CH 1 - GENERAL INSURANCE: FILL IN THE BLANK

Question 1

A financial stake in the property:

Answer 1

Insurable interest.

Question 2

The part of the policy where you find the coverage:

Answer 2

Declarations.

Question 3

A chance of loss:

Answer 3

Risk.

Question 4

Choosing a deductible:

Answer 4

Retention.

Question 5

The type of loss that includes loss of rental income:

Answer 5

Indirect/consequential loss.

Question 6

The way unearned premium is returned when the insured cancels:

Answer 6

Short rate.

Question 7

Transfer of risk:

Answer 7

Insurance.

Question 8

A change or modification to a policy:

Answer 8

Endorsement/amendment.

Question 9

The cause of loss:

Answer 9

Peril.

Question 10

Has all of the rights and responsibilities on a personal policy:

Answer 10

Named insured.

Question 11

Increases the chance of loss:

Answer 11

Hazard.

Question 12

Gambling is what type of risk:

Answer 12

Speculative risk.

Question 13

When the policy ends in the middle of the policy period:

Answer 13

Cancellation clause.

Question 14

The Insurer assumes the right to sue the at-fault 3rd party:

Answer 14

Subrogation clause.

Question 15

Includes continuous and repeated exposure to injurious conditions due to a peril:

Answer 15

Occurrence.

Question 16

Premium paid in advance before the company has the opportunity to provide coverage:

Answer 16

Premium coverage.

Question 17

An unearned premium refund would be:

Answer 17

Pro-rata.

Question 18

The U.S., Possesstions, Territorise and Canada:

Answer 18

Strandard territorial clause.

Question 19

A physical/tangible loss:

Answer 19

Direct loss.