Section Review Question Ch 1-5
Which section of a property policy requires the Insured to submit a sworn proof of loss form? Select one: a.insuring agreement b.declarations c.conditions d.exclusions
Chapter 3: Policies are Contracts The correct answer is: conditions
A binder is: Select one: a.a policy of insurance b.confirmation of temporary insurance
Chapter 3: Policies are Contracts The correct answer is: confirmation of temporary insurance
An Insurer's required assignment of rights of recovery after paying a claim is: Select one: a.risk b.salvage c.subrogation d.coinsurance
Chapter 4: Typical Property Policy The correct answer is: subrogation
The liability policy may cover each of the following except: Select one: a.Bodily injury coverage (BI) b.Personal Injury Liability (PI) c.Supplementary Coverage d.Intentional Acts
Chapter 5: Liability Insurance Basics The correct answer is: Intentional Acts
Each of the following provides coverage over and above the policy limit EXCEPT: Select one: a.Preservation of Property b.Fire Department Service Charge c.Debris removal
Key words "over and above." Chapter 4: Typical Property Policy The correct answer is: Preservation of Property
The Other Insurance Clause: Select one: a.prohibits other insurance on the same property. b.allows more than one person to be insured under the policy. c.allows coverage for catastrophic losses. d.upholds the principle of indemnity.
The "Other Insurance Clause" prohibits stacking by the Insured who might try to collect in full under multiple policies. This prevents the Insured from coming out ahead. So, we can then say that the "Other Insurance Clause" upholds the principle of indemnity by preventing the double recovery. Chapter 2: Property and Casualty Key Terms The correct answer is: upholds the principle of indemnity.
Which section of the policy contains the Insurer's obligation to repair, replace or pay? Select one: a.Declaration b.Exclusions c.Insuring Agreements d.Conditions
The Insuring Agreement contains the Insurer's obligation which is the promise to pay covered claims. Chapter 3: Policies are Contracts The correct answer is: Insuring Agreements
A tenant is wrongfully evicted. This is an example of: Select one: a.bodily injury b.personal injury
"Wrongful entry or eviction" is a Personal Injury covered under Part B of the CGL. Chapter 5: Liability Insurance Basics The correct answer is: personal injury
Which is a hazard? Select one: a.a collision b.a flood c.a slippery road d.a fire
A hazard increases the likelihood of a peril occurring - the slippery road does that. The others are all perils which actually cause the loss. Chapter 3: Policies are Contracts The correct answer is: a slippery roa d
Chance of a windstorm causing a loss to one's property is: Select one: a.uninsurable b.hazard c.peril d.risk
A windstorm is a peril. The chance of a windstorm occurring is a risk. Chapter 1: Introduction to Insurance The correct answer is: risk
Which section of the policy requires the insured to assume a stated amount of the loss? Select one: a.Deductible b.Risk
All of the legal trivia that you have never heard of is in the big section of the policy, the CONDITIONS section. Chapter 2: Property and Casualty Key Terms The correct answer is: Deductible
A policy may be voided due to each of these EXCEPT: Select one: a.fraud b.failure to file a proof of loss form c.increase in the hazards d.failure to pay premiums
An Insurer may cancel a policy due to a substantial increase in the risk. Thus, it could cancel due to an "increase in the hazards." However, an Insurer has no right to cancel a policy due to a mere failure to file a proof of loss form. The Insurer may refuse to pay that claim but can't cancel the policy. Chapter 4: Typical Property Policy The correct answer is: failure to file a proof of loss form
An assignment must be: Select one: a.agreed to in writing by the insurer. b.agreed to prior to a property loss. c.approved by the state insurance commissioner. d.notarized.
An assignment is an agreement to transfer coverage or benefits under a policy. The assignment must be written and agreed to by all parties. Chapter 2: Property and Casualty Key Terms The correct answer is: agreed to in writing by the insurer.
Insurable interest and actual cash value are both related to: Select one: a.Indemnity b.Law of Large Numbers c.Speculative risk d.Peril
Both serve to make the Insured whole but to not allow the Insured to come out ahead. By requiring an insurable interest, we prevent the Insured from insuring property owned by others. By only paying ACV, we keep the Insured from coming out ahead by getting "new for old." Chapter 4: Typical Property Policy The correct answer is: Indemnity
The limit payable for all losses in a policy year is the: Select one: a.occurrence limit. b.aggregate limit
Chapter 5: Liability Insurance Basics The correct answer is: aggregate limit.
