Auto Insurance

Question 1

Personal auto

What types of vehicles are covered under a personal auto policy?

Answer 1

Any vehicle shown in the declarations
A newly acquired auto
Any trailer owned
Any auto or trailer not owned by the insured but used as a temporary substitute

Question 2

Personal Auto

Define a newly acquired auto.

Answer 2

Vehicles that are acquired by the insured during the policy period.

Question 3

Personal Auto Policies

Any of the following: private passenger auto, pickup, van, or trailer

Operated by or in the custody of the named insured or a family member, but that are not titled by or furnished for the regular use of the insured.

i.e. a rental car

The above are examples of what?

Answer 3

Nonowned Auto

Question 4

Personal Auto

Intentional injury or damage
Bodily injury to an employee during the course of employment
Use of a vehicle as a public or livery conveyance, except car pools.

Reference pg. 25 of the Auto Insurance chapter in study guide book for complete list.

The above are examples of what?

Answer 4

Losses excluded from coverage in liability section of personal auto policies.

Question 5

The liability section of the Personal Auto Policy protects the insured against?

A. Loss arising from legal liability when an automobile that the insured owns, operates, or maintains is involved in an accident.
B. Loss arising from legal liability with any automobile the insured does not own.
C. Loss arising from legal liability with an automobile the insured borrows.
D. all of the above

Answer 5

A

The liability section of the Personal Auto Policy protects the insured against loss arising from legal liability when an automobile that the insured owns, operates, or maintains is involved in an accident.

Question 6

Personal Auto

The below list indicate ways that a motor vehicle can be classified as what?

1. There is no liability bond or insurance for the vehicle.
2. The bond or insurance is less than that required by the financial responsibility laws of the state in which the accident occurred.
3. The accident was a hit-and-run accident, and the driver cannot be identified.
4. The bonding company or insurance company denies coverage or is insolvent.

Answer 6

uninsured

Question 7

Personal Auto

When is underinsured motorist coverage appliable?

Answer 7

If the at-fault motorist has insurance, but the limits are not sufficient to cover the bodily injury.

Question 8

Personal Auto

An individual who owns or operates a vehicle but does not carry any liability insurance coverage defines what type of motorist?

Answer 8

Underinsured motorist

Question 9

What coverages are available in the physical damage section of the Personal Auto Policy?

Answer 9

Collision and other than collision coverage (Comprehensive)

Question 10

Personal Auto

How much will a physical damage policy pay for transportation expenses due to a theft of a covered auto?

Answer 10

Up to $20/ day up to a maximum of $600.

amount(s) include loss of use expenses the insured is legally obligated to pay because of theft of a nonowned vehicle.

Question 11

Personal Auto

The following describe the____________ of an insured motorist that is involved in an accident:

Promptly notify the insurer of the loss
Cooperate with the insurer
Forward any legal papers received
Submit to a physical exam or to examination under oath when requested
Allow the insurer access to medical records
Submit a proof of loss
Notify the policy of a hit-and-run accident or if vehicle is stolen
Protect the property from further loss
Allow the insurer to inspect and appraise the damaged property

Answer 11

Duties

Question 12

Personal Auto

The following describes what type of endorsement:

Can broaden the liability only, or liability and medical payments coverage provided in the policy.

Answer 12

Extended nonowned coverage endorsement

Question 13

Personal Auto

This type of endorsement modifies the policy by expanding the definition of covered auto to included other types of motorized vehicles.

Answer 13

Miscellaneous type vehicle endorsement

Question 14

Personal Auto

When a vehicle is owned by 2 or more persons, including individuals who are not related. This is an example of when what type of endorsement would be used?

Answer 14

Joint ownership coverage endorsement

Question 15

Commercial Auto

Using symbol 30 on the declarations section of a policy will active what type of coverage?

Answer 15

Garagekeepers coverage

Question 16

What are the 5 coverage forms used for commercial auto insurance?

Answer 16

Business auto
Business auto physical damage
Garage
Truckers
Motor carrier coverage

Question 17

What symbols are used in the business auto coverage form?

Answer 17

Symbols 1-9 and 19

Question 18

What coverage is provided in the liability section of the business auto coverage form?

Answer 18

Injury or property damage to third parties.

Question 19

Commercial Auto

The following defines what for the Garage coverage form?

The person named in the declarations
People who operate a covered auto
People liable for the conduct of the insured
Employee of the insured

Answer 19

The insured

Question 20

Commercial Auto

Coverage for a nonowned trailer in the insured’s care is provided by______________
Who would need this coverage?

Answer 20

trailer interchange coverage

Truck drivers need this coverage.

Question 21

Commercial Auto

How does the auto medical payments endorsement modify the policy?

Answer 21

Adds medical payment coverage

Question 22

Commercial Auto

Liability coverage to an individual and spouse while using nonowned vehicles for either business or personal use is coverage provided under what endorsement?

Answer 22

Drive other car endorsement

Question 23

Commercial Auto

Who would use the individual named insured endorsement?

Answer 23

A business owner who uses a company vehicle for personal use.