Insurance Questions

Under the Garagekeepers coverage, Section III of the Garage policy, the insured suffers a single vandalism loss to nine (9) vehicles belonging to customers. Damage is $100 per vehicle. How much will the policy pay?Choose one answer. a. $400 b. $500 c. $900 d. Nothing

Which of the following are covered as part of Coverage A Bodily Injury and Property Damage of a Commercial General Liability policy?Choose one answer. a. All of these answers are b. Liability assumed under a lease contract c. Liability due to one's products injuring others d. Contingent Liability caused by a subcontractor of the insured

Why are Professional Employer Organizations (PEO) or Employee Leasing Companies not exempt from state regulation?Choose one answer. a. Florida Statute 468.529 prohibits PEOs from sponsoring self-insured health plans. b. Even though a purported "co-employer" relationship exist, the state does not recognize an employee/employer relationship with the employee and the PEO since the PEO does not control the hiring and firing of employees, evaluation of employee performance, discipline, determine compensation, or determine the hours, location, nature and method of work to be performed c. Two of these answers are d. None of these answers are

Which of the following is not covered by the Dwelling Policy DP1?Choose one answer. a. Fair Rental Value b. Other Structures c. Additional Living Expense d. Debris removal

Under a basic Boiler and Machinery Form, with no special endorsements, which of the following losses would be covered?Choose one answer. a. Property owned by another in the care of the insured was damaged in an accident to an insured object, resulting in a claim by the owner of the property b. The insured suffers loss of income following an accident to a covered object c. During testing, after some repairs, a boiler had a sudden breakdown d. During an accident involving a covered object, a visitor on the insured's premises suffers injuries and sued the insured

Workers' Compensation is regulated in Florida by the Division of Worker's Compensation of the:Choose one answer. a. Department of Financial Services b. Department of Highway safety and Motor Vehicles c. Public Service Commission d. Department of Labor and Employment Security

The insured has the building covered under the Building and Personal Property Coverage Form in the amount of $100,000. The Replacement Cost Value of the building is $125,000. The policy contains a $5,000 deductible clause. Assuming no other coverage, which of the following is payable in the event of a $120,000 loss?Choose one answer. a. $100,000 b. $125,000 c. $95,000 d. $80,000

Workers' Compensation will pay benefits for which of the following?Choose one answer. a. Injury due to illegal drug use b. Injury due to intoxication c. Intentional self-injury d. Refusal to use required safety devices

The insured has purchased Mechanical Breakdown coverage. Which of the following are not covered?Choose one answer. a. Engine b. Radio Antenna c. Air Conditioning d. Transmission

Under the Commercial Property Policy, the Value Reporting Form limits a settlement to which percentage if the first report is not filed on time?Choose one answer. a. 80% b. 90% c. 50% d. 75%

What are the rules that allow for state regulation of MEWAs?Choose one answer. a. If fully insured, the MEWA remains subject to state regulation b. All of these answers are correct c. A MEWA that is not an employee benefit plan is subject to state insurance regulation d. If not fully insured, the MEWA is subject to all state insurance laws not inconsistent with ERISA

Which of the following apply to the separation of insureds condition of the CGL policy?Choose one answer. a. Coverage only applies to the first named insured on the policy b. All of these answers are c. Coverage applies separately to each insured as if that interest were the only insured d. Coverage applies separately if there are separate policies for each insured

Which one of the following features is not true about a Health Maintenance Organization (HMO)?Choose one answer. a. They are known as a program that offers insureds the broadest choices of doctors and specialty care b. Their goal is to practice preventive medical care c. They have few exclusions and a small deductible and co-payment d. They have separate physical facilities to treat patients

Under which of the following conditions should the "Building Ordinance" optional coverages be considered?Choose one answer. a. Two of these answers are b. If the community has an ordinance, which requires demolition of the undamaged portions of the building after a partial loss c. None of these answers are d. If the insured's building is not in accordance with current building and zoning laws

Which of the following is a true statement concerning sole proprietors under the worker's compensation law?Choose one answer. a. A sole proprietor may elect to be exempt from coverage under the law b. All of these answers are c. Sole proprietors and partners in the construction industry may not exempt themselves from coverage d. All partners are considered to be employers and may exempt themselves under the law

Which of the following does not have an insurable interest in a property?Choose one answer. a. A friend who purchased insurance in his own name because the owner refuses to buy insurance b. A mother-in-law who gives cash as a gift c. The son of owner who expects to inherit property d. A mortgage company

What coverage form applies for one who leases a building from another, as to the possibility of being responsible to the owner for damage to the building caused by fire due to negligence of the tenant?Choose one answer. a. Agreed Value coverage b. Replacement Cost coverage c. Legal Liability coverage d. Builders Risk coverage

The insured has a Homeowner's, HO3 policy. A tree was struck by lightning, hit a power line, and damaged the roof of the dwelling, swimming pool, and caused spoilage of food. Which items are covered?Choose one answer. a. The pool b. The food spoilage c. The tree d. All of these answers are correct

Under a Business Income Property form, which coinsurance clauses are available?Choose one answer. a. 50% Coinsurance b. All of these answers are correct c. No Coinsurance d. 125% Coinsurance

What are some perils unique to farm coverage?Choose one answer. a. Electrocution, drowning, or accidental shooting of covered livestock b. All of these answers are c. Attacks on covered livestock by dogs or wild animals d. Loading/unloading accidents