Practice Test Attempt #10

Super value store has a commercial general liability policy written with a general aggregate limit of $300,000 and an occurrence limit of $100,000. A customer injured on the premises was awarded $45,000 for medical expenses and loss of earnings, and $60,000 for pain and suffering. The court cost and attorney fees were $15,000. how much will the CGL policy pay?

$115,000

Insurers must update copies of its rates, plans, systems, and underwriting rules every?

2 years

The mail coverage form is always written on a reporting form basis; after the end of each reporting period shown in the declarations, reports are due within?

30 days

Agents, subagents, and counselors are required to maintain records of all insurance transactions for what time period?

5 years

In a participation plan, the insured may be eligible for which of the following?

A partial premium refund

In which of the following types of property valuation will the policy pay the full value as specified on the policy schedule, regardless of the insured property's appreciation or depreciation?

Agreed value

Which of the following may be covered by electronic data processing coverage form under an inland marine policy?

All of these are covered

Additional coverages in the liability section of a homeowners policy cover all of the following EXCEPT?

Damage to a third-party property for which the insured is legally liable

All of the following statements describes the concept of strict liability EXCEPT?

It is imposed on defendants engaged in hazardous activities

All of the following are true of Coverage B - other structures in homeowners policies EXCEPT?

It must be added by endorsement to a homeowners policy

Which of the following liability exposures is most likely for a small specialty clothing retail boutique?

Premises liability exposure

Under the coverage of which of the following liability policies may an insured require the insurer to defend a claim?

Professional liability

A plasterer has finished a job. What kind of liability co

Completed operations

A bank manager has had several instances of employee dishonesty involving transfer of funds. His risk manager is researching the best coverage for this situation. Which bond rider should he recommend to the bank manager?

Computer systems rider