Commercial Property Policies

What is the maximum amount an insurer will pay under the equipment dealers pollution cleanup and removal extension of an inland marine policy?

$10,000 for all expenses incurred during a 12-month period

The insured purchased a $200,000 Extra Expense Policy. If the percentages applying to the limit of insurance are 40%, 80%, and 100%, what would be the maximum payable for a 47-day loss?

$160,000

Equipment breakdown coverage is written with a single limit of insurance per accident. What is the sublimit for hazardous substance cleanup or repair or replacement of contaminated property?

$25,000

Under Coverage C of a farm policy, what is the limit payable on business property located away from the premises?

$500

Farm fences (except field and pasture fences) are covered by which farm coverage form?

Coverage G

All of the following are excluded in the equipment breakdown basic policy except

Explosion of steam boilers

When does the coverage begin under the builders risk form?

On the date construction starts

An insured's accounts receivable records have been damaged. The loss may be covered with

The accounts receivable coverage form

The type of insurance used to cover goods for one specific trip is called

Trip transit

A property insurance policy that insures a commercial building on a replacement cost basis includes the ordinance or law coverage endorsement. this endorsement will cover all of the following expenses except

ordinance with which the insured was required to comply prior to the loss

Under businessowners policy Section I, if an insurer wants to nonrenew a policy, how many days before the expiration date must the insurer notify the mortgageholder?

10 days

A business owner has a building and personal property policy that covers a shed in which he stores extra parts. If he buys a second shed for the same purposes, this will be automatically covered for how long?

30 days

Coverage under the Builders Risk form will end in all of the following situations EXCEPT

60 days after the construction has ended

Coverage F - Unscheduled Farm Personal Property is subject to a coinsurance clause of

80%

Professional photographers and musicians may insure their equipment with

A commercial articles floater

In which of the following situations would the jewelers block extension cover a loss?

A jeweler fixes a necklace and sends i by registered mail to the owner. When the necklace arrives, it has been damaged.

What are common carriers required to issue to every shipper that it transports goods for?

A uniform bill of lading

Which coverage form would provide coverage for all incoming and outgoing shipments?

Annual transit

Which of the following is not covered under accounts receivable coverage form?

Any loans required to offset uncollectible amounts

An installation floater is used to insure

Appliances intended to become a permanent part of the building

In equipment breakdown coverage, all accidents would be considered a single accident if they occur

At a single location at the same time and from the same cause

According to the common policy conditions for a commercial package policy, if the insured dies, the policy rights and duties

Automatically transfer to a legal representative

Which inland marine form would provide the best protection for a dry cleaning company against loss or damage to their customer's property while in the care, custody, and control of the dry cleaners?

Bailee's customer policy

Which of the following is not found in a commercial package policy?

Certificate of authority

All of the following are classes of inland marine risks except

Common carrier cargo liability

A builder's risk form is most often written as which of the following?

Completed value form

An individual's construction company leaves mobile equipment and construction machinery on the job site until he project is completed. What could this individual use to insure it?

Contractors equipment floater

A farmer is remodeling his 100-year-old farmhouse. He is in the process of painting the porch and hanging shutters. He keeps his ladder, paint, and other materials used to remodel his home under the porch. Which of the following provides coverage for his remodeling materials?

Coverage A

In a farm policy, which of the following coverages would reimburse the insured for loss of rental income following damage to the insured dwelling by an insured peril?

Coverage D

A unique feature in a bailee form is that it covers

Customers' property whether or not the insured has been negligent

The commercial property declarations page contains which of the following information?

Descriptions of the property insured

The legal liability coverage form provides coverage for damages for which the insured is legally liable arising from

Direct physical damage to property of others in the insured's care

Individuals in the business of selling construction equipment and mobile equipment should insure with a/an

Equipment dealers coverage form

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

For inspections and examinations

Which of the following statements concerning the builders risk coverage form is correct?

It may be written on a reporting form for the completed value of the structure

According to the Nationwide Marine definitions, risks that may be the subject of inland marine insurance include all of the following except

Large pleasure boats

All of the following are exclusions under farm property coverage except

Loss of use

What is not a consideration when paying an inland marine claim?

Market value when the property was first purchased

Which of the following will be covered by the contractors equipment floater in an unfiled inland marine insurance?

Mobile equipment during transportation to and from the job site

A business using its own trucks to move its own cargo would insure the cargo using

Motor truck cargo - owners form

The livestock coverage form covers which of the following losses?

Named peril coverage for death of livestock

A loss has occurred before the first report has been filed on a value reporting coverage form. Which is NOT true?

Never more than 75% of the loss is paid

HMS Toys carries more inventory from October 1 to December 31. Which of these would provide higher coverage limits during those months and lower limits the rest of the year?

Peak season

All of the following property is insured under Coverage A of a farm policy except

Personal lawnmower of a tenant used to service the described location

Valuable papers and records form provides coverage for the reconstruction of all of the following types of records except

Prepackaged software

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

Privilege to adjust with the owner

Which inland marine coverage condition states that payment of any claim will not reduce the limit of insurance, except in case of a total loss on a a scheduled item?

Reinstatement of limit

All of the following are additional causes of loss included in the broad form of a commercial property policy except

Replacement cost

Which item would not be covered under building coverage in a building and personal property policy?

The bulldozer being used as part of a business addition under construction that is parked 500 feet from the building

When a regular bill of lading is issued, who will be responsible for the invoice cost of any damaged property?

The carrier

The common policy condition is a modular part combined with other parts to create the contract. The common policy condition section contains provisions that are applicable to all lines of coverage that may be included in the policy. Which of the following provisions would be found in the common policy conditions section of the policy?

The first named insured may cancel the policy at any time by giving written notice to the insurer

Which of the following statements is not true regarding mobile agricultural machinery and equipment coverage?

This coverage must be written as part of farm coverage

Farm policy Coverage B - Structures would pay how much for loss of an outside antenna, tower, or satellite dish?

Up to $1,000

Personal business property out in the open is covered under commercial property policy only while

Within 100 feet of the described premises

A commercial package policy (CPP) allows the insured to select the coverage needed and customize the policy to meet the needs of the insured's business. In a CPP, the business owner may select from all of the following types of coverage except

Workers compensation coverage