Exam 11: Auto and Homeowners Insurance

Your automobile insurance policy contains policy limits of 200/300/100. If you have an accident in which you are deemed at fault and two people sustain bodily injuries that result in combined claims of $450,000, how much of the claim will not be covered under your insurance policy?

The primary function of insurance is to

Auto insurance rates are based upon

The first step in the risk management process is to insure against risk.

All of the following actions are possible ways to reduce your homeowner's insurance, except

A deductible is an amount

You are in an auto accident with someone who does not have insurance. You should do all of the following, except

The factor that will not reduce your insurance rate is

Which of the following is true of renter's insurance?

Most home insurance policies provide coverage for

To significantly reduce your automobile insurance premiums and still have adequate coverage, you should

A cash value home insurance policy pays the actual costs of replacing the damaged property.

What do policy limits of 200/300/100 on an automobile insurance policy mean?

One method of managing risk is to limit your exposure to a financial loss.

If you are in an auto accident, you should leave the scene of the accident to go home and call the police from home.

The most popular forms of insurance for individuals are property and casualty, life insurance, and health insurance.

If you have an accident resulting in $2,000 damage to your car and have $500 deductible collision coverage, which of the following statements is true?

The comprehensive and collision premium of a Rolls-Royce in relationship to a Chevy

States with no-fault insurance programs do not hold specific drivers liable for causing accidents.

Which of the following is covered by renter's insurance?