kaplan casualty
an insured's claims-made cgl policy just expired after having been in effect for 1 year. the policy included a supplemental extended reporting period endorsement to cover claims filed after the end of the 60-day basic extended reporting period. when a $5,000 claim is filed 3 years later for a loss that occurred during the 60-day basic extended reporting period, how much will the policy pay?
$0 - the claim will not be paid. the extended reporting period endorsement provides an unlimited extension of the reporting period, but the loss causing the claim must still occur sometime between the retroactive date and the policy expiration date. while the 60-day basic extended reporting period provides for reporting claims, it is not included in the coverage period. since this loss did not occur during the policy's coverage period, there is no coverage
an insurance company requires an insured to attend and testify during a 5-day trial. as a result, the insured is not paid his standard $4,000 per week salary. what total amount will the supplementary payments section of the cgl coverage form reimburse the insured for lost earnings?
$1,250. the policy covers loss of earnings up to $250 per day. in this case, the insured could collect only $1,250 ($250 x 5)
jim smith knowingly and willingly obtained personal information about an individual from an insurer under false pretenses, and because of this violation, he may be fined up to
$25,000 or imprisoned up to 9 months, or both - the violator is also liable to the individual for actual damages, exemplary damages of up to $25,000 and costs and reasonable attorney fees
what is the maximum daily amount paid under the cgl's supplementary payments provision for the insured's loss of earnings?
$250
how much will the pap pay for a rental car if the insured vehicle is stolen?
$30 per day, up to $900 maximum - starts 48 hours after theft
rajeen has a $1 million umbrella policy with a self-insured retention of 410,000. the umbrella requires underlying homeowners and auto insurance limits of $300,000. rajeen has a $500,000 loss that is excluded by his homeowners policy, but is covered by the umbrella. how much would the umbrella policy pay for this loss
$490,000 - personal umbrella will provide broader coverage for some claims that would not be covered by the insured's primary insurance policy - this is called primary coverage and the insured must select a retention limit that can vary from $250 to $10,000 and works like a deductible. this self-insured retention represents the amount of loss the insured must cover out of pocket
the motor carrier act of 1980 mandated that trucking operators file proof of pollution liability. vehicles with a gross vehicle weight of 10,000 lbs or more must carry specific limits of liability. which of the following is not required by the motor carrier act?
$750,000 for intrastate transportation of nonhazardous property - coverage limits are based on the nature of what is being transported and rage from $750,000 to $5 million. intrastate transportation is not one of those categories
the bop will pay reasonable expenses for
1 year from date of accident - bop also covers specified medical expenses without regard to who is at fault. the policy will pay reasonable expenses for the following within one year of the date of accident: first aid when accident occurs, medical services, funeral services
a petition for rehearing may be submitted within how many days after the commissioner's order has been issued?
20 days
in regards to automobile liability, proof of financial responsibility must be offered in which of the following amounts?
25/50/10 - $25,000 for bodily injury or death to one person, $50,000 for bodily injury or death to two or more people, and $10,000 for injury or destruction of property of others
financial records, cash receipts, cash disbursements, commission statements, claims, and personal records between insurers and their policyholders must be maintained for how many years?
3 - policyholder's records must also be kept 3 years following the termination of the policy
insurers and rate service organizations are required to file all rates, supplementary rate information and changes to rates within
30 days after they become effective
how many hours of prelicensing education must be completed by a first-time applicant for a wisconsin agent's license who wants to sell property and casualty insurance?
32 - 12 of property, 12 of casualty, and 8 of laws and ethics
how many sections are there in a workers' compensation policy?
6 - provides bodily injury and employers liability coverage (first 2). the other 4 parts outline other states' insurance, duties of the insured, premiums, and conditions
the basic extended reporting period included in the cgl form covers claims made up to 5 years after the end of the policy period, as long as an occurrence is reported within how long after the end of the policy period?
