Exam 24: Other Property and Liability Insurance Coverages

Which of the following statements about a typical personal umbrella policy is (are)true? I.Losses covered under the basic underlying policies are paid on a pro rata basis by the umbrella policy. II.Losses not covered by the basic underlying contracts are subject to a self-insured retention which typically is at least $25,000.

Which of the following statements about types of property covered under the Personal Articles Floater is true?

Which of the following statements about federal flood insurance is true?

Tina purchased a personal umbrella policy with a $1 million limit and a $1,000 self-insured retention.Her insurer required her to carry a $300,000 liability limit under her homeowners policy.Tina was held responsible for slandering a public official.The public official won a $100,000 judgment against Tina.The insurer that wrote Tina's homeowners policy denied coverage.How much will the insurer pay under Tina's personal umbrella policy?

Reasons why an insured might add a scheduled personal property endorsement to a homeowners policy include which of the following? I.To lower the premium by limiting the perils covered II.To obtain higher limits for certain personal property

All of the following statements about yacht insurance are true EXCEPT

Perils insured under Dwelling Property 1 (basic form)include which of the following? I.Earthquake II.Smoke

Which of the following statements about title insurance is true?

Which of the following statements about the eligibility requirements for insuring mobile homes by endorsing a homeowners policy is (are)true? I.The mobile home must be designed for year-round living. II.The mobile home must be located in a fenced area with security guards.

Steve and Mary are art collectors.They own lithographs,etchings,and vintage photographs valued at over $100,000.Steve and Mary display their art collection at their home.They can insure this valuable personal property through a

Jan purchased a boat owners package policy.While using his boat,he negligently hit a pier.A person standing on the pier fell and was severely injured.Which of the boat owners package policy coverages will respond to a lawsuit filed as a result of this negligent act?

Carolyn is considering the purchase of a large (60-foot)boat.She called her insurance agent to see if she needs a separate policy for the boat.The agent said that a special category of insurance policies was designed to insure large watercrafts.These policies are called

Which of the following statements about various coverages under a Personal Articles Floater is (are)true? I.Each item of jewelry is described and is insured for a specified amount. II.Stamp and coin collections can be insured on a blanket basis.

George has a personal auto policy with a per-person liability limit of $300,000.He also has a personal umbrella policy with a limit of $2,000,000 and a self-insured retention of $1,000.How much will be paid by each policy if a person wins a judgment of $500,000 against George as a result of bodily injury arising from the auto accident?

Which of the following statements is (are)true about the National Flood Insurance Program? I.You can't purchase flood insurance through this program if your property is located in a high-flood-risk area. II.Coverage is not available for any property which has been flooded previously.

Which of the following coverages are provided by an unendorsed ISO Dwelling Program form? I.Theft of personal property II.Named-perils coverage for personal property

The basic purpose of FAIR plans is to provide

All of the following are commonly excluded by personal umbrella policies EXCEPT