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Flashcards in Insurance 3A Deck (21):
1

A man runs over a log and damages his car. Will comprehensive or collision cover this?

collision, because the car was in motion.

2

Liability without fault

Absolute or Strict liability

3

Coverage for reasonable expenses incurred by an insured in order to continue normal operations after a loss.

Extra expense coverage

4

A release becomes settled when:

when the settlement check is cashed.

5

A New Hampshire insured has wrecked his vehicle. The insurer has asked for an estimate of damage. Who is responsible for the fee for this first estimate?

The insured

6

In a covered loss under a fire policy, the company must start the adjustment of the loss within___days after receipt of notice of loss.

15

7

Is fire to the building caused from the break in covered under a premise burglary claim?

No

8

Which of the following is not an "additional coverage" under homeowner's liability Section II coverage?

Payments made by the insurer to cover the claim

9

A fire in an insured's restaurant burns the kitchen walls and causes smoke damage to the entire interior. Water used to extinguish the fire causes extensive damage to floors and furnishings. The water damage is BEST described as:

A direct loss

10

Is depreciation included in an insurance property estimate of damages?

No

11

Under the business auto policy, the endorsement used to protect the owner of a leased vehicle is:

Additional insured - lessor

12

Which endorsement is necessary to cover the damage caused to a freezer by the interruption of a power source under a BOP?

Utility Services - Direct damage

13

Coverage G under the Farm forms covers

barns, silos, fences

14

In the adjustment of auto claims, "local market area" means?

75 miles within where the car is principally garaged.

15

Good 'Ole Boy Brewing acquires another brewery. Assuming there is no CGL in force for the newly acquired entity, how long will the new entity be automatically considered an insured under the current CGL for Good 'Ole Boy Brewing?

From the time of acquisition and 90 days thereafter.

16

What type of carrier must assume the broadest liability under common law?

Common carrier

17

Does the business auto form provide property damage liability coverage caused by the unloading or loading of property from the time it is picked up until the time it is delivered to its final destination?

Yes

18

The "last clear chance doctrine" addresses:

Avoidance of the occurrence on the part of the plaintiff.

19

Policies issued under the National Flood Insurance Program provide removal coverage for property which is moved to another location to protect it from a flood. This coverage applies for up to:

45 days

20

Which of the following would be covered under the products and completed operations portion of a commercial general liability policy?

A child is injured when a wheel falls off his bicycle that was assembled at the store.

21

Which of the following perils is not covered under the Commercial Property Basic Cause of Loss form:

Collapse (other than sinkhole)