Personal Lines Flashcards
HO-2
Broad form
HO-3
Special form
HO-5
Comprehensive form
HO-8
Modified form
HO-4
Contents form
HO-6
Unit Owner’s form
Coverage A (HO)
Dwelling
Coverage B (HO)
Other Structures/Appurtenant Structures
Coverage C (HO)
Personal Property
Coverage D (HO)
Loss of Use
Coverage E (HO)
Personal Liability
Coverage F (HO)
Medical Payments
Coverage D (DP)
Fair Rental Value
Coverage E (DP)
Additional Living Expense
SFP Coverage: property moved to a safe location (time period)
5 days
DP Coverage: property moved to a new location intended to be permanent residence (time period)
30 days
DP Coverage: property moved to safe location (time period)
DP1: 5 days DP2/DP3: 30 days
HO Coverage: property moved to safe location (time period)
30 days
Vacancy or Unoccupancy not covered after
60 days
Insured must supply an inventory list of items destroyed or damaged within
60 days
The insurance company must notify the insured after the proof of loss is submitted stating that they want to repair, rebuild or replace within
30 days
Insurance company must pay claim within ____ after receiving proof of loss
60 days
Statute of Limitations to bring a lawsuit against the insurance company after meeting the requirements or filing the claim
up to 3 years
repayment type when policy is cancelled by the insurer
pro-rata basis
repayment type when policy is cancelled by the insured
short rate basis
notice given to the mortgagee of cancellation (time period)
10 days
Notice of cancellation (HO) when the insured has not paid the premium (time period)
10 days
Notice of cancellation (HO) when the policy has been in effect for less than 60 days and is not a renewal
10 days
Notice of cancellation (HO) after a period of more than one year for any reason
at anniversary with 30 days notice
Under parts D oe E of DP, property is covered if a civil authority limits access to the covered property for how long?
2 weeks
Max length of time HO policies can be written for
7 years
Regular Flood effective when
30 days after paying premium
Emergency Flood Policy effective when
12:01 AM on day after paying premium
Max weight for a vehicle to be elligible for a PAP
10,000 pounds
PAP Coverage Part A
Liability
PAP Coverage Part B
Medical Payments
PAP Coverage Part C
Uninsured/Underinsured Motorists
PAP Coverage Part D
Physical Damage (Damage to Your Auto)
Which part of PAP Coverage are supplementary payments under
Part A (Liability)
Supplementary payments will pay up to how much for bail bonds
Up to $250
Supplementary payments will pay up to how much for loss of earnings by the insured because of attendance at hearings or trials and other reasonable expenses
Up to $200 a day
Supplementary payments will pay up to how much for expenses incurred by an insured for emergency first aid to others performed at the scene of an accident that involved an insured vehicle under the policy
Up to $200
People covered under PAP Part A
name insured for ownership, spouse if living at home, all family members living in the household, students away at school, anyone with permission to use the car
Minimum insurance amounts for part A
30/60/25
People covered under PAP Part B
insured while occupying ANY vehicle, any family member occupying ANY vehicle, any person occupying the insured vehicle, insured and family if struck as pedestrians by an auto
Excluded coverage under UM (dollar amount)
First $100 of each claim
Max coverage for UM & UIM policies
$1 million
PAP Part D will pay up to how much for theft-related expenses
$15 per day up to max of $450
PAP Part D won’t start paying theft-related experiences until how long afte the theft
48 hours
PAP Part D limit of liability for any non-owned trailer
$1000
PAP Part D limit of liability for loss to personal effects (only for fire and lightning)
$100
PAP Part D limit of liability for Perm. installed electronic equipment designed for the reproduction of sound, not factory installed, including accessories
$1000 (higher limits available) ($1000 deductible if installed by someone other than the manufacturer)
Length of time PAP policies are extended after cancellation in order to protect interest of Loss Payee (lender)
10 days
After how much time can a suit be brought against an uninsured/underinsured motorist?