Negligence is determined by: Select one: a.how the accused has acted in the past. b.how a reasonable person would have acted under the circumstances.
Chapter 5: Liability Insurance Basics The correct answer is: how a reasonable person would have acted under the circumstances.
"Bodily injury" includes each of the following except: Select one: a.death b.personal injury c.pain and suffering d.disease
Chapter 5: Liability Insurance Basics The correct answer is: personal injury
An electrical interruption causes a business to temporarily close. The electrical interruption is known as the? Select one: a.catastrophe b.proximate cause
Chapter 5: Liability Insurance Basics The correct answer is: proximate cause
Liability insurance is a: Select one: a.two party contract with payment to a third party. b.three party contract with payment to the insured.
We can say it both ways. It is a two-party contract with payment to a third party or it is a three-party contract with payment to a third party. But it doesn't pay the Insured! Property policies pay the Insured. Liability policies pay the third party - the victim. Chapter 5: Liability Insurance Basics The correct answer is: two party contract with payment to a third party.
Indemnification is: Select one: a.making whole. b.making a profit.
Chapter 1: Introduction to Insurance The correct answer is: making whole.
Uncertainty of future outcomes is: Select one: a.insurance b.risk
Chapter 1: Introduction to Insurance The correct answer is: risk
The primary concept behind insurance is: Select one: a.transfer of risk b.risk elimination
Chapter 1: Introduction to Insurance The correct answer is: transfer of risk
Risk is the: Select one: a.cause of the loss b.uncertainty or chance of loss
Chapter 1: Introduction to Insurance The correct answer is: uncertainty or chance of loss
Prior to issuing the policy, the agent may provide evidence of temporary insurance. This is a: Select one: a.binder b.endorsement
Chapter 3: Policies are Contracts The correct answer is: binder
Which section of the policy requires the Insurer to provide coverage? Select one: a.Conditions b.Exclusions c.Declarations d.Insuring Agreements
This is the Insurer's promise to pay the claim, which is part of the Insuring Agreements. Chapter 3: Policies are Contracts The correct answer is: Insuring Agreements
Which of the following is considered to be a "participating" Insurer? Select one: a.a government insurer b.a stock insurer c.a mutual insurer d.a fraternal insurer
A mutual is a "participating" insurer because the policyholders participate in the profits. Chapter 1: Introduction to Insurance The correct answer is: a mutual insurer
Indemnity is: Select one: a.coming out ahead b.making whole
Chapter 1: Introduction to Insurance The correct answer is: making whole
Under the Other Insurance Clause, if the Insured is covered by two policies, what will happen if a loss occurs? Select one: a.Each policy must pay in full. b.Each policy will pay a part of the loss.
Chapter 2: Property and Casualty Key Terms The correct answer is: Each policy will pay a part of the loss.
A written document providing evidence that coverage is in effect and which summarizes the coverage is known as: Select one: a.a certificate of insurance b.an application
Chapter 2: Property and Casualty Key Terms The correct answer is: a certificate of insurance
The insured cancels a policy half way through its term yet receives less than a 50% refund. This is: Select one: a.a short-rate refund b.fraud
Chapter 2: Property and Casualty Key Terms The correct answer is: a short-rate refund
To prevent recovery beyond the amount of the insured's actual loss, the policy will contain: Select one: a.an Other Insurance Clause b.a Coinsurance Clause
Chapter 2: Property and Casualty Key Terms The correct answer is: an Other Insurance Clause
One who can lose financially in the event of a loss has: Select one: a.an insurable interest b.a moral hazard
Chapter 2: Property and Casualty Key Terms The correct answer is: an insurable interest
The deductible: Select one: a.decreases the insurer's losses. b.increases the Insurer's administrative expenses.
Chapter 2: Property and Casualty Key Terms The correct answer is: decreases the insurer's losses.
Deductibles: Select one: a.eliminate large claims and increase administrative expenses. b.eliminate small claims and reduce administrative expenses.
Chapter 2: Property and Casualty Key Terms The correct answer is: eliminate small claims and reduce administrative expenses.
The limit of liability in a policy refers to the extent of the: Select one: a.deductible. b.insurer's liability.