60 days
under tripra, the federal government's share of compensation that exceeds the inruer's tripra deductible is
80% - the federal government is responsible for reimbursing each insurer's terrorism losses above the insurer's annual deductible, which is based on a percentage of its direct earned premium for tria property and casualty covered insurance lines in the previous year. the federal share will decrease from 85% to 80% in 2020
Which one of the following parties is the principal in a surety bond?
a contractor who has signed a contract to build an addition to a residence - principal is the party who promises to do or not do a specific thing
a compulsive forfeiture is also known as
a court-ordered fine for failing to comply with the commissioner's order - a compulsive forfeiture of up to $5,000 a day for failing to comply with the commissioner's order within 2 weeks of its issuance must be paid each day the violation continues beyond the 2-week period
marita's car was damaged in an accident, so she rents a car to drive while hers is in the shop. under the liability section of marita's personal auto policy, the rental car is defined as
a covered auto - a vehicle that is being used as a temporary substitute for an insured auto is considered a covered auto. under the physical damage section of the policy, this would be considered a nonowned auto
a self-insured retention (SIR) in a personal auto umbrella policy functions like
a deductible - the personal umbrella will provide broader coverage for some claims that would not be covered by the insured's primary insurance policy. this is called primary coverage, and the insured must select a retention limit that can vary from $250 to $10,000 and works like a deductible. this SIR represents the amount of the loss insured must cover out of pocket
all of the following are considered employees under the workers compensation act except
a domestic servant - domestic servants and others whose employment is not in the course of an occupation of an employer are not considered employees unless the employer has elected to include such persons under the workers comp law
for purposes of workers compensation, an employer is defined as all of the following except
a farmer who employes 3 workers - the state and political subdivisions such as counties, cities, cillages, and town are employers and must carry workers compensation coverage. an entity that has 3 or more employees or pays $500 wages in any quarter, regardless of the number of employees, is an employer and must carry workers compensation. farmers are considered employers if they have 6 or more employees for 20 consecutive days during the calendar year
insurance companies that are nonadmitted insurers fall into 2 categories. they are either an authorized nonadmitted carrier or an unauthorized nonadmitted insurer. what type of license would a person need to cell for an authorized nonadmitted insurer?
a surplus lines license
howard borrows his neighbor's car because his car is in the body shop after his oldest son had an accident on a trip home from college. under howard's automobile policy, his neighbor's car is considered
a temporary substitute automobile - a temporary substitute auto is one used with the owner's permission as a substitute vehicle for the insured's covered auto while that auto is out of normal service because of breakdown, repair, servicing loss, or destruction
which of the following occurrences would be included under the definition of personal injury?
a tenant is evicted by his landlord and sues the landlord for invasion of privacy and wrongful eviction - personal injury is one other than bodily injury arising out of false arrest, detention, or imprisonment; malicious prosecution; wrongful entry or eviction; publications that slander or libel a person or an organization or that disparage a person's or an organization's goods, products, or services; and publications that violate a person's right of privacy
a warranty is a statement made by the applicant regarding the risk to be insured. which of the following statements is not true about warranties?
a warranty must refer to a material fact - it's an answer to a specific question and literally becomes part of the insurance contract. a breach of warranty, meaning that the answer is not correct, may be grounds for cancellation by the company. however, the materiality of the statement is not required to cancel the policy
the TRIA removes the exclusion of coverage for which of the following causes of loss?
acts of terrorism - TRIA voids any existing terrorism exclusions in commercial property and casualty insurance policies
who are the members of the wip?
all authorized insurers - any insurance company authorized to conduct business in wisconsin and that is licensed to write basic property insurance is a member of wip. any other insurer can, upon application and approval, become a member
matt has just been nonrenewed by his auto insurance company because he had 3 speeding tickets and 2 at-fault accidents in the last 9 months. matt will most likely need to obtain insurance from
an assigned risk plan - these provide auto insurance for drivers with poor driving records. the typical coverage provided for liability is the minimum amount required by state law
which of the following statements about workers' compensation is not correct?
