Garuntee Exam
What is one requirement to become an licensed insurance producer?
A customer service representative that solicits no more than one policy per year
After a policy is cancelled, any excess premium paid to the agent must be returned within how many days?
10 business days
An examination from the commissioner will be triggered if premium rates increase by more that what percent in a year?
10%
How long does the commissioner have to reject a private passenger auto rate once filed?
100 days
How long are business income losses payable in a BOP?
12 consecutive months following the occurrence
When a hearing regarding insurance matter is requested, how many days notice is required for all parties?
15 days notice
What is the waiting period for transportation expenses coverage for a loss other than theft of a covered vehicle?
24 hours
How many operate accounts is the Georgia Insurers Insolvency Pool divided into and what are they?
3; Workers Compensation, Automobile Insurance, and all other insurances
How many vehicles are required for commercial fleet policy?
5
What is the maximum for temporary insurance license in this state?
6 months
When does the period of restoration for Business Income coverage begin? and extra expense coverage? When does it end?
72 hours for business income and immediately for extra expense. Period ends when business is resumed
If a business insured by the Floor Plan Merchandise coverage does not immediately report the loss, how much coverage remains?
90% of the original coverage
What articles are usually not covered under any policies?
Articles which have mysteriously disappeared
Is the insured required to immediately notify the insurer if they have filed for bankruptcy?
no, it will not relieve them of their obligation
Among the applicants in the same class and life expectancy, what factor can be used to influence premium rates?
occupation
What would be covered under Coverage C-Personal Property of a dwelling policy?
rowboat and canoes. Not aircrafts, motor vehicles, or motor-powered boats
What coverage is offered for DP-2 and DP-3 but not DP-1
Coverage E- Additional living expense
What provides a replacement cost settlement in a Homeowners insurance policy?
Insurance to value
What is used to establish a premium on a large commercial account?
Retrospective rating
The amount of loss the insured is willing to absorb is called...
Self-insured retention
Under an HO-2 policy, the insurer will pay no more than the ACV for property that was damaged until....
the damage was repaired or replaced
When are transportation expenses covered in a personal auto policy after a vehicle was damaged due to a collision?
the insured must have collision insurance to receive the $20 per day coverage
What is the primary difference between a hired auto and a unowned auto?
who owns the auto
What must an insured do in order to receive full replacement cost in a BOP?
They must carry insurance equal to 80% of the insured property's value
What would be covered under the dwelling policy?
fire caused by earthquake
To qualify for an original certificate of authority, what minimum capital or stock must an insurer have?
$1.5 million
How long must Georgia drivers keep proof of financial responsibility?
1 year
What are the 3 categories of insurable interest?
Financial, Blood, and business
What coverages do not require a deductible in a BOP?
Fire department service charge, fire extinguisher recharge, business income, extra expense, and civil authority coverage
What is the obligation to compensate injured workers without regard to fault or negligence?
absolute liability
What is the propose of the ordinance or law endorsement?
To remove the exclusion of losses due to ordinance or law
What are 3 endorsements that can be added to the standard equipment breakdown coverage?
Utility interruption, extra expense, and business interruption
When is the company responsible for the actions of their agent?
Whenever the agent is acting within the conditions of his contract
When does homeowners medical payments coverage apply?
Worldwide as long as it occurs in a personal activity of the insured
If a contractor were to blast rocks that need to be removed for the foundation of a house and the blast damaged a neighbors house, would be be liable?
Yes, because the contractor has absolute liability because his actions were inertly dangerous and against public policy
