Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Commercial Insurance > Auto Insurance > Flashcards

Auto Insurance Flashcards

1
Q

What covers the insured’s owned or hired business autos for physical damage only?

A

Business Auto Physical Damage Form

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is used to insure the private passenger and commercial auto exposures of all businesses other than auto dealers and motor carriers and includes liability and Physical Damage coverage

A

Business Auto Coverage Form

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

A commercial auto policy must contain the following elements:

A

Common Policy declarations, common policy conditions, one of four separate coverage forms (business auto, business auto pd, auto dealers, or motor carrier), appropriate declarations for coverage form selected

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What coverage has to be added by endorsement

A

uninsured motorists, medical payments, underinsured motorists

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

A land motor vehicle, trailer, or semitrailer, including any attached machinery or equipment, that is designed for travel on public roads or subject to compulsory or financial responsibility laws or other motor vehicle laws

A

Auto

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

costs arising out of any statutory or regulatory requirement or any order by a government authority demanding that the insured test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or respond to or assess the effects of pollutants.

A

Covered Pollution cost or expense

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Actual or perceived loss in resale or market value that results from direct, accidental loss

A

Diminution of value

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

any solid, liquid, gaseous, or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals, and waste. Waste includes materials to be recycled, reconditioned, or reclaimed.

A

Pollutants

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Those who are not insureds Include:

A
  • owner of an auto hired or borrowed from an employee or family member
  • A person who is working in auto-type business
  • People besides employees or lessees while moving property to or from a covered auto
  • The owner of a hired or borrowed auto
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Symbol for Any Auto

A

1

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Symbol for owned autos only

A

2

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Symbol for any private passenger auto the insured owns and designates any coverage provided by the business auto coverage form

A

3

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Other types of vehicles the insured owns such as trucks, trailers, buses and motorcycles - Any coverage provided by the business auto coverage form

A

symbol 4

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Owned autos subject to no-fault law

A

Symbol 5

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Designates owned autos required to have uninsured motorists coverage in a particular state

A

Symbol 6

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Symbol for specifically described autos

A

Symbol 7

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Designates liability and/or physical damage coverage only for autos the insured has leased, hired, rented, or borrowed. Does not include autos rented or borrowed from employees or members of their household

A

Symbol 8

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Only used for autos used in the insured’s business that are not leased, hired, rented, or borrowed. Includes autos owned by employees but used in the insured’s business or personal affairs and designates liability coverage only

A

Symbol 9

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Autos that would be considered mobile equipment if they were not subject to compulsory or financial responsibility laws or other motor vehicle laws

A

Symbol 19

20
Q

What is the maximum deductible

A

Five times the highest deductible applicable to any auto insured for comprehensive or specified cause of loss coverage even if the auto with the highest deductible was not involved in the loss

21
Q

Provides coverage for transportation expenses

A

Coverage extension

22
Q

When does the coverage extension start

A

48 hours after the theft and ending when the auto is returned or the insurer pays the loss. limited to a max of $30 per day or a total of $900

23
Q

What is Loss of Use

A

Expenses to rent autos for which the insured is legally responsible under a contract or agreement. Coverage limited to $30/day to a max of $900

24
Q

What is the Auto Dealers Coverage Form

A

Designed specifically for vehicle dealers, including dealers that have repair operations on the business premises.

25
Q

What types of dealers can the auto dealers coverage form cover

A

auto dealers, truck and truck-tractor dealers, motorcycle dealers, commercial trailer dealers, and recreational vehicle dealers

26
Q

What coverage are included on the auto dealers coverage form

A

Covered Autos; GL, ; Acts, errors, or omissions liability coverages

27
Q

What provides coverage for Dealerships legal liability for damage to an auto or its equipment that is in the business’s care, custody, or control

A

Garagekeepers coverage

28
Q

What does Acts, Errors, or Omissions Liability provide coverage for

A
  • Failing to comply with laws pertaining to credit and lease agreements
  • Failing to comply with laws requiring disclosure of odometer readings
  • Errors and omissions committed in the course of acting as a licensed insurance producer for coverages sold in connection with the sale or lease of an auto
  • Title defects for sold or leased autos
29
Q

What symbol is used for customers’ autos left with the insured for service, repair, storage, or safekeeping (garagekeepers)

A

Symbol 30

30
Q

What symbol is used for physical damage coverage only for the dealers’ autos including owned autos, autos for sale, and autos on consignment

A

Symbol 31

31
Q

What are two common exclusion is the auto dealers coverage form

A
  • Damage to property of others in the insured’s care, custody, or control
  • Property damage to the insured’s own products or work, and product or work recalls
32
Q

What is direct damage garagekeepers insurance

A

Pays for PD to customers’ property in the insured’s custody, whether or not the insured is liable. It can be provided on a primary or excess basis

33
Q

What is excluded on a garagekeepers coverage form

A

False Pretense Coverage - coverage for losses when a dealer voluntarily parts with a covered auto because of a trick

34
Q

Typically PD coverage is purchased with the following exclusions:

A
  • Expected Profits
  • Collision damage to autos being driven or transported from the point of purchase or distribution to the point of destination if this distance is 50 miles or more
35
Q

Motor Carrier Coverage Form includes

A

Liability, trailer interchange, physical damage

36
Q

What is the symbol for trailers borrowed or leased by the named insured for which liability for loss has been assumed undera written trailer interchange agreement. It applies to comprehensive, specified cause of loss, or collision coverage of the trailer interchange coverage only

A

Symbol 69

37
Q

What is the symbol for trailers owned or hired by the named insured while the trailers are in someone else’s possession under a written trailer interchange agreement

A

Symbol 70

38
Q

What covers damage to a specific trailer under the policy of the trucker in whose possession the trailer is at the time of loss.

A

Trailer interchange insurance

39
Q

What must be in place for coverage to apply for trailer interchange insurance

A

Written interchange agreement and damage must be caused by a covered peril

40
Q

What is the Motor Carrier Act of 1980

A

Requires trucking companies to certify that they are able to meet financial obligations if they become liable for injury or damage arising from their trucking operations.

41
Q

If insurance is used to establish proof of financial responsibility what endorsement must be attached

A

MCS-90

42
Q

What are the required limits for vehicles with gross weight over 10,000 pounds

A

$750k for interstate transportation of nonhazardous property; $5M for interstate or intrastate transportation of large quantities of certain hazardous materials, and $1M for interstate or intrastate transportation of oil and other hazardous wastes

43
Q

When do vehicles that are less than 10,000 pounds have to comply with the financial responsibility limit of $5M

A

If the vehicle hauls explosives, any quantity of poison gas, or large quantities of radioactive materials.

44
Q

What are firms that have agreements with specific companies to carry their merchandise. They do not transport for the general public

A

Contract carriers

45
Q
A

Commercial Insurance (2 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions