B

Question 1

Balance Sheet

Answer 1

accounting statement showing the financial condition of a company at a particular date.

Question 2

Building Code Effectiveness Grading Schedule (BCEGS)

Answer 2

classification system for assessment of building codes per geographic region with special emphasis on mitigation of losses from natural disasters.

Question 3

Beneficiary

Answer 3

an individual who may become eligible to receive payment due to will, life insurance policy, retirement plan, annuity, trust, or other contract.

Question 4

Blanket Coverage

Answer 4

coverage for property and liability that extends to more than one location, class of property or employee.

Question 5

Boat Owners/Personal Watercraft

Answer 5

covers damage to pleasure boats, motors, trailers, boating equipment and personal watercraft as well as bodily injury and property damage liability to others.

Question 6

Boiler & Machinery or Equipment Breakdown & Machinery

Answer 6

coverage for the failure of boilers, machinery and other electrical equipment. Benefits include property of the insured, which has been directly damaged by the accident; costs of temporary repairs and expediting expenses; and liability for damage to the property of others. Coverage also includes inspection of the equipment.

Question 7

Book Value

Answer 7

original cost, including capitalized acquisition costs and accumulated depreciation, unamortized premium and discount, deferred origination and commitment fees, direct write-downs, and increase/decrease by adjustment.

Question 8

Broker

Answer 8

an individual who receives commissions from the sale and service of insurance policies. These individuals work on behalf of the customer and are not restricted to selling policies for a specific company but commissions are paid by the company with which the sale was made.

Question 9

Builders’ Risk Policies

Answer 9

typically written on a reporting or completed value form, this coverage insures against loss to buildings in the course of construction. The coverage also includes machinery and equipment used in the course of construction and to materials incidental to construction.

Question 10

Burglary and Theft

Answer 10

coverage for property taken or destroyed by breaking and entering the insured’s premises, burglary or theft, forgery or counterfeiting, fraud, kidnap and ransom, and off-premises

Question 11

Business Interruption

Answer 11

loss of income as a result of property damage to a business facility.

Question 12

Business Owners Policy

Answer 12

business insurance typically for property, liability and business interruption coverage.