Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Commercial Package P
| Question | Answer |
|---|---|
| What is it called when endorsements can be used with more than one line of insurance? A. Interline endorsement B. Mono-line endorsement C. Multi-line endorsement or D. Coverage endorsement | Interline endorsement |
| This part in the policy states: who is insured, what lines they are insured, mailing address, policy period from when coverage starts and ends, description of covered business, premiums | Declarations Page |
| Responsibilities and obligations such as: premium payment, cancelation notice, changed to policy terms are assigned to who? A. Insurer B. Underwriter C. First named insured D. ISO | C. First named insured |
| The first named insured wants to cancel their CPP. What must they do first? A. Pay the rest of the premium B. Provide in writing that they want to cancel C. Provide pro-rata conditions D. Provide proof of coverage | B. Provide in writing that they want to cancel |
| If the insurer cancels a policy, how many days notice must they provide for nonpayment of premium? | 10 days |
| If the insurer wants to cancel the CPP, how many days notice do they need to provide for any reason for cancelation besides nonpayment of premium? | 30 days |
| When a policy is cancelled, the premium is refunded how? A. Within 60 days to first named insured B. By written notice within 10 days pro rata C. Refunds are not issued because contract is cancelled D. To first insured on pro rata basis | D. To first insured on pro rata basis |
| Terms can be amended, changed, waived only by WHAT and by WHO? | Endorsement by the INSURER |
| What is this practice? A way for the insurance company to examine and audit the insurer's books and records at any time during the policy | Examination of Books and Records |
| How much time is an insurance company given to do an examination of books and records after the end of the policy period? A. Anytime B. 1 year C. 3 years D. 5 years | C. 3 years |
| Which condition allows the company the right to make inspections or surveys at any time to report conditions they find and to recommend changes | Inspections and surveys |
| True or False? Inspections and Surveys conditions relate to insurability, premiums, and to consider safety inspections | False - inspections and surveys conditions relate to insurability and premiums ONLY and are NOT considered safety inspections |
| Transfer of rights and duties under CPP states that the insurer's rights and duties cannot be transferred without what? | Written consent of insurance company EXCEPT in the case of death of named insured |
| What are the coverages parts of a CPP? | Genetal Liability, commercial property, inland marine, commercial auto, equipment breakdown (boiler and machinery), crime and farm |
| What is a policy that covers one type of insurance? A. monoline policy B. Interline policy C. Byline policy D. Single Coverage line policy | A. Monoline policy |
| Buildings and personal property covers all the following except: A. Buildings B. Business Personal Property C. Property of Others D. Motorized vehicles on property | D. Motorized vehicles on property |
| What type of coverage is it when the insured and insurer will determine a value for property and will not pay no more than the proportion limit? A. Inflation guard B. Replacement Cost C. Agreed Value D. Coinsurance rate | C. Agreed Value |
| What coverage is it when the limits of insurance to which coverage applies are automatically increased by annual percentage in declarations and prorated? A. Inflation guard B. Agreed Value C. Extension of replacement cost D. Replacement Cost | A. Inflation guard |
| What is it when the actual cash value is replaced with replacement cost valuation & doesn't cover for contents unless stated in declarations? A.Extension ofreplacement cost to personal property of others B.Agreed Value C.Inflation guard D.Replacement Cost | D. Replacement Cost |
| In the optional BPP coverage section- What is "Agreed value"? | Determined value |
| In the optional BPP coverage section- What is "Inflation Guard"? | Automatic Annual increase- 80% level of coverage required. |
| In the optional BPP coverage section- What is "Replacement cost"? | Instead of ACV- added though endorsement. |
| What are the common basic perils included in a "Causes of loss form" | Sprinkler leakage and sinkhole collapse |