an employee who is eligible for workers' compensation coverage may sue a negligent employer - exclusive remedy (employee cannot sue the employer for work-related illnesses or injuries) and certain remedy (employee gives up the right to sue the employer for what could be a larger but uncertain benefit)
the type of professional liability policy that provides coverage for insurance agents, as well as certain other types of professional, is typically referred to as
an errors and omissions policy - provides liability coverage for insurance agents and provide professional liability coverage for certain other types of professionals as well, including accountants, architects, stockbrokers, engineers, consultants, and attorneys
all of the following must be licensed to do business in wisconsin except
an office manager in an intermediary's office - agents and brokers must be licensed. a managing general agent must be licensed if it acts as an mga for an insurer with respect to a risk located in wisconsin even if the mga's office is located in another state. clerical, secretarial, or any office workers whose compensation is not dependent upon the volume of sales are not required to be licensed
which of the following statements about risk retention groups is not true?
an rrg typical writes workers' compensation insurance for its members - they are insurance companies owned by their members. the only coverage they may write is liability insurance. members of a group are in the same industry and require liability insurance, which would otherwise be prohibitive in premium if obtained elsewhere
an agent in the xyz insurance company, equipped with business cards, sample xyz prolicies and an xyz rate book, informs a prospect that xyz has given him unlimited binding authority. the prospect assumes this is true. given the prospect's assumption, which of the following correctly defines the agent's authority in this case?
apparent - this is what a third party assumes the agent has, based on the actions or words of the principal
all of the following are basic ways in which underwriters assign rates except
application rating - judgement, manual, and experience are the 3 types of ways that underwriters can classify and assign risks
under the cgl form, insured contracts include all of the following except
assumption of an architects liability for any injury or damage arising out of the insured's rendering or failure to render professional services - the definition of an insured contract specifically excludes certain parts of contracts that might otherwise be insured such as contract provisions that indemnify architects, engineers, or surveyors for any injury or damage arising out of their professional work. under the cgl, insured contracts must include: 1 contracts for lease of premises, 2 sidetrack agreements (for sidings or spurs of rail off main rail lines) 3 easement or license agreements 4 obligations required by local ordinance to indemnify a municipality (except in connection with actual work done for that municipality, 5 elevator maintenance agreements and 6 other contracts pertaining to the insured's business under which the insured assumes liability (of another) that would be imposed by law in absence of the contract
jordan is attending the NBA playoffs and has front row seats. one of the players attempts to make a basket and the ball bounces off the court, hitting Jordan in the face. the defense that will most probably be used is
assumption of risk - person knowingly exposes himself to danger or injury
which of the following is not an exclusion in the commercial auto policy liability section?
bail bonds - a coverage extension in the commercial auto policy allows up for $2,000 for bail bonds as a supplementary payment. it also pays for the cost of bonds to release attachments in any suit the insurer defends (contractual liability, care custody and control, and completed operations are excluded)
which of the following statements regarding cancellation of a policy is not correct?
cancellation can take place until 5 days after a notice has been sent by first class mail or hand delivered to the insured - cancellation can take place until 10 days after a notice has been sent
depending on the circumstances, a passenger injured in an automobile accident may be able to recover under all of the following coverages except
collision - collision provides only physical damage coverage for the insured's vehicle
while backing her car into a parking space on a neighborhood street, melanie struck a fire hydrant with her buper. which coverage under melanie's personal auto policy will cover the damage to the bumper?
collision - part d of the pap covers damage sustained by the insured auto after impact with another vehicle, impact with an object, or upset (rolling the vehicle over)
all property policies contain exclusions. an insured may be interested in covering these gaps. a difference in conditions policy bridges these gaps by covering events
commercial property policies otherwise exclude and excluding coverage normally found in a commercial property policy.
