Exam (elaborations)
AINS 103 (Business Insurance) All Combined Chapters Questions and Answers to Score 99%
- Course
- Institution
AINS 103 (Business Insurance) All Combined Chapters Questions and Answers to Score 99%
[Show more]
Content preview
AINS 103 (Business Insurance) AllCombined Chapters Questions and
Answers to Score 99%
In the liability coverage agreement of the Business Auto Coverage Form
(BACF), the insurer expresses its three distinct duties. Which one of the
following identifies one of those duties?
Correct Answer -A duty to pay covered pollution cost.
Coverage will apply under the liability insuring agreement of the Business
Auto Coverage Form (BACF) for bodily injury or property damage:
Correct Answer -Caused by an accident.
Which one of the following would qualify as an uninsured motorist
pursuant to a uninsured motorist UM endorsement on a business auto
policy?
Correct Answer -A hit-and-run driver.
Part 2 of the Workers Compensation and Employers Liability Policy
requires which one of the following with respect to covered injuries?
Correct Answer -The injury must arise out of employment necessary or
incidental to the insured's work in a state or territory listed in the policy.
Which one of the following statements is true about the basic differences
between excess and umbrella liability policies?
Correct Answer -An umbrella offers not only high limits of liability, but
also may provide coverage not provided by the underlying insurance.
,Adam, the risk manager for Carmichael Health Care, has determined that
the company needs liability insurance of $100 million. However, he
cannot find any one insurer that will write a policy of $100 million.
The final insurance arrangement that Adam submitted to the officers at
Carmichael Health Care is as follows:
Insurer A: $10 million
Insurer B: $20 million
Insurer C: $30 million
Insurer D: $40 million
This insurance arrangement is referred to as:
Correct Answer -Layering.
The owners of BB Hotel wanted to make sure that they were covered for
damage to the air conditioning and refrigeration equipment. In equipment
breakdown insurance, air conditioning and refrigeration equipment
includes components such as:
Correct Answer -Coils.
Policies for the crime loss exposure for financial institutions are called
"bonds" because:
Correct Answer -Employee dishonesty, a key coverage, was traditionally
called a "fidelity bond."
Raw Goods, an organization that supplies raw materials is evaluating its
options to insure a few shipments of goods per year to its distributor.
Which one of the following types of inland/ocean marine insurance would
likely be most appropriate?
Correct Answer -Trip transit insurance.
, Which one of the following is typically covered by a builder's risk policy?
Correct Answer -Building materials and supplies.
Anna was excited after a good meeting with the owners of Tully
Apartments. The building was a ten-story building with two retail shops
on the first floor, and apartments above. The building was close to 50
years old, but in very good condition. Anna knew that apartments were
eligible for the businessowners policy (BOP), so she thought that she
would be able to offer a complete coverage package at a good price. After
submitting the BOP application, she was surprised to learn from her
underwriter that Tully Apartments was not eligible for BOP coverage.
Which one of the following is the reason that Tully Apartments was
ineligible for the BOP?
Correct Answer -It exceeds the height limit for apartments.
Ella is a producer for Westfork Mutual. She recently met with the owners of
The White Canary Motel and is trying to determine if it is eligible for the
ISO businessowners policy (BOP). Which one of the following facts about
The White Canary Motel would prevent it from being eligible for the BOP?
Correct Answer -The White Canary Motel closes from January 1 to March 1
every year.
Harry is a claim representative for Greatview Insurance. He has been
assigned a professional liability claim for a policyholder insured under a
businessowners policy (BOP). Harry wants to review the policy to confirm
the details on the professional liability coverage purchased. Which one of
the following components of the insured's BOP should Harry review?
Correct Answer -The Endorsements component of the insured's BOP will
provide Harry with the specific endorsements used to tailor coverage. The
Declarations will include the name of the endorsements, but not the actual
wording.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller saraciousstuvia. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67096 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now