| What are the common broad perils included in a "Causes of loss form"? | Sprinkler leakage, sinkhole collapse and water damage. |
| What are the special open perils included in a "Causes of loss forms"? | All risks except those specifically excluded. |
| BPP coverage extensions are: | 1) Newly acquired or constructed 2) personal effects and property of others 3) Valuable papers and records 4) property off premises 5) Outdoor property 6) nonowned detached trailers |
| "Newly acquired or constructed" on a BPP coverage extension covers what? | 1) Up to 30 days of coverage 2) newly acquired building up to $250.000 3) personal property- up to $100.000 |
| "Personal effects and property of others" on a BPP coverage extension covers what? | 1) Up to $2500 for insured, employees and others in care, custody or control. 2) no theft coverage. |
| "Valuable papers and records" on a BPP coverage extension covers what? | $2500 in coverage for research and replace |
| "Property off premises" on a BPP coverage extension covers what? | $10000 for property insured that doesn't own, lease, or operate. Does not apply to vehicles or with salesperson (is off premises) |
| "Outdoor property" on a BPP coverage extension covers what? | $1000 for fences & antennas. $250 for trees, shrubs and plants damaged by named perils. |
| "Nonowned detached trailers" on a BPP coverage extension covers what? | $5000 only if in care, custody or control and contractually obligated. |
| What is a "comercial property floaters"? | Is a worldwide coverage. Stand-alone (monoline) or as part of a package (CPP) |
| In the "available coverage forms", "Accounts receivable" is: | accounts due that become uncollectible due to loss of records. |
| In the "available coverage forms", "Bailee's customer" is: | Loss to customer's property in care, custody or control. |
| In the "available coverage forms", "Commercial articles" is: | Owners of commercial cameras, musical instruments and property, including similar property of others in the insurer's care, custody or control. |
| In the "available coverage forms", "Contractors equipment" is: | Mobile equipment and contractor's equipment owned rented or borrowed. |
| In the "available coverage forms", "Electronic data processing" is: | Computers, processing media, extra expense and business interruption. |
| In the "available coverage forms", "Equipment dealers" is: | Stock of mobile equipment and construction equipment dealers. |
| In the "available coverage forms", "Installation floater" is: | Appliances intended to become part of a building. |
| In the "available coverage forms", "Jewelers block" is: | Merchandise for sale and for others in care, custody or control. |
| In the "available coverage forms", "Signs" is: | Insured's signs and others in care, custody or control. |
| In the "available coverage forms", "Valuable papers and records" is: | Replace or reconstruct lost records. |
| Equipment breakdown is: | Property insured on replacement cost basis. For most businesses must be in use or connected and ready. Is up to $25000 for expediting expenses for permanent or temporary repairs, consequential loss, data and media, hazardous substance cleanup, etc. |
| Farm coverage forms includes what?: | A) Basic, Broad, or Special forms B) Coverages A-D (similar to HO) C) Coverages E,F & G- farm specific. |
| Coverage "H" on a farm coverage forms is: | "Bodily injury" and property damage arising from farming operations and personal acts of the insured. |
| Coverage "I" on a farm coverage forms is: | "Personal and advertising" injury liability for insured's farm-related products and services. |
| Coverage "J" on a farm coverage forms is: | "Reasonable medical expenses" regardless of fault reported within 3 years. |
| Mobile agricultural machinery and equipment is: | |
| A open peril coverage. May be written as stand alone policy. | |
| What does "CGL" means? | Commerical General liability |
| What is defined as Premises and operations? | Hazards related to ownership, maintenance, or use of the insured's premises and all business operations. A) Any losses on premises is: "premises" liability. B) losses from services or operations is: "Operations liability" |
| What is products and completed operations? | Covers bodily injury or property damage occurring away from the insured's premises and arising out of the insured's product or work. |