the procedure for resolving a disagreement between an insured and an insurance company about a loss is described in which of the following parts of an insurance policy?
conditions - conditions set forth the insurer's and insured's rights and duties, including the procedure for resolving a disagreement involving a loss between insured and company
the purpose of the extended reporting period in a cgl policy is to provide
coverage for claims made after the policy expires - it's a time during which coverage will be provided for claims made after the expiration date of the policy if certain conditions are met
a businessowner purchases a cgl policy that includes a supplemental extended reporting period. the effective dates of the policy are december 31 2007 - december 31 2008. the businessowner is sued over an incident that occurs april 15 2008, but is not discovered or reported until june 30 2009. what coverage, if any, will the policy provide?
coverage is granted because the reporting period has not expired
which of the following forms is not eligible to be written as part of a cpp?
dwelling property coverages - it's a personal lines policy
which one of the following is an optional coverage under the bop?
employee dishonesty - business income is automatically included. personal effects and valuable papers are both automatically included in the extensions of coverage. employee dishonesty is only available as an optional coverage
all of the following risk exposures are covered by the liability section of the bop except
employers liability - the liability section of the bop excludes coverage for employer's liability, as do almost all general liability coverage forms. this exposure is better covered by a workers' compensation policy
an ex-employee files suit against her former employer. she believes she was dismissed for missing work to perform jury duty. which one of the following policies would cover damages paid to the employee if she proves her cause?
employment practices liability (EPL) - this would be grounds for a wrongful termination suit, and would be covered under an employment practices liability insurance policy
ralph asks his insurance agent to explain how the homeowners policy covers stolen jewelry. The agent spends some time explaining how, when, where, and what jewelry theft coverage exists in the policy. as a result, ralph believes that his $5,000 watch is covered in full under the basic policy. After the watch is stolen, ralph is surprised to learn that he has only limited coverage. What legal doctrine might ralph rely upon to get full coverage for his loss?
estoppel - ralph relied on his agent to provide an honest and detailed explanation of his ho coverage. the agent overstated the coverage and gave ralph a false sense of what was covered. the insurance company will be responsible for covering the full loss, since ralph believed he did have the appropriate amount
claims-made policy covers claims that are
first reported during the policy period, provided the event occurred after the retroactive date (if any) stated in the policy - claims-made policy's coverage is triggered by the actual filing date or receipt of the claim, in addition to the date (period) the loss occurred. any covered loss or claim filed within the policy period is handled by that policy, regardless of when the actual loss or injury occurred
which of the following would not be paid as supplementary payments under part a of the pap?
funeral expenses for the insured - these would be paid by part b medical payments
thomas has expanded his restaurant to include a parking lot next door with valet service. his insurance agent is recommending that thomas buys a garagekeepers coverage. he advises thomas that all of the following exposures would be covered by this coverage except for
if a car is stored in the parking lot is stolen by a restaurant employee - garagekeepers coverage is a type of bailee coverage available to automobile parking lots. it provides coverage for damage to the automobiles of others while in the custody of the parking lot while parking or storing, theft by an insider is excluded
xyz insurance company gives its agents authority that was not formally expressed or communicated. the authority given to the agents by xyz can be called
implied authority - allows the agent to perform all of the usual and necessary tasks to sell and service insurance contracts. implied authority may be established by custom or prior experience
in most cases, an injured employee receives payments under the workers compensation insurance from whom?
insurance company - insured worker receives payments directly from an insurance company. an exception is if the employer has decided to self-insure and has obtained state approval for the self-insurance plan
the list of perils covered under a policy is found in which part of the policy?
insuring agreement - contains the insurance company's promise to pay for loss if the loss should result from the perils insured against. this section also specified the coverage the contract provides
the coverages offered by an insurance policy are described in the
insuring agreement - contains the insurer's promise to pay for loss if the loss should result from the perils insured against
what is the purpose of MCS-90, the endorsement for motor carrier policies of insurance for public liability?
