Commercial Package Policy

Question 1

What types of expenses are covered by Coverage C - Medical Payments in Commercial General Liability policies?

Answer 1

Medical, surgical, hospital, or funeral expenses for third parties injured because of the insured’s business operations.

Question 2

What is the insurance form trigger base on?

Answer 2

The date of injury or damage.

Question 3

What type of policy consists of the declarations, conditions, endorsements, and other attachments application to a single line of insurance?

Answer 3

Monoline

Question 4

What is the limit that the insurer will pay for all losses that occur during a policy period?

Answer 4

Aggregate limit

Question 5

In Commercial Package Policies (CPPs), who may cancel the policy in writing and make changes to the policy with the consent of the insurer?

Answer 5

First-named insured

Question 6

What is the name for policy endorsements that may apply to more than one coverage?

Answer 6

Interline endorsements

Question 7

What does Coverage A of the Commercial General Liability (CGL) form provide coverage for?

Answer 7

Injury or death suffered by a third party, or damage to the property of others.

Question 8

What is covered under the Legal Liability Coverage Form?

Answer 8

Property in the insured’s are, custody, or control.

Question 9

What type of property would be covered under the Builder’s Risk Coverage Form?

Answer 9

The building, temporary structures, foundations, fixtures, equipment, and materials and supplies within 100 feet of the premises.

Question 10

What type of property can be covered under InlandMarine insurance?

Answer 10

Any type of property that is portable on land, as well as means of transportation and communication.

Question 11

What would be considered a single accident in Equipment Breakdown coverage?

Answer 11

All accidents at a single location, at the same time, by the same cause.

Question 12

What are the coverage parts that may be included in a Commercial Package Policy (CPP)?

Answer 12

Commercial property, general liability, crime, equipment breakdown, auto, inland marine, and farm.

Question 13

What is the purpose of interline endorsements in Commercial Package Policies (CPPs)?

Answer 13

They eliminate redundancy and minimize the number of other policy endorsements.

Question 14

What types of entities can be insured under a General Liability policy?

Answer 14

Sole proprietors, partnerships and corporations.

Question 15

In Commercial Inland Marine policies, who transports the property of anyone who hires them?

Answer 15

Common carriers

Question 16

How are supplementary payments paid in liability insurance policies?

Answer 16

In addition to the limits of liability.

Question 17

What are the 3 liability coverages included in the Commercial General Liability (CGL) Coverage Form?

Answer 17

Coverage A - Bodily Injury and Property Damage
Coverage B - Personal and Advertising Injury
Coverage C - Medical Payments

Question 18

What type of perils are covered by the Advertising Injury Form?

Answer 18

Libel, slander, defamation, violation of privacy, infringement of copyright or titles.

Question 19

What is the broadest Coverage in the Commercial Crime Form?

Answer 19

Theft coverage

Question 20

Which coverage would a business Owen need in a crime policy to cover money that may be stolen from a messenger?

Answer 20

Outside the premesis

Question 21

What components make up a Commercial Policy?

Answer 21

Policy cover; policy declarations; interlines endorsements; lines of insurance declarations pages; lines of insurance coverage forms; common policy conditions; lines of insurance conditions; causes of loss forms; and endorsements

Question 22

A liability policy that covers all claims arising out of incidents occurring during the policy period, regardless of whether or not the policy is still in effect at the time of the claim, is known a:

Answer 22

An occurrence policy.

Question 23

Commercial property coverage can be written with one of three causes of loss forms. What are the?

Answer 23

Basic
Broad
Special

Question 24

What are the two coverage triggers in Commercial Crime policies?

Answer 24

Discovery Form

Loss Sustained Form

Question 25

When other insurance is written on the same basis as a Commercial Property policy, what is the insurer obligated to cover?

Answer 25

A share of the loss.

Question 26

What is the date stipulated on the declaration page of a claims-made liability form as the earliest date in which an incident may occur and be covered by the policy?

Answer 26

Retroactive date

Question 27

What is the difference between a personal injury and an advertising injury?

Answer 27

Personal refers to individuals
Advertising injury is incurred to a business
Both, however, are nonphysical injuries.

Question 28

What is a commercial floater?

Answer 28

An Inland Marine policy designed to cover movable commercial property, wherever it may be located.

Question 29

In commercial crime policy, what does employee theft cover?

Answer 29

Losses resulting from theft by employees.

Question 30

What is the purpose of a claims-made form?

Answer 30

To pay for bodily injuries during the policy period.