| What does mobile equipment covers? | Bulldozers, farm machinery, forklifts, vehicle on crawler treads, vehicles that provide mobility to cranes, shovels, loaders, etc. Vehicles that are not self-propelled. |
| What is the right answer about Mobile equipment self-propelled vehicles?: A) it covers snow removal vehicles. B) it covers road construction vehicles. C) it covers street cleaning vehicles. D) it doesn't cover any of them. | D) it doesn't cover any of them. They are considered autos and NOT mobile equipment. |
| On a Commercial general liability (CGL)- Coverage A is: | 1)BODILY INJURY: any injury,sickness,disease or death suffered by third parties because of the insured's business activities.2)PROPERTY DAMAGE: Coverage for injury to,destruction of loss of use of property of others due to the insured's business activity. |
| Commercial general liability "Exclusions" on coverage "A" are?: | 1) Expected or intentional injury 2) Pollution 3) Workers compensation 4) Contractual liability 5) War 6) Electronic data 7) Liquor liability 8) Damage to property |
| On a Commercial general liability (CGL)- Coverage "B" Are: | 1) "PERSONAL INJURY"- injuries to third parties that result from mental anguish, false arrest or imprisonment, etc. 2) "ADVERTISING INJURY": injuries that occur if, in the course of Advertising, labels, slanders, defames or violates the privacy of another |
| Commercial general liability (CGL) "Exclusions" on coverage "B"- Personal and advertising injury are?: | 1)knowingly publishing False material 2) Copyright infringement 3) Criminal acts 4) Media and internet- type businesses 5) Breach of contract 6) Violation of communication laws. |
| On a Commercial general liability (CGL)- Coverage "C" is: | MEDICAL PAYMENT- coverage for medical, surgical, ambulance, hospital, proffesional nursing or funeral expenses for third parties injured because of the insured's business operations, without regard to fault. |
| What is the difference between "Occurrence" vs "claims-made"? | 1) OCURRENCE FORM: most common form;used for a wide variety of businesses. 2) CLAIMS-MADE FORM: used for specialty coverages, such as proffesional liability, malpractice, errors and omissions. Environmental liability and employment practices liability. |
| True or False about Occurrence: if BI or PD OCCURS during the policy period, the claim will be paid (even if submitted after the policy expiration). | TRUE |
| True or False about Claims-made: if BI or PD occurs on or after the retroactive date, and the CLAIM is MADE during the policy period, the claim will be paid. If the claim is made AFTER the policy expires, there is NO coverage. | TRUE |
| Things to consider on "Retroactive date": 1) No coverage before this date 2) Inception date of FIRST claims-made policy 3) Future renewals with same insurer have SAME retro date. | 4) UNINTERRUPTED coverage from an accurate policy to latest claims-made 5) Eliminates duplication when claims-made REPLACES occurrence. |
| What is the meaning of "Coverage Trigger"? | What makes a policy respond to a claim. |
| What is the difference between "Discovery form" and "Loss sustained form"? | "Discovery form": is a loss occurred at any time and was discovered during the policy period. "Loss sustained form": is a loss occurred and was discovered during the policy period. |
| Commercial Crime includes? | 1)Employee 2)Banking premises 3)Funds 4)Money 5)Securities |
| What is the meaning of burglary? | 1)Crime of "forced entry" into or out of the premises of another person. 2)Committed with "felonius intent" (Physical damage to your property). |
| What is the meaning of Robbery? | Taking property from another person by means of "Threatening bodily harm: or committing an unlawful act. |
| What is the meaning of "Theft"? | 1)Act of stealing 2)Encompasses both "Burglary" and "Robbery" |
| What is the difference between: Burglary, Robbery and theft? | 1)Burglary: is the physical damage of breaking in. 2)Robbery: is a threat to a person. 3)Theft: is the actual act of stealing. |
| What are the coverages on a "Commercial Crime coverages"?: 1)Employee theft 2)Forgery or Alteration 3)Inside-Theft of money or securities | 4)Inside-robbery or safe burglary of others property 5)Outside-theft, disappearance or destruction 6)Computer Fraud 7)Fund transfer fraud |
Created by:
Thechilean25