it provides proof that the company carries an amount of insurance required by law - motor carriers of property operating commercial motor vehicles in interstate commerce must have at least the minimum amount of insurance required by the motor carrier act of 1980. the mcs-90 endorsement provides proof of compliance with this law
joe is the general contractor building a new shopping center. he has hired subcontractors to do some of the work for him. what will cover the employees of the subcontractor if the subcontractor does not take out workers compensation coverage?
joe's workers compensation policy - to ensure that the subcontractors have coverage, joe should require them to provide a certificate of insurance
which of the following is not a common requirement for a business to be eligible for a bop?
less than 25 employees - less than 100 is the requirement
which of the following is not one of the requirements for a loss to be paid under the uninsured motorists coverage of the personal auto policy?
loss involved property damage to insured's auto - under the standard pap, part c applies only to bodily injury losses
which of the following statements about the wip is correct?
losses are covered on an acv basis - farm properties, manufacturers and automobiles cannot be covered under the plan. a free inspection service determines if the applicant's property meets the minimum insurance requirements and is physically sound. policies are issued for 1 year periods
paul's bicycle shop is covered by a businessowners policy. pete, a customer, is injured when he slips on the wet floor. where would paul find coverage in his policy?
medical expenses - the BOP pays the medical expenses a person incurs as a result of an accident arising out of the insured's business operations. bodily injury coverage would apply if the slip and fall were determined to be due to paul's negligence
jane's sister, maggie, who lives with jane and just sold her car, drives jane's sports car to go to a party. on the way home, maggie loses control of the car, hits a parked car and rolls the car. maggie dies as a result of her injuries. what coverage will reimburse jane for maggies funeral expenses?
medical payments coverage - these pay funeral expenses for covered persons, which includes the insured and any family member while in the insured vehicle
bob's auto repair stores its customers' autos inside its building overnight. a fire destroys the building and everything in it. bob's cgl policy will pay for which of the following"
neither the damage to the customers' autos nor the value of bob's work - the cgl policy contains 2 exclusions that would eliminate coverage for the damage to the customers' autos and for the value of bob's work already performed on them. the 1st exclusion applies to property of others in bob's care, custody, or control. the 2nd exclusion applies to damage to the insured's product; in this case, the work performed by bob
mary is a customer at bob's bait shop, which is covered by a businessowners policy. bob's auto strikes her when she is leaving the store parking lot. mary has medical payments expenses of $450. bob will find coverage
never because the bop does not cover this type of loss - medical payments of the bop does not cover medical expenses arising out of automobile accidents
symbol 4 of the business automobile policy applies to only those autos owned by the business that are
not private passenger autos - symbol 4 refers to a category of autos that are owned by the insured but are not private passenger vehicles. these can be trucks, trailers, buses, and motorcycles
which of the following statements about occurrence liability policies is correct?
occurrence policies cover events that happen after the policy is in effect, but before it expires - the event or damage that must happen during the policy period for coverage to become available is what triggers it. occurrences policies are not limited to products-completed operations exposures, they are written to cover other types of losses
which part of the personal auto policy covers losses caused by malicious mischief, vandalism, hail, or floods?
other than collision
liability policies provide certain supplementary payments that are
paid in addition to the policy's regular limit of liability - insured does not need to be found legally liable for these coverages to apply
which of the following would be classified as a general damage?
pain and suffering - compensatory damages compensate an injured party for injuries sustained, nothing more. their purpose is to make a person whole again in the position that existed before the loss or harm. compensatory damages are further categorized by: general damages, which necessarily result from the act or omission, such as emotional distress, inconvenience, and pain and suffering; and special damages, losses measured in exact sums of money including medical bills, travel expenses for medical care prescription costs, damaged property, and lost wages
while driving to work, leonard is eating his breakfast, reviewing his appointment book, and talking on his cell phone. he runs a red light and collides with a commuter van. the van's occupants are hospitalized. which part of leonard personal auto policy covers the occupants' injuries and damage to the van?
