Casualty Exam

Extended non-owned coverage endorsement in a PAP broadens which of the following coverages?

Liability and medical payments

workers comp rating is developed by applying a rating bureau job classification rate to each

$100 on payroll.

What is the amount of deductible that applies to the per accident limit by the broad form products coverage endorsement in commercial auto policies?

$250

if an insurer plans to cancel a property insurance policy for nonpayment of premium, how mnay days notice must be given

10 days

when canceling an auto policy, how many advance must be given to the insured if the reason is something other than non payment

20 days

what is the basic limit for costs incurred at the place a vehicle is disables provided by the towing and labor costs endorsement?

25

Coverage for medical payment under a personal auto policy applies to expenses following a covered accident that are incurred and services rendered within what max time period?

3 years

how much notice to the insured is required when non-renewing and canceling an auto policy

30 days

in the event of theft of a covered vehicle, transportation expenses coverage in a personal auto policy will cover the expenses after

48 hours

With respect to auto insurance, the term owned autos includes all of the following EXCEPT

A pickup or van titles to and used in the named insureds business

Which of the following statements is true regaurding the premium computation for workers comp insurance.

A premium auditor has the right to examine the insurance comp records at the end of the policy period

With respect to the personal auto policy, which of the following vehicles could be classified as a nonowned auto?

A vehicle that is titles to another person but is being used with permission by an insured.

Which of the following would be considered an insured under a business auto coverage form?

Anyone while using with permission

Which of the following would be covered under the garage liability coverage form?

Insured business premises.

Crews of Ships are covered by the

Jones Act (FELA)

Which rating method provides an insurer with that portion of a rate that does not include provisions of expenses (other than adjusting expense) or profit and is based on historical aggregate loss and loss adjustment expenses projected through development to their ultimate value and through trending to a future point in time?

Loss costs rating

Symbol 2

Owned autos only

symbol 5

Owned autos subject to no-fault

If a court ordered payment for a loss that was not covered in the policy even if it was clearly worded, it would be an example of which legal concept?

Reasonable expectations

The broad form products coverage endorsement in commercial auto policies does which of the following?

Removes the defective products exclusion

what is the deductible of a personal liability umbrella policy called

SIR

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Specifically described autos

in the event of a claim under a commercial general liability policy, the insured has all of the following duties to the insuer except

Submititng a medical exam

A passenger in a friends car is injured while getting into the car. Who pays?

The drivers policy would be primary.

Shipbuilders and repairers are covered by the

U.S. Longshore and Harbor Workers Compensation Act.

All of the following are supplemental payments included in the liability section of a personal auto policy except?

Up to 100 for the cost to secure the release of a vehicle from impoundment.

In forming an insurance contract, when does acceptance usually occur?

When an insurer's underwriter approves coverage

An automobile that is owned by multiple individuals who are not spoused or in the same househole may be insured under a personal auto policy if

a joint ownership coverage endorsement has been added.

In a personal auto policy, the medical payments coverage is similar to

accident insurance because it pays medical expenses regardless of fault.

If an insurance company makes a statement that its policies are guaranteed by the existence of the Insurance Guaranty Association, that would be considered

an unfair trade practice

Symbol 1

any auto

how are the state insurance guaranty associations funded?

by their members

workers comp laws provide all of the following types of benefits except

comp benefits

The designation symbols used in commercial auto policies can be found in which policy section?

covered auto

an insurer decides to change its premium rates, which of the following entities must approve chane

director

if there is a complaint regaurding an insurer and the matter can be cleared by looking at a record who conducts the investigation?

director

which of the following entites protects policy owners, insures, and beneficiareis under contracts when insurers fails to perform

insurance gauranty association

the part of the insurance contract that describes the covered perils and the nature of coverage of the contractual agreement between the insurer and the insured is called the

insuring agreement

If an employer in a state with elective workers compensation laws chooses not to be subject to those laws, what does the employer lose?

its commone law defenses against liablity suits

Which of the following personal auto coverages would pay for the insureds travel expenses and loss of earnings while involved in a settlement process of a covered loss?

liability coverage

An insured is driving her automobile and strikes a large pothole. What pays for her repairs

loss is not covered.

