist coverage are established
When the auto policy is purchased
When are the limits for uninsured motorist coverage set?
When the coverage is purchased
Once the director issues a cease and desist order, how soon must an insurer comply with the order?
Within 30 days
Which of the following would NOT be covered by medical payments to other in Section II of your HO policy?
You cut your leg while whacking weeds in your backyard with your neighbor's weed whacker
Claim related expenses, reasonable expenses incurred by an insured to protect damaged property from further loss, or defense expenses are covered by which part of the policy?
additional coverage
If an insurance company wishes to order a consumer report on an applicant to assist in the underwriting process, and if a notice of insurance information practices has been provided, the report may contain all the following information except the applicants
ancestry
What is the legal defense that can be used in most states in which proportionate damages may be awarded when both the plaintiff and defendant were negligent?
comparative negligence
An applicant knowingly fails to communicate information that would help an underwriter make a sound decision regarding coverage. This is an example of
concealment
In which of the following sections of a commercial auto policy will you find specific info about the policy period?
conditions
Which of the following includes information regarding a person's credit, character, reputation, and habits?
consumer report
Which of the following reports will provide the underwriter with the information about an insurance applicants credit?
consumer report
Which of the following best describes an insurance company that has been formed under the laws of the state?
domestic
The authority granted to an agent through the agents contract is referred to as
express authority
An applicant is denied insurance because of information found on a consumer report. Which of the following requires that the insurance company supply the applicant with the name and address of the consumer reporting company?
fair credit reporting act
The reduction, decrease, or disappearance of value of the person or property insured in a policy by a peril insured against is known as
loss
What is the name for the type of property damage coverage that protects the insured or the covered auto in an accident with someone who does not have coverage?
uninsured motorist
Liability imposed on one party as a result of the actions of another person is known as
vicarious liability
