Exam (elaborations)
PSI PRACTICE TEST 3 (PA) QUESTIONS AND ANSWERS
- Course
- Institution
PSI PRACTICE TEST 3 (PA) QUESTIONS AND ANSWERS
[Show more]
Content preview
PSI PRACTICE TEST 3 (PA) QUESTIONSAND ANSWERS
Which is included in the declaration page of a commercial general liability policy?
1. Policy effective date
2. Claim reporting
3. Warranties & limitations
4. Common policy - Answer-Policy effective date
Leah provides transportation to her client for their business lunch. The client closes that
car door on her own hand. What type of coverage applied?
1. Physical damage
2. Liability
3. Medical payment
4. Health ins - Answer-liability
The Federal law that requires insurance company to explain their information-sharing
privates to their customer
1. Fair Claim Act
2. Gramm-Leach-Bliley Act
3. Terrorism Risk Act
4. Patient Protection & Affordable Care Act - Answer-Gramm-Leach-Bliley Act
A commercial general liability occurrence form claim for?
1. occur within the policy period
2. occur outside the policy period
3. are reported within the policy period
4. are settled within the policy period - Answer-occur within the policy period
No active insurance license will be revoked until:
1. The producer has been afforded the right to a hearing on the changes
2. At least three violations have occurs
3. A jury has decided upon such action
4. A cease and desist order has been issued - Answer-The producer has been afforded
the right to a hearing on the changes
A CGL occurrence form cover claim for ONLY:
1. occur within the policy period
2. occur outside the policy period
3. are reported within the policy period
4. are settled within the policy period - Answer-occur within the policy period
Under a personal automobile policy, Part A - liability coverage covers damages for
which of the following?
1. Physical damages to the owner-insured automobile from an accident
,2. Damages for medical injuries sustained by someone else as a result of a covered
accident
3. Damages for liability or property damage done to someone else as a result of a
covered accident
4. Damages for liability or property damage to the owner-insured of the vehicle as a
result of a covered accident - Answer-Damages for liability or property damage done to
someone else as a result of a covered accident
Loss settlement that takes a deduction for depreciation is called:
1. actual cash value
2. expense incurred value
3. replacement cost value
4. repair cost value - Answer-actual cash value
How does the owner of an automobile insured under a personal automobile policy in PA
show proof of financial responsibility?
1. by signing a sworn statement that must be notarized
2. with an ID card provided by the insurer
3. by obtaining an endorsement to the owner's driver license
4. with a certificate issued by the Department of Transportation - Answer-with an ID
card provided by the insurer
An insured that is covered on a business automobile policy would like to get physical
damage coverage for a.............business automobile policy can be used to insured this
covered automobile?
1. Miscellaneous vehicle coverage
2. Mobile equipment endorsement
3. Drive other car endorsement
4. Garagekeeper coverage - Answer-Drive other car endorsement
An individual is shopping at the local supermarket and slips on a wet floor. The
supermarket's GLP will cover payments EXCEPT?
1. first aid
2. lost wages
3. dental expense
4. ambulance service - Answer-lost wages
All of the following are examples of negligence EXCEPT:
1. damages
2. proximate cause
3. legal duty owed
4. nonpayment of premium - Answer-nonpayment
According to PA's Worker Compensation Law, a notice shall be posted:
1. Remember, safety first
2. Remember this is a WC facility
, 3. Remember it's important to be careful at all time
4. Remember, it's important to tell your employer about your injury - Answer-Remember,
it's important to tell your employer about your injury
Which of the following is the purpose of the P&C insurance Guaranty Fact in PA?
1. establish and regulate rates
2. avoid excessive delay in payment
3. determine that an insurer is insolvent
4. provide for the payment of covered claim of an insolvent insurer - Answer-avoid
excessive delay in payment
Difference in conditions policy are usually written on:
1. small risks with no deductibles
2. small risks with a coinsurance requirement
3. large risks with reinsurance requirement
4. large risks with unusual exposure - Answer-large risks with unusual exposure
Which would be eligible on a business automobile policy?
1. A hydraulic excavator
2. A riding lawnmower
3. A dump truck
4. A backhoe - Answer-A dump truck
The responsibility for regulating the insurance continuing education requirement.....
1. PA Insurance Commissioner
2. PA Department of Education
3. Guaranty Association Board of Directors
4. National Association of Insurance Commissioners - Answer-National Association of
Insurance Commissioners
The coverage that continues beyond the expiration of a liability policy written on a
claims-made basis is referred to as:
1. extended reporting periods
2. stop-loss provision
3. extension coverage
4. umbrella coverage - Answer-extended reporting periods
For licensing purposes, the producer's principal place of business or residence in any
state determines the producer's:
1. territory
2. home state
3. license renewal date
4. insurance transaction site - Answer-home state
A deliberate lie by an insured to the insurer to obtain a lower premium is an example of:
1. fraud
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 biggdreamer. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $15.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now