GA Property and Casualty Guarantee Test Attempt #1
When does the federal emergency flood insurance program go into effect?
When a community applies for the program
When does the insurer's duty to defend a suit or claim end in a commercial general liability policy?
When loss payments equal the applicable limit of insurance
Which of the following statements is CORRECT regarding business income coverage under the business owners policy?
The business income losses are payable for 12 consecutive months following the occurrence
Who may extend the length of a binder issued in Georgia?
The commissioner
An insured was backing his car out of the driveway and hit a fire hydrant. The automobile sustained $1,300 of damage to the bumper. The insured's auto policy has a $500 deductible. Which of the following is true?
The insured is responsible for the first $500 of any claim that he makes on his policy
All of the following are considered insured under the hire and nonowned auto liability endorsement added to a business owners policy EXCEPT?
The owner of a nonowned vehicle
Each of the following may be insured under an HO-3 homeowners policy EXCEPT?
The owner-occupant of a condominium unit
When symbol 7 is provided, which of the following statements is true with regards to newly acquired autos?
They are covered if they are used to replace previously owned autos with that coverage
The broad cause of loss form in the commercial property policy contains three perils in addition to the basic form perils. Which of the following is NOT one of those three?
Utility services
How long does the commissioner have to disapprove a private passenger auto insurance rate once filed?
100 days
The Georgia insurance insolvency pool is divided into how many separate accounts?
3
As specified in the protective safeguard endorsement added to a business owners policy, if the automatic sprinkler system is shut down due to freezing conditions, the insured does not need to notify the insurance company as long as the system is restored withing?
48 hours
What is the maximum period for a temporary license in this state?
6 months
Under the garment contractor floater of an inland marine policy, coverage while the property is in transit between the insured and the subcontractor is usually written on which basis?
All-risk
In a DP-1, if the insured elects to apply coverage B to a detached garage, Coverage A will?
Be reduced by 10%
Which of the following entities is eligible for a business owners policy?
Convenience stores
Which of the following would NOT generally be included in the supplementary payments portion of a liability policy?
Damage to a property owned by the insured
All of the following are optional endorsements that may be added to the standard equipment breakdown coverage form EXCEPT?
Debris removal
The commercial crime coverage that would cover losses resulting from the theft of money, securities, and other property by employees is?
Employee theft
An executive is accused of sexual harassment. What type of coverage would respond?
Employment practices liability
An insured just purchased an auto policy for his new car. He wants to understand what perils are not insured against. Which section of his policy should the insured check?
Exclusions
Under what circumstances will a worker be paid for the first 7 days of being unable to work?
If the worker misses more than 21 consecutive days
Which of the following is NOT true regarding the automatic increase in insurance endorsement in dwelling policies?
It does not require additional premium
Which of the following describes an insurer's responsibility for payment under a policy, as stated in the common policy provisions?
Limits of liability
With respect to the commercial package policy, and interline endorsement is one that?
May apply to more than one line of insurance that is included in the package
An agent's license has been suspended, but her continues to transact insurance for his existing clients. This will be considered an?
Misdemeanor
In reference to insurable interest, which of the following is NOT an element of insurable risk?
Personal
The commercial general liability coverage part A - bodily injury and property damage provides coverage for which of the following?
Premises
What is a bailee responsible for?
Property of others in his custody
The equipment breakdown coverage form values loss on a?
Replacement cost basis
An insured's child ran into a neighbor's planter on his bicycle and broke the planter and ruined the plants. The cost to replace the planter was $00, and the cost to replace the plants was $100. which section of the insured's homeowners policy would pay?
Section II with no deductible
