Exam 26: Commercial Liability Insurance

Which of the following statements about the liability coverage of the Business Auto Coverage Form is (are)true? I.The insurer agrees to defend the insured and pay all legal defense costs arising out of an accident involving a covered auto. II.The insured is covered for property damage and bodily injury arising out of the use of a covered auto.

HRC Company purchased an unendorsed ISO Commercial General Liability (CGL)policy.Which of the following claims would be covered under the CGL?

The general liability policy covers bodily injury or property damage caused by "an accident,including continuous repeated exposure to substantially the same general harmful conditions." This cause is loss is called a(n)

Which of the following statements is (are)true with respect to the treatment of legal defense costs under the ISO Commercial General Liability policy? I.Legal defense costs usually are counted against the policy limit. II.Once the insurer has paid out the applicable limit of liability,the insurer's duty to defend ends.

All of the following are coverage options under the physical damage coverage in the Business Auto Coverage Form EXCEPT

All of the following statements about liability coverage under the businessowners policy are true EXCEPT

Which of the following statements about physicians,surgeons,and dentists liability insurance is true?

Which of the following is (are)covered under an unendorsed Commercial General Liability Policy? I.False arrest of a customer wrongly accused of shoplifting II.Publication of material that violates an individual's right to privacy

Which of the following is (are)covered under a claims-made policy? I.Claims arising out of occurrences which take place during the policy period,regardless of when the claim is made II.Claims first reported during the policy period,provided the event occurred after a retroactive date stated in the policy

Which of the following statements is (are)true concerning the self-insured retention (SIR)under a commercial umbrella liability policy? I.The SIR applies to claims covered by the umbrella policy but not by any underlying insurance. II.The SIR only applies to those claims for which the underlying policy has paid first,and the umbrella policy is paying on an excess basis.

One general liability loss exposure develops as a result of a written or oral agreement to assume the legal liability of another party.A lease that specifies that the building owner is held harmless for liability arising out of use of the building is an example.This liability loss exposure is

ABC Company purchased an ISO Commercial General Liability Policy.The agent who sold ABC the coverage noted that the coverage trigger in this policy was different from the trigger in the previous policy.The new policy covers only those claims which are first reported during the policy period,provided the event occurred after a retroactive date.This type of policy is known as

Bay Gallery owns a building on Wharf Street.Bay Gallery purchased a Commercial General Liability Policy with no endorsements.All of the following claims would be covered under the policy EXCEPT

Which of the following is covered under the liability coverage of a businessowners policy?

Which of the following losses would be covered under a Commercial General Liability Policy that has no endorsements? I.The named insured rented a building and an employee of the named insured negligently started a fire at the rented building. II.The cost to recall defective products

All of the following statements about aviation insurance are true EXCEPT

Which of the following statements is true concerning the ISO employment-related practices liability form?

The phrase "general liability" is used to refer to the legal liability of a business arising from all of the following EXCEPT

David started a public accounting firm.David is concerned that accountants on his staff may give incorrect accounting advice,and the accounting firm may be sued.What type of liability insurance should David purchase to protect against such claims?

A provision included in a claims-made commercial general liability policy provides coverage for claims filed after the policy has expired.This provision is called a(n)