Sample Questions

Question 1

How does BOP differ from CPP?

Answer 1

BOP has packages specifically designed for small businesses

Question 2

Federal Crop Insurance is sometimes called…

Answer 2

Residual market insurance

Question 3

What is the limit of coverage on damage to a watercraft on a homeowners policy?

Answer 3

$1,500

Question 4

When does coverage begin for a builders risk form?

Answer 4

On the date construction begins above the basement floor, needs to be real property to cover (not once premium is paid)

Question 5

Which homeowners form covers improvements made at the insured’s expense?

Answer 5

HO-4 Renters

Question 6

What type if peril best describes the DP-2 broad form policy?

Answer 6

Named Perils

Question 7

What does HO-6 provide?

Answer 7

Coverage for personal property of a condominium owner

Question 8

When a policy term ends and both the insured or insurance company wants to discontinue coverage, this is called…

Answer 8

Non-renewal

*cancellation is before policy term has ended

Question 9

A women slips and falls and breaks her leg, which is the peril in this situation

Answer 9

The fall

Question 10

What is another bane for open peril coverage form?

Answer 10

Special

Question 11

What is volcanic blast, ash, lava and other matter called?

Answer 11

Volcanic action

Question 12

What is not apart of the 11 covered perils on the basic form policy?

Answer 12

Mechanical breakdown

Question 13

Which policy does not cover collapse?

Answer 13

Basic

Question 14

Which form is triggered by damage or injury after the policy period has expired?

Answer 14

Occurrence form

Question 15

How lo of an extended reporting period is available automatically and free of charge?

Answer 15

60 days for 5 years

Question 16

A women chips her tooth on a rock that somehow got into a box of cereal, this is an example of?

Answer 16

The products-complete operations exposure

Question 17

What is not included in the business auto coverage forms specified causes of loss coverage?

Answer 17

Collision

Included:
Theft
Flood
Earthquake

Question 18

What is jot covered under employment practices liability insurance?

Answer 18

Physical injury

Included: 
Retaliation 
Discrimination
Failure to promote
Harassment

Question 19

What does Differences in Conditions Insurance cover?

Answer 19

High severity and low frequency perils

Will also fill the gaps in commercial property coverage

Question 20

What is Surplus Lines Coverage?

Answer 20

Carriers that do not need to be filed with a state insurance department in order to offer coverage

Question 21

Commercial insureds who beed high liability limits should purchase what type of policy?

Answer 21

A Commercial Umbrella Policy

Question 22

What type of liability protects those who manage private pension and employee benefit plans?

Answer 22

Fiduciary liability

Question 23

What type of policy offers coverage for liability for employment-related acts?

Answer 23

Employment practices liability insurance

Question 24

Aviation liability does not include…

Answer 24

The aircraft (this would be a separate property related policy)

Question 25

What part of the workers comp policy explains how the cost of the policy is determined?

Answer 25

Part five