Chapter 2: Property and Casualty Key Terms The correct answer is: insurer's liability.
Q sold a building but did not cancel the policy. The building was later destroyed by a covered peril. Q will not collect under the policy due to: Select one: a.lack of insurable interest. b.the coinsurance clause.
Chapter 2: Property and Casualty Key Terms The correct answer is: lack of insurable interest.
The cause of the loss is: Select one: a.peril b.risk
Chapter 2: Property and Casualty Key Terms The correct answer is: peril
Cancellation involves: Select one: a.the insurer's refusal to continue the coverage at the end of the policy term. b.termination by either the insurer or insured during the policy term.
Chapter 2: Property and Casualty Key Terms The correct answer is: termination by either the insurer or insured during the policy term.
The insurer's exposure under a policy is restricted by: Select one: a.the Limit of Liability. b.reserve requirements.
Chapter 2: Property and Casualty Key Terms The correct answer is: the Limit of Liability.
The limit of liability is the maximum amount that: Select one: a.the insurer will pay for all losses in a particular state in a given year. b.can be charged for a policy premium. c.the insured can collect for any one loss. d.can be charged for a deductible.
Chapter 2: Property and Casualty Key Terms The correct answer is: the insured can collect for any one loss.
A peril is: Select one: a.any factor which increases the likelihood of a loss. b.the proximate cause of the loss.
Chapter 2: Property and Casualty Key Terms The correct answer is: the proximate cause of the loss.
The rules of conduct between the Insurer and Insured are set forth in which section of the policy? Select one: a.Exclusions b.Insuring Agreement c.Declarations d.Conditions
Chapter 3: Policies are Contracts The correct answer is: Conditions
To collect on a loss, the Insured must comply with the procedures set forth in the? Select one: a.Declaration b.Conditions c.Exclusions d.Insuring Agreements
Chapter 3: Policies are Contracts The correct answer is: Conditions
Which section of the policy contains the Insured's right to bring legal action against the Insurer? Select one: a.Declaration b.Exclusions c.Conditions d.Insuring Agreements
Chapter 3: Policies are Contracts The correct answer is: Conditions
Which section of the policy contains the cancellation provisions? Select one: a.Conditions b.Exclusions c.Insuring Agreements d.Declaration
Chapter 3: Policies are Contracts The correct answer is: Conditions
Which section of the policy may require the Insured to use the claim payment to replace the destroyed property? Select one: a.Insuring Agreements b.Declaration c.Conditions d.Exclusions
Chapter 3: Policies are Contracts The correct answer is: Conditions
Which section of the policy specifies the Insured's responsibilities? Select one: a.Conditions b.Exclusions c.Declaration d.Insuring Agreements
Chapter 3: Policies are Contracts The correct answer is: Conditions
Which section of the policy contains the premium? Select one: a.Conditions b.Exclusions c.Declaration d.Insuring Agreements
Chapter 3: Policies are Contracts The correct answer is: Declaration
Which policy section should the Insured check to determine if a particular coverage is provided in a named peril policy? Select one: a.Exclusions b.Insuring Agreements c.Declaration d.Conditions
Chapter 3: Policies are Contracts The correct answer is: Insuring Agreements
Which section of the policy contains the covered perils? Select one: a.Conditions b.Declaration c.Insuring Agreements d.Exclusions
Chapter 3: Policies are Contracts The correct answer is: Insuring Agreements
Concealment involves intentionally hiding: Select one: a.an immaterial fact. b.a material fact.
Chapter 3: Policies are Contracts The correct answer is: a material fact.
Which of the following is considered to be part of the policy? Select one: a.application b.proof of loss form c.premium d.insured
Chapter 3: Policies are Contracts The correct answer is: application
A proof of loss form: Select one: a.which contains a false statement will automatically void coverage b.assists the insurer in settling a loss covered by the policy c.settles disputes regarding whether losses are covered
Chapter 3: Policies are Contracts The correct answer is: assists the insurer in settling a loss covered by the policy
In situations involving misrepresentation, the insurer may: Select one: a.charge an extra premium. b.cancel the policy.
Chapter 3: Policies are Contracts The correct answer is: cancel the policy.
Concealment is: Select one: a.intentional nondisclosure of material facts b.misstating material facts
Chapter 3: Policies are Contracts The correct answer is: intentional nondisclosure of material facts
A binder becomes effective when: Select one: a.made by the agent. b.the insured delivers the premium payment.
