Property and casualty insurance Exam Questions and Answers Part one 2025 Which of the following are the authorities that an agent can hold? - Correct Answers ✅Express and implied Which of the following terms refers to such disabilities the loss of a limb, hearing , or eye sight? - Correct Answers ✅Permanent partial disability Who is NOT considered an employee in an commercial general liability (CGL) policy? - Correct Answers ✅Temporary worker The major portion of the premium of an equipment breakdown policy pays? - Correct Answers ✅For inspections and examinations An insured owns a building valued at $400,000. To comply with the 80% coinsurance provision of his insurance policy, how , much should he insure the property for? - Correct Answers ✅80% of the property's replacement cost or more Under the Fair Credit Reporting Act, if the consumer challenges the accuracy of the information contained in his or her report, the reporting agency must - Correct Answers ✅Respond to the consumer's complaint.All of the following are found in the declarations section of a policy EXCEPT the - Correct Answers ✅Exclusions. 1 / 4
Property and casualty insurance Exam Questions and Answers Part one 2025 The cost of restoring farm records is an additional coverage offered under a farm policy. How much will the policy pay to restore the records? - Correct Answers ✅Up to $2,000 All of the following could be considered rebates if offered to an insured in the sale of insurance EXCEPT - Correct Answers ✅Dividends from a mutual insurer.Which of the following may be covered by electronic data processing coverage form under an inland marine policy? - Correct Answers ✅a) Computer hardware that is specifically scheduled.
b) Extra expense the insured incurs to continue the business
following a loss.
c) Data processing media, including magnetic tapes or paper
tapes, punch cards and discs The party to a surety or fidelity bond who promises to fulfill the obligation is the - Correct Answers ✅Principal The transfer of money from inside a banking premises to a person other than a messenger outside those premises or to a place outside those premises is covered under which 2 / 4
Property and casualty insurance Exam Questions and Answers Part one 2025 commercial crime coverage? - Correct Answers ✅Computer fraud Which of the following would NOT be covered under the liability section of a personal auto policy? - Correct Answers ✅Bodily injury is caused by the insured's negligence while driving a three-wheel all-terrain vehicle.When a producer holding a certificate or a broker's license has a change in his/her residence or business address, he/she must notify the Department of Insurance and any company for which the producer holds an appointment within - Correct Answers ✅30 days.What will happen if a house covered by a standard mortgage clause is a total loss? - Correct Answers ✅The insurer pays the mortgagee according to the mortgagee's interest in the property.What is the civil penalty for violating a cease and desist order of the Commissioner? - Correct Answers ✅$10,000 The Business Pursuits endorsement under Section II of a homeowners policy will cover all of the following EXCEPT - Correct Answers ✅Business liability. 3 / 4
Property and casualty insurance Exam Questions and Answers Part one 2025 If a property is covered by Company A for $20,000 and Company B covers the same property for $40,000, how much will Company A pay on a $24,000 loss? - Correct Answers
✅$8,000
The risk management technique that is used to prevent a specific loss by not exposing oneself to that activity is called - Correct Answers ✅Avoidance.In a farm policy, any cost incurred by the insurer for the investigation or defense of a claim will be paid by - Correct Answers ✅The insurer.Which of the following entities must approve all continuing education courses in this state? - Correct Answers ✅The Commissioner An applicant knowingly fails to communicate information that would help an underwriter make a sound decision regarding coverage. This is an example of - Correct Answers ✅Concealment A common exclusion found under physical damage to your auto includes - Correct Answers ✅Mechanical breakdown.
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