Question 1

Which one of the following would be an example of a rating territory that helps determine insurance rates?

Accepted Answer

A)  Paul Carter drives a 2002 Volkswagen Eurovan.
B)  Mary Williams is 73 years old.
C)  Kathy Smith lives in Guthrie,Oklahoma.
D)  Jeremy Davis is marrieD.
E)  John Brown has had three speeding tickets in five years.F) B) and E)
G) C) and D)

Question 2

Tara Guest owns a home in Edmond,Oklahoma.She is worried about a tornado causing damage to her home.The tornado is an example of a:

Accepted Answer

A)  peril.
B)  hazard.
C)  risk.
D)  premium.
E)  liability.F) C) and E)
G) None of the above

Question 3

George and ref CONTACT _Con-3CF96F2769 \c \s \l Dr.Martha Cooper rent a condominium in an area known for litigious residents and high cost judgments.George has an extensive stamp collection and Martha has expensive photographic equipment.What kind of insurance would you recommend for a couple in their living situation?

Accepted Answer

They should have a renter's policy for b...

Question 4

Henry Edwards was injured in an accident caused by another driver who did not have insurance.Henry's medical expenses would be covered by:

Accepted Answer

A)  medical payments.
B)  collision.
C)  bodily injury liability.
D)  uninsured motorists protection.
E)  no-fault coveragE.F) C) and E)
G) D) and E)

Question 5

The comprehensive form of homeowner's insurance includes coverage for damage due to floods.

Accepted Answer

A) True 
 B)False

Question 6

Starting a small business that may or may not succeed is an example of ___________ risk.

Accepted Answer

A)  speculative
B)  pure
C)  commercial
D)  personal
E)  liabilityF) None of the above
G) D) and E)

Question 7

Negligence refers to:

Accepted Answer

A)  failure to take ordinary and reasonable care.
B)  cancellation of insurance.
C)  property damage.
D)  high risk insurance coverage.
E)  common hazards in our society.F) D) and E)
G) B) and E)

Question 8

____________ protects you against financial loss when your car damages the property of others.

Accepted Answer

A)  Collision
B)  Comprehensive physical damage
C)  Property damage liability
D)  No-fault insurance
E)  Assigned risk coverageF) All of the above
G) C) and D)

Question 9

Albert Finney owns a home in Pompano Beach,Florida.His house is broken into and the burglar steals his computer,his big screen TV,his stereo equipment,and his toaster.What part of his homeowner's insurance would cover this loss?

Accepted Answer

A)  buildings and other structures
B)  additional living expenses
C)  personal property
D)  personal liability
E)  specialized coverageF) C) and E)
G) C) and D)

Question 10

The ____________ coverage of a home insurance policy would cover accidental damage to another person's property by a member of your family.

Accepted Answer

A)  supplementary
B)  personal property
C)  medical payments
D)  additional living expenses
E)  voluntary liabilityF) A) and D)
G) All of the above

Question 11

Robert Plant pays a premium each month to State Farm Insurance for automobile insurance on his 2003 Dodge Ram pick-up truck.How is Robert managing his risk?

Accepted Answer

A)  avoidance
B)  reduction
C)  assumption
D)  shifting
E)  assessmentF) A) and D)
G) A) and C)

Question 12

Georgia Owen was in an accident in which her car was totaled.What part of Georgia's automobile insurance would cover the damage to her car?

Accepted Answer

A)  bodily injury liability
B)  medical payments coverage
C)  property damage liability
D)  collision
E)  comprehensive physical damageF) B) and D)
G) C) and E)

Question 13

The purpose of a household inventory is to:

Accepted Answer

A)  reduce insurance costs.
B)  document owned property.
C)  obtain personal property floater coverage.
D)  increase liability coverage.
E)  lower the chance of negligencE.F) All of the above
G) B) and E)

Question 14

Kelly and Bob Walton recently purchased a new home and desire coverage for all causes of loss or damage except those specially excluded by the policy.They should obtain the ____________ form of homeowner's policy.

Accepted Answer

A)  basic
B)  broad
C)  special
D)  modified coverage
E)  condominiumF) B) and E)
G) A) and B)

Question 15

Risk management is an organized strategy for protecting and conserving assets and people.

Accepted Answer

A) True 
 B)False

Question 16

Property losses can be categorized into destruction of property,and losses due to robbery,burglary,vandalism,or arson.

Accepted Answer

A) True 
 B)False

Question 17

The driver classification category is based on automobile style,model,and value of the vehicle.

Accepted Answer

A) True 
 B)False

Question 18

Kyle Burroughs left his car parked on the street all night.When he came out in the morning all four of his tires had been slashed by vandals.What part of Kyle's automobile insurance would cover this damage?

Accepted Answer

A)  bodily injury liability
B)  medical payments coverage
C)  property damage liability
D)  collision
E)  comprehensive physical damageF) B) and E)
G) A) and B)

Question 19

Property damage liability coverage would pay for damage to another vehicle for which you were at fault.

Accepted Answer

A) True 
 B)False

Question 20

The legal responsibility for the financial cost of another person's losses or injuries is referred to as:

Accepted Answer

A)  theft.
B)  robbery.
C)  liability.
D)  assigned risk.
E)  collusion.F) A) and B)
G) B) and C)

Exam 10: Property and Motor Vehicle Insurance

Correct Answer
verified
They should have a renter's policy for b...
View Answer

Kelly and Bob Walton recently purchased a new home and desire coverage for all causes of loss or damage except those specially excluded by the policy.They should obtain the ____________ form of homeowner's policy.