60 days after occurence
Notice of Cancellation (PAP) for liability, medical payments, UM, UM/UIM combined for non-cancellation of premiums
15 days
Notice of Cancellation (PAP) for liability, medical payments, UM, UM/UIM combined for any reason other than non-payment of premiums
60 days
Notice of Cancellation (PAP) for all coverages except liability, medical, UM, UM/UIM for any reason
10 days
Notice of Non-renewal (PAP) for liability, medical payments, UM, UM/UIM combined
60 days
Notice of Non-renewal (PAP) for all coverages other than liability, medical, UM, UM/UIM
10 days
Factors that affect PAP Premiums (9)
amount of coverage age of the drivers geography driving record driving experience use of vehicle(daily mileage) type of vehicle other factors (education, credit rating, occupation)
Death or dismemberment must happen within how many days of the accident for there to be a claim?
90 days
Types of policies NC Rate Bureau was created to promulgate and approve
personal auto, workers comp/employers liability, residential insurance (
Number of years taken into consideration by NCRB for past losses for auto insurance
3 years
Number of years taken into consideration by NCRB for past losses for Workers Comp
3 years
Number of years taken into consideration by NCRB for past losses for property coverage
5 years
How many (non-voting) members of the NCRB Board are appointed by the Governor?
2
Length of waiting period before proposed policy rates can become effective
210 days (since filing of rates)
Window of time after rates are filed that Commissioner may give notice to Bureau that they are not within regulations of the State for Workers Comp
60 days
Window of time after rates are filed that Commissioner may give notice to Bureau that they are not within regulations of the State for anything other than Workers Comp
50 days
A hearing must be held on rates disapproved by Commisioner within how many days of notification to the Bureau?
30 days
How longdoes the Commissioner have to disapprove new policy forms before they can be used
90 days
If insurer changes either the coverage or rates of a policy, within how many days must they notify the insured?
15 days
of days insurer has to notify the Commissioner how many days before refusing to renew an entire book of business of any kind of insurance
60 days
of years premium surcharges are based on
previous 3 years
At-fault Major
bodily injury or death and/or property damage of $3000 or more
At-fault Intermediate
property damage between $1800 and $3000
At-fault Minor
property damage less than $1800
NCRB is authorized to allow member companies to offer rental car property damage coverage for property damage exceeding how much?
$250
How many members are on the NCRB Board
14
How many members on the NCRB Board are appointed by member companies?
5
How many members on the NCRB Board are appointed by the commissioner?
7
How many members on the NCRB Board will be licensed Propery and Casuality agents who are actively engaged in writing automobile insurince?
4
How long must a vehicle be stationed in a certain place for that place to be considered where the vehicle is “principally garaged”?
6 months
The BEACH plan was authorized under which Article?
Article 45
Coverage max for principal residencies covered under the BEACH Plan
$750,000
Which Article authorized the FAIR Plan?
Article 46
Coverage max for principal residencies covered under the FAIR Plan
$750,000
Which Article authorized the North Carolina Post Assessment Insurance Guaranty Association?
Article 48
NCPAI Guarantee Association will pay a claim arising within how many days after the determination of insolvency?
30 days
NCPAI Guarantee Association will pay a claim if it is more than ___ and less than ___
$50
Max amount NCPAI Guarantee Association will pay for Workers Comp claims
full claim, no maximum
What does Collision cover?
direct and accidental impact with another vehicle upset(rolling car over)
How long does the insured have to report the addition of another vehicle to the insurer
30 days
How long does the insured have to report the replacement of a vehicle to the insurer
30 days
Flood Insurance covers content removal for how long?
