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Property and Casualty Exam questions with complete solutions
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Property and Casualty Exam questions with complete solutions
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Property and Casualty Exam questions with complete solutionsThe Business owners Policy, or BOP, is a ____ policy that can be used to cover most small low _____. - Answer-Prepackaged, Low risk
One of the advantages of the BOP is that it is ____, which means that many of the coverage questions have been predetermined by the insurance company which lowers the _____. - Answer-Prepackaged, Premium
The BOP automatically includes both ____ coverage's and ____ coverage's. - Answer-
Property and Liability
Eligible for a BOP are small to medium _____ businesses. - Answer-Low risk
Ineligible for a BOP are high risk businesses, such as auto repair businesses, auto service stations, auto dealers, parking garages, ____,_____,____ or ______ (no Cars, Bars, Banks or Manufacturing). - Answer-bars, large restaurants, banks or manufacturing businesses
The BOP offers two levels of peril power: ____(Standard) or _____. - Answer-Basic or Special
Both the building and the _____ are automatically covered. - Answer-Contents
The BOP standard deductible is $____. - Answer-$500
The BOP does NOT contain a Coinsurance requirement; however, there is an incentive to purchase an adequate amount of coverage. If you purchase at least _______, your loss settlement will be on a Replacement Cost basis instead of on an ___ basis. - Answer-80 percent to value, ACV
The BOP automatically provides _____, ______coverage for Loss of Income and Extra Expense. However, there is a ______ time based deductible. - Answer-months, 72 hour
(3 Day) coverage, 72 hour (3 Day)
The BOP has a built in peak season benefit that automatically allows for up to a __ percent increase in business inventory without the necessity of notifying the insurance company. - Answer-25
Optional BOP coverage's include Outdoor Signs, ____, ______, _____ , _____ and Money and Securities. - Answer-Employee Dishonesty, Mechanical Breakdown, Burglary and Robbery The BOP Endorsement that gives a business a premium reduction for installing burglar alarms or fire alarms is called Protective _____. - Answer-Safeguards
Under the Protective Safeguards endorsement, your burglar alarm can be out of service
for up to _____ without notifying the company before you lose coverage. - Answer-48 hours (two days)
The Commercial Property module of the Commercial Package Policy excludes coverage for losses due to boiler ____ or _____ breakdown. - Answer-Explosion or Mechanical
The Boiler and Machinery (B and M) module is the way to _____ these Exclusions. - Answer-Buy back
B and M policies are written on an ____ basis, not on an occurrence basis. - Answer-
Accident
The Boiler coverage is best described as ____ against _____. - Answer-objects against accidents
The Machinery coverage of the B and M module is for the ____ and ____ breakdown of mechanical or electrical equipment. - Answer-sudden and accidental
______ that can be insured under a B and M policy include boilers, air conditioning units, engines, pumps, electrical panels, turbines, and compressors. - Answer-Objects
The B and M policy covers not only your own property, but also other people's property that is in your ___,____, and ____. - Answer-Care, Custody and Control.
In order to get damaged equipment repaired as soon as possible, the B and M policy pays up to $25,000 in ______. - Answer-Expediting Expenses
Under the ______ an insurance company boiler inspector may immediately suspend coverage by giving the Insured written notice of the boiler defect. - Answer-Suspension Provision
Business Income and ______ coverage's can be added to the B and M policy. - Answer-Extra Expense
Unfortunately the biggest risk that an employer has regarding Crime insurance is his/her
own ___. - Answer-Employees
As an employer you can protect yourself against employee theft by purchasing _____. - Answer-Fidelity Bonds In a Fidelity Bond it is the employee that owes the obligation to the employee, so the employee is the _____. The employer is owed the obligation, so the employer is the _____. The insurance company agrees to pay, so it is the _____. - Answer-Principal, Obligee, Surety or Guarantor.
Coverage on a bonded employee automatically terminates as soon as the employer becomes aware of a _____ act of that employee that could be the basis of a claim. No second chances! - Answer-Dishonest
A Fidelity Bond that covers multiple employees that are listed by job title and may have different amounts of coverage for different positions is called a ____. - Answer-Position Schedule Bond
The taking of property by violence or threat of violence from a person is called _____. - Answer-Robbery
The taking of property from a premises that is closed and locked tight and leaving marks
of forced entry or exit is called _____. - Answer-Burglary
In Crime insurance, what you know as kidnapping is called _____. - Answer-Extortion
Any person who is authorized to have possession of insured property on the premises, but who is not a janitor or watch person, is called a _____. - Answer-Custodian
A Messenger is any person authorized to have custody of insured property ______. - Answer-Away from the premises.
Any person the Insured retains to protect insured property on the premises who has no other duties is called a _____. - Answer-Watch person
Crime coverage Form A Employee Dishonesty are actually _____ on the employees. - Answer-Fidelity Bonds
Crime coverage Form C Theft, Disappearance and Destruction is essentially All Risk coverage for ____ and ____ both on and off premises. - Answer-Cash and Securities
Crime coverage Form D Robbery and Safe Burglary covers property other than _____, such as precious metal, precious stones, furs, manuscripts or drawings. - Answer-Cash
The second major coverage of the Commercial Package Policy is the CGL or _____ Liability policy. - Answer-Commercial General
Just like a baseball team, the CGL has ___ ''players,'' including Premises coverage, Operations coverage, _____ coverage, ____ coverage, Contractual and Advertising Injury coverage. - Answer-Nine, Products, and Fire Legal
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