part a - bodily injury and property damage to others is covered under part a liability coverage when the accident is due to the insured's negligence
sue, an employee of paul's bicycle shop, was on a service call repairing some bicycles at bill's home. on her way back to the shop, she was involved in an automobile accident and injured. where would sue find coverage?
paul's workers' compensation policy - would cover her bodily injury if she is injured on the job
which of the following limits does not apply to workers' compensation part 2 - employers liability
per property damage - the 3 separate limits are per employee, per accident, and per policy limit
which of the following is a contract bond?
performance bond - contract bonds are issued to guarantee performance based on the terms and provisions of written contract
the insuring agreement section of a policy describes
perils insured against - the insuring agreement contains the obligation of the insurer to pay covered claims, subject to specified conditions and exclusions. it contains the insurance company's promise to pay for loss, if it should result from the perils insured against
which of the following statements about flood insurance is not correct?
personal property in a basement outside in the yard is covered (it's not covered)
in the insurance business, the insurance company is also known as the
principal - an agency relationship exists when one party (agent) is authorized to act on behalf of another (principal). the principal is the insurance company and the agent is authorized to act on the company's behalf
what type of return premium computation is used when the policyholder cancels a policy?
short rate - used when a policyholder cancels his policy before it reaches its natural expiration. the company pays a return premium less the pro rata part that remains unearned. the pro rata method is used when the insurance company cancels the policy. when a policy is terminated on its effective date, it is called a flat cancellation and the entire premium is refunded to the policyholder. aggregate does not refer to a method of computing premium refunds
which of the following property may be insured under a floor policy issued by the NFIP
silo - vehicles, fences, and trees are not covered under the nfip. structures that are primarily containers are also excluded, but an exception is made for silos and grain storage buildings
andre's spouse is killed in an accident caused by a drunk driver. the negligent driver's insurance company pays $5,000 for funeral expenses arising out of the accident. the funeral expenses are an example of
special damages - include all direct and specific expenses involved in a particular loss, such as medical expenses, lost wages, funeral expenses, and the cost to repair or replace damaged property
an agent is unable to place business with an admitted insurer or a company licensed to do business in the state, where would he look to place this type of risk?
surplus lines market
the business auto coverage form uses symbols to denote the vehicles to which each of the policy's coverage applies. which symbol is the most restrictive?
symbol 7 - applies only to autos specifically listed in the policy. symbol 1 is the least restrictive as it covers any auto. symbol 2 covers owned autos only. symbol 9 covers nonowned autos (ones owned by employees or partners of the insured)
patrick's widget company has a small fleet of owned cars used by local salespeople. Most of the salespeople, however, travel to other cities and rent cars to make sales calls. Which coverage should Patrick include on his commercial auto policy to cover this exposure?
symbol 8 hired autos only - symbol 8 applies to autos the insured leases, hires, rents, or borrows but not to autos the insured's employees own
the bailee policy pays
the bailor - the bailee (the business) is the one who receives the property, the one who owns the property (customer) is the bailor. the bailee policy does not pay the insured but instead pays the customer
brian, the owner of a small boutique, is covered by an unendorsed bop. he detains susan, a customer, for shoplifting. the police come, and susan is not charged with any crime. susan is very upset with brian and sues his store for damages. where might brian find coverage for this loss?
the coverage is included in the bop under personal injury - the bop would provide liability protection if the insured becomes legally obligated to pay damages because of bodily injury, property damage, personal injury, or advertising injury caused by an occurrence to which the insurance applies
the retroactive date of a claims-made professional liability policy is which of the following?
the earliest date an event or loss may occur and be eligible for coverage under the policy - the retroactive date is the first date on which an event may occur and be covered by the policy if claim is filed
the commissioner may grant a temporary license to which of the following?