A common exclusion found under physical damage to your auto includes

mechanical breakdown

Which of the following is not included in the definition of an auto under a commercial auto policy?

mobile equipment

which of the following would not be covered under the liability section of a personal auto policy?

negligence on a three wheel terrain

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non owned autos only

While an insured was towing a utility trailer with his auto, the trailer came loose and ran into a store front. What part of the insured's auto policy would pay for the damage to the store?

property damage liability

All of the following are considered parts of the policy structure except

provisions

What type of information would be found in a policy's insuring agreement?

renewal dates

In order to be covered by the U.S. Longshore and Harbor Workers Compensation Act, a worker must meet the requirements of the

situs and status test

when an employee benefit plan pays the preimum for a fiduciary liability policy, what provisions must be included

subrogation

how surety bonds are different from insurance

surety bonds gaurentee specific duties or obligations will be filled and insurance pays for losses

which of the following may not be included in an insurance companys advertisement

that its policies are covered by a state gauranty association.

Under the workers compensation system, who is responsible for the expenses resulting from work-related injuries and occupational diseases?

the employer, regaurdless

All of the following conditions must exist for injury or damage to be included in the products and completed operations hazard of a commerciL GENERAL LIABILITY POLICY EXCEPT

the injury or damage must occur within 90 days after the insureds work is completed.

According to the standard workers comp and employer liability policy form, a state should be listed in part three other states insurance of the workers comp and employers liability policy when

the insured expects to extend operations to that state

All of the following is true regarding physical damage coverage except

the limit of liability is the greater of the actual cash value

What is the purpose of the miscellaneous type of vehicle endorsement in personal auto policies?

to expand the definition of a covered auto to include various motorized vehicles.

Prior to state-directed workers compensation statutes being enacted, employees had

to sue employer for the loss and prove that the employer was at fault

Under the business auto coverage form, mobile equipment is covered for liability insurance

when being carried or towed by a covered auto.

When other insurance is written on the same basis as a Commercial Property policy, what is the insurer obligated to cover?

a share of the loss

which of the following defenses attests that if a person recognizes and understands that there is danger involved in an activity and voluntarily chooses to encounter it, he or she may be barred from seeking recovery for injuries due to negligence?

assumption of risk

which of the following special liability coverages will provide protection to managers of a corporatiob for claims arising from a wrongful act commited by the manager while in an offical capacity

directors and officers liability

States with monopolistic state workers compensation funds

do not allow private insurers to be licensed to write workers comp coverage

Which endorsement under the commercial auto policy provides the insured's employees additional protection while using a vehicle not owned, hired, or borrowed for the insured business?

employees as insureds

If the premium charged for a particular insured is increased or decreased for a future period based on that insured's loss experience for a period in the recent past, the policy uses a(n)

experience rating plan

which federal act provides benefits to injured civilians who are employee by the federal government

federal employees comp act

which of the following is not true regaurding a certificate of authority

it is issued to group insurance participants

all of the following are true regarding a certificate of insurance except

it must include the policy and its endorsements

Losses caused by continuous or repeated exposure to conditions resulting in injury persons or damage to property that is neither intended nor expected is the definition of which of the following terms?

occurence

a bond is written for a set limit and the surety will be liable only for this amount of the limit. This limit is known as

penalty

B&B Market was sued when an employee detained a person he believed to be a shoplifter, but the person turned out to be the meter reader. Which coverage would apply to this suit?

personal and advertising injury liability

If a person is using an auto with the belief that he is entitled to do so, subrogation rights under a personal auto policy would apply to all coverages EXCEPT

physical damage

If a person is using an auto with the belief that he is entitled to do so, subrogation rights under a personal auto policy would apply to all coverages except?

physical damage

workers compensation status requires employees to meet capital reserves requirements sufficient to pay any claims that might arise. employers can meet such obligations through all of the following excepts

second injury funds

As defined in commercial auto policy forms, mobile equipment includes all of the following types of land vehicles EXCEPT

self-propelled vehicles used for snow removal

an insurer may cancel an auto policy in all of the following situations except

the names insured was convicted of driving under the influence 42 months earlier (36 months prior).

All of the following statements concerning liability coverage are true except

the policy holder can sue the insurer whether or not all conditions and provisions of the policy have been met.