Chapter 3: Policies are Contracts The correct answer is: made by the agent.
An application says no fire wood will be stored on the premises. If a later fire is caused by fire wood stored on the premises, the insurer may refuse coverage if the insured: Select one: a.misrepresented immaterial facts. b.unintentionally made a misstatement. c.misrepresented material facts. d.concealed immaterial facts.
Chapter 3: Policies are Contracts The correct answer is: misrepresented material facts.
The creation of a contract requires each of these EXCEPT: Select one: a.competent parties b.legal purpose c.notarization d.consideration
Chapter 3: Policies are Contracts The correct answer is: notarization
Consideration is evidenced by: Select one: a.paying a premium b.filing a proof of loss form c.issuing a policy d.endorsing a policy
Chapter 3: Policies are Contracts The correct answer is: paying a premium
The applicant believes the statement to be true with a/an? Select one: a.concealment b.warranty c.misrepresentation d.representation
Chapter 3: Policies are Contracts The correct answer is: representation
Binders must show each of these EXCEPT: Select one: a.list of covered items b.name of insurer and insured c.the date the binder becomes effective d.the amount of the premium
Chapter 3: Policies are Contracts The correct answer is: the amount of the premium
The conditions section of the policy contains: Select one: a.the insurer's obligations if a loss occurs b.the insured's obligations if a loss occurs
Chapter 3: Policies are Contracts The correct answer is: the insured's obligations if a loss occurs
A promise by the insured that certain future conditions will exist is a? Select one: a.concealment b.misrepresentation c.representation d.warranty
Chapter 3: Policies are Contracts The correct answer is: warranty
A mortgagee must be given how much notice of cancellation? Select one: a.10 days b.20 days c.40 days d.80 days
Chapter 4: Typical Property Policy The correct answer is: 10 days
The mortgagee should receive how much notice of cancellation? Select one: a.10 days b.30 days c.60 days d.90 days
Chapter 4: Typical Property Policy The correct answer is: 10 days
Depreciated value is: Select one: a.Replacement cost b.Actual cash value
Chapter 4: Typical Property Policy The correct answer is: Actual cash value
To guarantee that depreciation will not be a factor in calculating the amount to be paid at the time of a loss, an Insured should purchase: Select one: a.Replacement cost b.Actual cash value
Chapter 4: Typical Property Policy The correct answer is: Replacement cost
The Actual Cash Value formula is: Select one: a.Original cost minus physical depreciation b.Replacement cost minus physical depreciation
Chapter 4: Typical Property Policy The correct answer is: Replacement cost minus physical depreciation
Which is an indirect loss? Select one: a.a business loses money due to a fire b.a water pipe breaks on the top floor and floods a basement
Chapter 4: Typical Property Policy The correct answer is: a business loses money due to a fire
During a fire, one wall of a building collapses and damages an adjacent building. This is: Select one: a.an indirect loss b.a direct loss
Chapter 4: Typical Property Policy The correct answer is: a direct loss
Which is an indirect loss? Select one: a.water damage from firefighters b.heavy snows cause a roof to collapse c.smoke from an oven damages living room drapes d.a fire causes a business to close
Chapter 4: Typical Property Policy The correct answer is: a fire causes a business to close
If the Insured tries to turn partially or totally destroyed property over to the Insurer while demanding full payment is, this could be construed as the Insured's illegal attempt at: Select one: a.abandonment b.salvage
Chapter 4: Typical Property Policy The correct answer is: abandonment
A consequential loss is: Select one: a.an indirect loss b.a direct loss
Chapter 4: Typical Property Policy The correct answer is: an indirect loss
Using a disinterested third party to resolve a claim dispute is: Select one: a.arbitration b.assignment
Chapter 4: Typical Property Policy The correct answer is: arbitration
Under the appraisal provision: Select one: a.each party selects an appraiser. b.each party selects an umpire. c.the court selects the appraisers. d.the court selects the umpire.
Chapter 4: Typical Property Policy The correct answer is: each party selects an appraiser.
If the Insured fails to submit a proof of loss, the mortgagee should: Select one: a.file a proof of loss form. b.sue the insurer.
Chapter 4: Typical Property Policy The correct answer is: file a proof of loss form.