the family member of a disabled intermediary - may be issued to an intermediary's spouse, designee, or personal representative if the producer dies, becomes disabled, or enters active military service
the insurance security fund is administered by a board of directors and includes all of the following individuals except
the governor - it's administered by a board of directors and includes the state treasurer, the commissioner of insurance, and the attorney general
an insured rents a car while on vacatio in canada and causes an accident. what coverage is provided for this loss under the pap?
the loss is covered under an unendorsed policy - pap coverage applies to losses, accidents, or occurrences that take place during the policy period and within the united states, it's territories and possessions, or canada, or while being transported between ports in any of those places. no additional endorsement is necessary while driving in canada. the pap covers liability for both unowned and owned vehicles
what is meant by aggregate limit of liability?
the maximum amount the policy will pay per policy period, regardless of the number of claims - limits coverage to a specified total amount for all losses occurring within the policy period
which of the following statements regarding flood coverage is true?
the standard deductibles are $2000 under the emergency program and $1000 for the regular - since a flood policy can be bought to insure the dwelling and contents, there are separate deductibles for each. the standard deductibles are $2000 under emergency, $1000 for regular and $500 for homes built before 1978. if insured buys coverage for the building and the contents, the minimum deductible is $2000 ($1000 for building and $1000 for contents) deductible applies separately to each building loss and each content loss on a per-occurrence basis. higher deductibles are available
medical payments coverage in the commercial general liability policy covers injuries to
third parties regardless of liability - medical payment is no-fault coverage but it applies only to third parties, not to the insured or to employees of the insured
all of the following statements about the notice to applicant in the fair credit reporting act are true except
this notice must be given to the consumer no later than 10 days after a report is requested - notice must be given to consumer no later than 3 days after a report is requested
at national level, the federal government provides all of the following types of insurance except
unemployment insurance - state government is involved in providing unemployment insurance and may provide workers' compensation benefits through state funds. nationally, the federal government provides war risk insurance, nuclear energy liability insurance, flood insurance, and federal crop insurance
an errors and omissions policy could be used to cover all the following occupations except
veterinarians - errors and omissions are used to cover professionals such as architects, engineers, insurance agents, and accountants. vets and other medical professionals are covered under medical malpractice
ann and her agent meet to discuss auto insurance. the agent completes her application for coverage, takes ann's check for $200 and mails the application to the insurance company. two weeks later, ann recieves the policy in the mail. when did the consideration take place?
when ann wrote the premium check - the consideration is the exchange of value. the insured's consideration is paying the premium, the insurance company's consideration ist he promise to pay in case of a covered loss
willy has been unsuccessful at obtaining affordable insurance due to his young age and poor driving record. he may be eligible for insurance through the
wisconsin auto insurance plan - the WAIP makes automobile insurance available to those persons who are otherwise unable to obtain it, applicants are equitably distributed among insurers. waip is intended to satisfy a need for auto insurance when such insurance is not available to an applicant through the open market and the public interest requires such availability
what type of coverage is typically found in a professional liability policy?
wrongful acts, errors, or omissions the insured commits, and in some cases, bodily injury - unlike the cgl, which provides coverage for bodily injury, property damage, and medical payments, a professional liability policy typically covers wrongful acts, errors, or omissions the insured commits. in some cases, such as medical malpractice and architects' and engineers' professional policies, bodily injury is a covered cause of loss due to the nature of the profession
joan and steven have applied for an automobile insurance with abc auto insurers. the abc agent asked joan and steven if their resident 18 year old son, henry, has had any moving traffic violations in the past 2 years. both answer no. the fact is that henry had 4 speeding tickets but never told his parents. once the company found out about henry's record, they declined the application citing misrepresentation as the reason. did joan and steve misrepresent henry's driving record?
yes, though not fraudulent, the misstatement was material