Insurance Questions

Describe admitted aircraft liability.Choose one answer. a. All of the answers are correct b. Covers payment for death or dismemberment c. Not written when carrying passengers for hire d. Requires the named insured to request it and requires the insurer to be released from further liability

Describe the medical payments coverage.Choose one answer. a. Coverage is provided for medical, surgical, ambulance, hospital, etc. b. All of the answers are correct c. Coverage is provided while in, entering into, or alighting from the aircraft. d. Provides medical expenses for bodily injuries by accident, without regard to legal liability.

Describe aircraft liability coverage.Choose one answer. a. All of the answers are correct b. Bodily injury liability (excluding passenger liability), passenger liability and property damage liability insurance. c. The company will pay on behalf of the insured all sums which the insured becomes legally obligated to pay as damages because of bodily injury, sickness or disease, including death at any time, or injury to or destruction of property. Covers public and passenger liability and property damage liability.

In addition to general policy exclusions are there any specific exclusions, which apply to hull insurance?Choose one answer. a. All of the answers are correct b. Coverage excludes injury to the named insured or an employee. c. No coverage for loss caused by conversion, embezzlement or secretion by any lessee or any other person in possession of the aircraft under a bailment lease, conditional sale, mortgage, or other encumbrance. d. Maintained for any purpose other than the use classification permitted in policy declarations.

What are common options for hull coverage?Choose one answer. a. All Risk coverage in flight, all risk coverage not in flight, or all risk coverage both b. Named peril coverage in flight, all risk coverage not in flight, or all risk coverage both c. Named peril coverage in flight, or all risk coverage both d. Named peril coverage in flight, named peril coverage not in flight, or all risk coverage both

What underwriting considerations should be noted in an aircraft insurance policy?Choose one answer. a. Age and condition of the aircraft b. Pilots- qualifications and experience c. Size-light or heavy aircraft d. All of the answers are correct

Which exclusion will deny liability coverage for an aircraft?Choose one answer. a. All of the answers are correct b. Maintained for any purpose other than the use classification permitted in policy declarations. c. Coverage is denied for aircraft not registered under a standard category airworthiness certificate. d. Operated in flight by (a) other than the pilot named in the declarations, (b) by a declared pilot operating outside the limitations imposed in the declarations.

What are the territorial limits of the aircraft liability policy?Choose one answer. a. In Florida, it is not uncommon to have the Bahamian Islands included by endorsement. b. All of the answers are correct c. Usually the United States, Canada and Mexico d. Often coverage in Mexico is limited to within 100 miles of the United States border.

How are the limits of liability in an aircraft liability policy normally written?Choose one answer. a. All of the answers are correct b. Bodily injury limits might be for example $100,000 per person, $300,000 per occurrence and $50,000 each occurrence for property damage liability. c. Alternatively, single limit coverage is common. d. Typically they are applied in the same manner as automobile liability insurance policies.

Is there a difference in the deductibles for hull coverage when an aircraft is "in motion" or "not in motion"?Choose one answer. a. A deductible normally applies for "in motion" coverage, normally expressed as a percentage of the value; 2-1/2%, 5% and 10% are the most common. b. Both of the answers are correct c. The "not in motion" basis may not require a deductible d. None of the answers are correct

Describe "admitted aircraft liability" in an aviation policy.Choose one answer. a. A coverage written as an adjunct to passenger liability. b. All of the answers are correct c. Coverage is not applicable to passengers carried for hire. d. It provides for principal sum payments for death or dismemberment if the named insured requests it and the company is released from further liability.

Aircraft liability coverage includes?Choose one answer. a. Bodily injury liability, passenger liability and property damage liability b. None of the answers are correct c. Public liability and passenger liability d. Public liability and property damage liability

How are aircraft hull policies valued?Choose one answer. a. Most aircraft hill policies are "valued" policies b. Both of the answers are correct c. None of the answers are correct d. Some policies are written on an actual cash value or replacement cost basis

Coverage written to protect the insured's liability for damage to aircraft stored for safekeeping or repair is called?Choose one answer. a. Airport and air meet liability b. Cargo liability c. Product liability d. Hanger keeper's liability coverage

The special aviation coverage, which provides manufacturers and sales or repair organizations with liability coverage attributable to defective products or work, is called?Choose one answer. a. Hanger keeper's liability Airport and air meet liability b. Cargo Liability c. Products liability

The special aviation coverage, which protects against legal liability for loss or damage to cargo or baggage, is called?Choose one answer. a. Airport and air meet liability b. Cargo Liability c. Hanger keeper's liability d. Products liability

The insured has a Commercial General Liability policy written on a Claims Made basis. During the policy term an incident occurred and was reported to the agent. No claim was made until two years after expiration of the policy and after coverage had been renewed by another insurer. Which of the following describes how the insurer will respond?Choose one answer. a. The claim will be denied because the claim was not presented during the policy period b. The claim will be denied because the Statute of Limitations has expired c. The claim will be paid by the current insurance company d. The claim is covered by the carrier at the time of the incident since the incident was reported during the policy period and the claim was made within five years of expiration of the claims made policy

Which of the following would not be considered an "employment" under the worker's compensation law?Choose one answer. a. One or more employees in the construction industry b. Private employments with four or more employees except in the construction industry c. Governmental employments regardless of the number of employees d. Domestic servants in private homes

What are possible consequences for aiding and abetting an unauthorized insurer?Choose one answer. a. Conviction of a third-degree felony b. Subject to suspension or revocation of all insurance licenses c. All of these answers are correct d. Liability for all unpaid claims of the unauthorized insurer

What is the maximum medical benefit under Workers' Compensation?Choose one answer. a. 85 - 95% of loss of wages b. 80% of medical costs c. $5,000 d. Unlimited