Correct Answer
verified

Tara Guest owns a home in Edmond,Oklahoma.She is worried about a tornado causing damage to her home.The tornado is an example of a:

Correct Answer
verified

Robert Plant pays a premium each month to State Farm Insurance for automobile insurance on his 2003 Dodge Ram pick-up truck.How is Robert managing his risk?

Correct Answer
verified

Kyle Burroughs left his car parked on the street all night.When he came out in the morning all four of his tires had been slashed by vandals.What part of Kyle's automobile insurance would cover this damage?

Correct Answer
verified

Risk management is an organized strategy for protecting and conserving assets and people.

Correct Answer
verified

____________ protects you against financial loss when your car damages the property of others.

Correct Answer
verified

Property damage liability coverage would pay for damage to another vehicle for which you were at fault.

Correct Answer
verified

Henry Edwards was injured in an accident caused by another driver who did not have insurance.Henry's medical expenses would be covered by:

Correct Answer
verified

The ____________ coverage of a home insurance policy would cover accidental damage to another person's property by a member of your family.

Correct Answer
verified

The comprehensive form of homeowner's insurance includes coverage for damage due to floods.

Correct Answer
verified

The purpose of a household inventory is to:

Correct Answer
verified

The driver classification category is based on automobile style,model,and value of the vehicle.

Correct Answer
verified

Property losses can be categorized into destruction of property,and losses due to robbery,burglary,vandalism,or arson.

Correct Answer
verified

Negligence refers to:

Correct Answer
verified

Starting a small business that may or may not succeed is an example of ___________ risk.

Correct Answer
verified

Georgia Owen was in an accident in which her car was totaled.What part of Georgia's automobile insurance would cover the damage to her car?

Correct Answer
verified

The legal responsibility for the financial cost of another person's losses or injuries is referred to as:

Correct Answer
verified

Albert Finney owns a home in Pompano Beach,Florida.His house is broken into and the burglar steals his computer,his big screen TV,his stereo equipment,and his toaster.What part of his homeowner's insurance would cover this loss?

Correct Answer
verified

Which one of the following would be an example of a rating territory that helps determine insurance rates?

Correct Answer
verified

Exam 10: Property and Motor Vehicle Insurance

Correct AnswerverifiedThey should have a renter's policy for b...View AnswerShow Answer

Kelly and Bob Walton recently purchased a new home and desire coverage for all causes of loss or damage except those specially excluded by the policy.They should obtain the ____________ form of homeowner's policy.

Correct AnswerverifiedShow Answer

Tara Guest owns a home in Edmond,Oklahoma.She is worried about a tornado causing damage to her home.The tornado is an example of a:

Correct AnswerverifiedShow Answer

Robert Plant pays a premium each month to State Farm Insurance for automobile insurance on his 2003 Dodge Ram pick-up truck.How is Robert managing his risk?

Correct AnswerverifiedShow Answer

Kyle Burroughs left his car parked on the street all night.When he came out in the morning all four of his tires had been slashed by vandals.What part of Kyle's automobile insurance would cover this damage?

Correct AnswerverifiedShow Answer

Risk management is an organized strategy for protecting and conserving assets and people.

Correct AnswerverifiedShow Answer

____________ protects you against financial loss when your car damages the property of others.

Correct AnswerverifiedShow Answer

Property damage liability coverage would pay for damage to another vehicle for which you were at fault.

Correct AnswerverifiedShow Answer

Henry Edwards was injured in an accident caused by another driver who did not have insurance.Henry's medical expenses would be covered by:

Correct AnswerverifiedShow Answer

The ____________ coverage of a home insurance policy would cover accidental damage to another person's property by a member of your family.

Correct AnswerverifiedShow Answer

The comprehensive form of homeowner's insurance includes coverage for damage due to floods.

Correct AnswerverifiedShow Answer

The purpose of a household inventory is to:

Correct AnswerverifiedShow Answer

The driver classification category is based on automobile style,model,and value of the vehicle.

Correct AnswerverifiedShow Answer

Property losses can be categorized into destruction of property,and losses due to robbery,burglary,vandalism,or arson.

Correct AnswerverifiedShow Answer

Negligence refers to:

Correct AnswerverifiedShow Answer

Starting a small business that may or may not succeed is an example of ___________ risk.

Correct AnswerverifiedShow Answer

Georgia Owen was in an accident in which her car was totaled.What part of Georgia's automobile insurance would cover the damage to her car?

Correct AnswerverifiedShow Answer

The legal responsibility for the financial cost of another person's losses or injuries is referred to as:

Correct AnswerverifiedShow Answer

Albert Finney owns a home in Pompano Beach,Florida.His house is broken into and the burglar steals his computer,his big screen TV,his stereo equipment,and his toaster.What part of his homeowner's insurance would cover this loss?

Correct AnswerverifiedShow Answer

Which one of the following would be an example of a rating territory that helps determine insurance rates?

Correct AnswerverifiedShow Answer

Correct Answer
verified
They should have a renter's policy for b...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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