Chapter 6 - Personal Auto Policy
Transportation Expenses Coverage pays
$20 per day, up to $600, for transportation expenses incurred due to total theft of the covered auto. Coverage begins 48 hours after a theft.
Policyholder J hit a deer with his Honda. J has collision coverage with a $250 deductible and Other Than Collision coverage with a $50 deductible. The damage to J's car was $450. How much will the policy pay?
$400
The following is excluded under Part A of the Personal Auto Policy
- Damage caused by a vehicle designed mainly for off road use - Use of a non-owned vehicle without permission - Intentional damage caused by the insured
The Limited Mexico coverage provides coverage for how many miles into Mexico?
25 miles and also applies if the insured's visit to Mexica is for 10 dats or less
Under medical payments coverage, how long after an accident does the insured have coverage for resulting medical expenses?
3 years
Transportation Expenses coverage under the Personal Auto Policy begins how long after a covered auto has been stolen?
48 hours
Under Uninsured Motorist Coverage of the Personal Auto Policy, which of the following would be an insured?
A family member, occupying an insured auto struck by an uninsured vehicle
Under the Personal Auto Policy, Medical Payments coverage is provided for which of the following?
A passenger while occupying the covered auto
Under the Personal Auto Policy, medical payments do not apply to passengers occupying which of the following?
A van used in the insured's business in the course of employment
Which of the following is covered under a Personal Auto Policy?
A vehicle driven with permission by an unlicensed driver
The Personal Auto Policy would not provide coverage for which of the following?
A vehicle with fewer than four wheels or designed for off-road use, except under certain circumstances
Which of the following is not a valid reason to cancel a personal auto policy after the first 60 days of coverage?
Claims history
Which of the following damages would be covered under the Liability Coverage of the Personal Auto policy?
Damage caused to a rented garage by the insured auto
Which of the following claims would be covered by Collision Coverage under Part D of the Personal Auto Policy?
Damage to the insured auto's bumper when the auto crashed into a tree
Regarding Medical Payments under the Personal Auto Policy, the liability limit shown in the Declarations is the maximum the policy will pay for which of the following?
Each person injured in any one accident
Which statement is true of medical payments in a Personal Auto Policy?
Expenses for medical services sustained by the insured are covered Coverage applies to any occupant of the insured vehicle and also to members of the insured's household as pedestrians when struck by a motor vehicle or as an occupant of another person's vehicle.
Which of the following statements regarding the Part A limit of liability under the Personal Auto Policy is FALSE?
If the loss is covered under more than one Part of the policy, payment will be duplicated
Coverage for recreational vehicles can be added to the Personal Auto Policy by the:
Miscellaneous Type Vehicle Endorsement
Which of the following vehicles is covered by Liability coverage under the Personal Auto Policy?
Non-owned golf cart
The Personal Auto Policy applies:
Only in the U.S., its territories, Canada, and Puerto Rico
While driving in another state with higher coverage requirements, which of the following sections of the PAP automatically provides the required coverage?
Out of State Coverage
A temporary substitute vehicle is not a covered auto if used to substitute for which of the following?
Rental car
Which of the following is included in the Personal Auto Policy's coverage territory?
The U.S., its territories, Canada, and Puerto Rico
Which of the following statements about claim payment regarding a stolen vehicle is FALSE?
The U.S., its territories, Canada, and Puerto Rico
Which of the following is an insured's duty in the event of loss under the PAP?
The insured must cooperate with the insurer, promptly notify the insurance company of a loss, and immediately send legal papers to the insurer.
Which of the following claims would be insured under Uninsured Motorists Coverage?
The insured's resident son suffered severe injuries after being rear-ended by an uninsured driver
Under Part F of the Personal Auto Policy, which of the following is correct when there are two or more auto policies issued by the insurer on the same auto?
The maximum that will be paid is equal to the limit of the policy with the higher limit of liability
Uninsured Motorists Coverage provides
liability coverage for an uninsured vehicle involved in an accident with an automobile occupied by the insured or a family member. However, it provides no protection for the owner or operator of the uninsured auto.
To be eligible for coverage, a temporary substitute vehicle
may only be used in place of a vehicle described in the policy
A Personal Auto Policy defines insured as used in Part A as
the named insured or another person using the covered auto with permission, even if not licensed.
The Two or More Auto Policies provision of the Personal Auto Policy is intended to
to prevent the stacking of limits if more than one policy issued by the insurer applies to the same accident.
Towing and Labor Costs Coverage pays for
towing a mechanically disabled auto to a garage or for labor performed at the site of disablement.