The burden of proving a loss rests on the: Select one: a.insured b.insurer
Chapter 4: Typical Property Policy The correct answer is: insured
If your building is destroyed by fire, you must notify the Insurer: Select one: a.promptly b.within 60 days
Chapter 4: Typical Property Policy The correct answer is: promptly
A mortgagee who is not notified that the policy has been canceled may recover: Select one: a.the balance owing on the mortgage b.the policy limit
Chapter 4: Typical Property Policy The correct answer is: the balance owing on the mortgage
Which of the following is an example of vicarious liability? Select one: a.A store owner is held liable when a store employee carelessly drops a box on a customer's foot. b.A store owner is held liable for carelessly dropping a box on a customer's foot.
Chapter 5: Liability Insurance Basics Vicarious liability refers to liability for the acts of another. An employer has vicarious liability for the acts of its employees. This point is covered in the Update on the last page of Chapter 5.The store owner dropping the box is ordinary negligence by the store owner. It does not involve liability for the acts of another. The correct answer is: A store owner is held liable when a store employee carelessly drops a box on a customer's foot.
The amount an insured may recover under an airplane policy is restricted by the: Select one: a.subrogation provision b.limit of liability
I know that we don't cover airplane policies, but the theory is the same. Under any policy, the amount the Insured may recover is restricted by the Limit of Liability stated in the policy's declarations. Chapter 2: Property and Casualty Key Terms The correct answer is: limit of liability
Which best demonstrates indemnification? Select one: a.After a car wreck, an injured person is paid for medical expenses and vehicle damages b.After a fire, a homeowner is paid retail prices for personal property as well as the cost of rebuilding the structure c.After a loss, an Insured collects from both her insurance and another person's insurance d.An Insured demands a new car when the old car is destroyed
Indemnification refers to being made whole but not coming out ahead. Being paid for medical expenses and the damages after a car wreck is the best example of indemnification. Chapter 1: Introduction to Insurance The correct answer is: After a car wreck, an injured person is paid for medical expenses and vehicle damages
Assume that a property is insured by two policies. Each policy has an equal amount of coverage. If the property is damaged by a covered peril: Select one: a.both insurers will share equally in the loss. b.only the first policy issued will pay on the claim.
Insurance policies contain an "Other Insurance Clause" specifying what will happen if there are two or more policies covering the same claim. It is easy to remember that with a property policy, the insurers share the loss proportionally, that is, pro rata. Chapter 2: Property and Casualty Key Terms The correct answer is: both insurers will share equally in the loss.
"Acts of God" are best covered by: Select one: a.Broad form b.Liability policies c.Basic form d.Special form
New Point: If we are concerned about unusual forces of nature, nothing can provide better coverage than the good old Special form policy! Liability insurance covers acts of the Insured, not acts of God. Chapter 4: Typical Property Policy The correct answer is: Special form
A person with an alleged injury notifies a Producer that the Producer's client negligently caused the injury. The producer should first notify the: Select one: a.Police b.Insurer c.Insurance Commissioner d.Client
New Point: The Producer's fiduciary responsibility is to the Insurer. So, the Producer should first notify the Insurer. Chapter 5: Liability Insurance Basics The correct answer is: Insurer
Payment based on the fact that the Insured owns the property involved is: Select one: a.Actual cash value b.Replacement cost c.Indemnity d.Insurable interest
Property ownership is evidence of an insurable interest. One must have an insurable interest to collect under a policy. Chapter 4: Typical Property Policy The correct answer is: Insurable interest
Each of the following is true about the mortgagee EXCEPT: Select one: a.The mortgagee must be notified of cancellation or nonrenewal. b.The mortgagee is entitled to coverage which exceeds the policy limits. c.The mortgagee has an insurable interest. d.The mortgagee may file a claim if the insured fails to do so.
Remember, we are looking for the false answer with EXCEPT questions. The mortgagee may only collect up to the balance owing on the mortgage debt but certainly cannot recover more than the policy limit. Chapter 4: Typical Property Policy The correct answer is: The mortgagee is entitled to coverage which exceeds the policy limits.
Broad form covers: Select one: a.Water damage to the floor due to water backing up through a clogged floor drain. b.Glass breakage.
Sewer backup is an exclusion in all of our policies - that drain is connected to the sewer system. Chapter 4: Typical Property Policy The correct answer is: Glass breakage.
