Module B: The Commercial Property Coverage Part, Declarations, and Conditions
A cause of loss form
Drews agent is putting together a commercial property policy for him. The declarations page, the conditions page and several endorsements have been included. Which of the following must still be included to complete the policy
Coverage for the negligence of the insured.
Katrina has her commercial building covered by a commercial package policy. Which of the following is the section within her policy where she would see the dimensions of her building listed
Carrier A will pay $2,000, carrier B will pay $2,000, and carrier C will pay $16,000.
Mr. and Mrs. smith own a building worth $100,000 and have it insured on the same basis under three separate policies. Carrier A provides $10,000, and carrier C provides $80,000, if there is a $20,000 fire loss, how will the claim be paid by the policies?
The standardized commercial property forms do not contain cancellation and non- renewal provisions because they are almost always amended by statue
The cancellation and non-renewal provisions in property policies are two of the policy provisions that are most frequently subject to statutory amendments by the states. All of the following statement are correct regarding the cancellation and non-renewal provisions in the standardized commercial property policy coverage form.
To be voided if the insured intentionally concealed or misrepresented a material fact on the application for insurance
The commercial property condition known as " concealment, misrepresentation, or fraud" calls for the policy
The number of buildings the insured owns that are not covered by the policy.
There are several different commercial property coverage forms that can added to a commercial package policy. Which of the following is NOT described on a commercial property coverage form?
- The "transfer of right of recovery against other to us " condition.- The" other insurance" condition.- The " insurance under two or more coverages" condition- The " control of property" condition Answer: The " insurance under two or more coverages" condition
Which of the following Commercial Property conditions is meant to prevent " over indemnification" of the insured
Transfer of Rights of Recovery Against Others to Us
Which of the following commercial property conditions could be referred to as the " subrogation clause"
The " insurance under two or more coverages" condition.
Which of the following commercial property conditions is meant to prevent "over indemnification" of the insured?
- Commercial property coverage can only be written as part of a package policy.- Commercial property coverage can be written as a monoline policy.- Commercial property coverage can be written as both a monoline policy and as part of a package policy- Commercial property coverage can only be written if a separate liability policy is attached to it. Answer: Commercial property coverage can be written as both a monoline policy and as part of a package policy
Which of the following is true regarding commercial property coverage?