45 days
HO Coverage C Limit For money, bank notes, bullion, gold (other than goldware), silver (other than silverware), platinum (other than platinumware), coins, medals, scrip, stored value cards, and smart cards
$200
HO Coverage C Limit For securities, accounts, deeds, evidences of debt, letters of credit, notes (other than bank notes), manuscripts, personal records, passports, tickets, and stamps. This dollar limit applies to these categories regardless of the medium (such as paper or computer software) on which the material exists. This limit includes the cost to research, replace, or restore the information from the lost or damaged material
$1,500
HO Coverage C Limit For watercraft of all types, including their trailers, furnishings, equipment, and outboard engines or motors
$1,500
HO Coverage C Limit For trailers or semi-trailers not used with watercraft of all types
$1,500
HO Coverage C Limit For loss by theft of jewelry, watches, furs, precious and semiprecious stones
$1,500
HO Coverage C Limit For loss by theft of silverware, silver-plated ware, goldware, gold-plated ware, platinumware, platinum-plated ware and pewterware. This includes flatware, hollowware, tea sets, trays, and trophies made of or including silver, gold, or pewter
$2,500
HO Coverage C Limit For property, on the “residence premises”, used primarily for “business” purposes
$2,500
HO Coverage C Limit For loss by theft of firearms and related equipment
$2,500
HO Coverage C Limit For on property, away from the “residence premises”, used primarily for “business” purposes
$500
HO Coverage C Limit For electronic apparatus and accessories, while in or upon a “motor vehicle”, but only if the apparatus is equipped to be operated by power from the “motor vehicle’s” electrical system while still capable of being operated by other power sources. Accessories include antennas, tapes, wires, records, discs, or other media that can be used with any apparatus described in this Category J
$1,500
HO Coverage C Limit For electronic apparatus and accessories used primarily for “business” while away from the “residence premises” and not in or upon a “motor vehicle”. The apparatus must be equipped to be operated by power from the “motor vehicle’s” electrical system while still capable of being operated by other power sources. Accessories include antennas, tapes, wires, records, discs, or other media that can be used with any apparatus described in this Category K
$1,500
How many perils are named in the SFP
165
Under any of the DP’s, the insured may use up to what percentage of the Coverage C limit of liability for loss by a PIA to property covered under C except canoes and rowboats, while anywhere in the word. (This will reduce coverage C limit of liability for the same loss)
10%
Amount DP will pay for fire department service charge
$500
PIA (DP): Trees, Shrubs, and Other Plants
DP2, DP3
Limit of Liability (DP) for trees, shrubs, and plants
No more than 5% of Coverage A, no more than $500 for any one tree, shrub, or plant
PIA (DP): Collapse
DP2, DP3
PIA (DP): Ordinance or Law
DP2, DP3
Limit of Liability (DP) for Ordinance or Law
10% of Coverage A
PIA (DP): Improvements, ALterations, and Additions
DP1, DP2, DP3
Limit of Liability (DP) for Improvements, Alterations, and Additions
10% of Coverage C
Appraisers are hired within how many days after receiving a written request for them?
20 days
If the two appraisers can’t agree on an umpire within ___ days, either may request the choice be made by a judge
15 days
Dwelling Policy Deductible (A-C only)
$250
of days contents removal is covered under flood policies
45 days
How many floods occur in moderate to low-risk areas
Around 25%
T/F Standard Risk Flood Policy autmoatically covers contents
False- only the Preferred Risk Flood Policy covers contents automatically. Contents coverage can be added to SRp, but it is not automatic
How many claims, or how many claims each more than ___ amount will cause someone to lose eligibility for a Preferred Risk Flood Policy
3 claims, or two claims, each more than $1,000
Default deductible for flood policies
$500 each for buildings and contents
On what basis are watercraft/yacht policy claims paid? (ACV or replacement value)
Actual Cash Value
The Personal Umbrella Policy requires the insured to carry minimum liability coverage on which liability policies?
Homeowners and Auto
In reference to an Umbrella Policy, when does the insured have to pay the Self Insured Retention (SIR) deductible?
Whenever the umbrella policy is the primary policy
How many acres must be flooded in order for the NFIP to consider it a flood?
2 acres