In addition to requiring that Insurers protect clients' privacy rights, the Gramm-Leach-Bliley Act: Select one: a.prohibits the sale of property insurance in America. b.encourages the states to adopt uniform licensing requirements to make it easier for Producers to sell insurance across state lines.
Sorry, new point that I hadn't put in the textbook. But you will remember this, right? Chapter 3: Policies are Contracts The correct answer is: encourages the states to adopt uniform licensing requirements to make it easier for Producers to sell insurance across state lines.
A Special Form policy covers: Select one: a.termite damage. b.decay that causes a wall to collapse. c.fungus. d.rats eat wiring insulation.
Special (as well as Broad Form) will cover collapse. However, insects and vermin are excluded perils. Chapter 4: Typical Property Policy The correct answer is: decay that causes a wall to collapse.
To avoid the concentration of insurance risks, an insurer should: Select one: a.cover only one Insured. b.raise premiums. c.reduce the number of policies sold. d.spread the risk.
Spreading the risk refers to insuring a variety of risks in a variety of areas. Insurance companies attempt to avoid a concentration of risks, such as insuring persons only in hurricane regions. Chapter 1: Introduction to Insurance The correct answer is: spread the risk.
Which of the following is issued by the agent to notify the parties of the date coverage becomes effective? Select one: a.condition b.binder c.quotation d.presumption of proposition
The binder is issued by the agent, not by the company. The binder will also state the date the coverage becomes effective and thus give notice to both the Insured and the Insurer that coverage is in effect. Chapter 3: Policies are Contracts The correct answer is: binder
Each of the following can have an insurable interest EXCEPT: Select one: a.an ex-owner who didn't cancel the policy b.a mortgagee c.an ex-owner carrying the mortgage d.a tenant
The ex-owner who neglected to cancel the policy has no financial interest in the property and thus no longer has an insurable interest. Chapter 2: Property and Casualty Key Terms The correct answer is: an ex-owner who didn't cancel the policy
Cindy and Hal own a commercial building. Cindy asks the Insurer to increase the coverage but Hal objects. What should the Insurer do? Select one: a.Comply with the desire of whichever Insured is named last in the policy's declarations. b.Comply with the desire of whichever Insured is named first in the policy's declarations. c.Reject the request until both parties agree on the issue. d.Refer the matter to the state Insurance Commissioner.
The first-named Insured controls the policy. Chapter 2: Property and Casualty Key Terms The correct answer is: Comply with the desire of whichever Insured is named first in the policy's declarations.
A mortgage clause: Select one: a.Obligates the Insurer to pay the mortgage payments if the Insured is disabled. b.Grants the mortgagee specific rights not granted to the Insured.
The mortgagee can get paid by the Insurer even if the Insured intentionally torches the property. Chapter 4: Typical Property Policy The correct answer is: Grants the mortgagee specific rights not granted to the Insured.
Nonrenewal requires the Insurer to: Select one: a.provide 90 days notice to the state insurance department. b.mail notice to the insured in advance.
The state's Insurance Department prefers not to hear about such trivial matters. Chapter 2: Property and Casualty Key Terms The correct answer is: mail notice to the insured in advance.
After a loss by a covered peril, the Insured demands full payment for damaged property given to the Insurer. This is an illegal attempt at: Select one: a.abandonment b.indemnity
This is not a very "nice" question, but you have to know this. An Insured cannot ask for the claim payment and then give the damaged property to the Insurer. This would be attempt at abandoning the property. The Insured can't do this. Don't confuse that with the fact that the Insurer has the right to take it as salvage. Hey, you can handle this! Chapter 4: Typical Property Policy The correct answer is: abandonment
Which section of a Special form policy determines whether a peril is covered? Select one: a.Conditions b.Insuring agreements c.Declarations d.Exclusions
Under a Special Form, the only way we can determine whether a peril is covered is to read the exclusions. If the peril isn't in the list of exclusions, it will be covered. Chapter 4: Typical Property Policy The correct answer is: Exclusions
Which of these involves negligence? Select one: a.A driver runs a stop light. b.A driver goes too fast and hits another vehicle.
Without injury or damage, there is no negligence. Chapter 5: Liability Insurance Basics The correct answer is: A driver goes too fast and hits another vehicle.
