CPCU 551

Exposure avoidance abandons or avoids the loss situation, thus eliminating all possibility of loss Proactive avoidance occurs when a firm avoids ever incurring a particular loss exposure Abandonment occurs when a firm eliminates an existing loss exposure Loss prevention reduces loss frequency Loss reduction reduces loss severity Separation disperses resources over two or more locations Duplication creates copies or spares of important items and stores them at...

CPCU 551 – Focus exam questions and answers.

CPCU 551, Chapter 1 questions and answers

CPCU 551 EXAM QUESTIONS AND ANSWERS.

The Causes of Loss—Special Form is a commercial property form that covers causes of loss that are not specifically excluded. One reason to purchase this form is It shifts the burden of proof to the insurer to prove a loss is excluded Which one of the following Additional Coverages is covered under the Causes of Loss—Special Form but not under the Causes of Loss—Broad Form? Property in Transit The Causes of Loss—Special Form provides coverage for which one of the following sce...

Commercial Package Policy (CPP) 1-1 Policy that covers two or more lines of business by combining ISO's commercial lines coverage parts Businessowners Policy (BOP) 1-2 A package policy that combines most of the property and liability coverages needed by small and medium-sized businesses Output Policy 1-3 A policy that combines, in one form and associated endorsements, all or most of the commercial property coverages that the insured organization needs, and uses a flexible rating pl...