Study 7

Question 1

Establishes that loss or damage to one of a pair or set of individual items does not represent the loss of the entire pair or set.

Answer 1

pair and set clause

Question 2

Establishes that loss or damage to one part of an item does not represent the loss of the entire item.

Answer 2

parts clause

Question 3

A clause found in the conditions of property and automobile policies. Instead of making payment, the insurer has the option to repair, rebuild, or replace the property damaged.

Answer 3

replacement clause

Question 4

An alternative method of dispute resolution in which representatives of each party meet in private with an impartial mediator to try to reach a settlement.

Answer 4

mediation

Question 5

A method of resolving disputes between parties whereby impartial, neutral persons are chosen by the parties in dispute to determine their rights and/or obligations. The parties agree in advance to abide by the arbitrament. Each party has a chance to be heard, issues are examined, and a settlement is developed. The settlement can be final and binding.

Answer 5

arbitration