Exam 35: Insurance

When a provision of an endorsement conflicts with a provision of a policy, the policy controls.

Commercial General Liability (CGL) policies apply to trademark infringement suits.

Armenia purchased life insurance on her life. Regarding the beneficiary: _______.

A contract of insurance is to be interpreted as it would be understood by a person with technical knowledge of the law or of insurance.

All fires that cause damage are classified as hostile fires.

An incontestability clause ordinarily bars contest of the validity of a life insurance policy by the insurer after the lapse of:

An ambiguity in an insurance policy is generally interpreted in favor of the insurer.

A professor knew a colleague who was quite ill. The professor applied for life insurance on the colleague's life and named himself as beneficiary. Because of a similarity in the names of the professor and the colleague, an error was made and the policy was issued.?The professor also sold his car to a student. When the student drove away, it was clear that the student was an extremely reckless driver. The professor decided not to cancel his property insurance policy that he had maintained on the vehicle that he sold to the student. Shortly thereafter, the colleague died and the student demolished the car. The professor applied for insurance benefits under both policies and each of the insurers resisted payment. Decide both cases.

By statute, an insurance policy may be either oral or written, depending on the nature of the policy.

Sylvia Jurgen operates a florist shop. During a particularly busy day, she allowed one of her employees, Terry Lioni, to use her (Jurgen's) personal car to assist with deliveries. Lioni had just obtained his driver's license. Lioni was involved in an accident that was his fault. Would Jurgen's liability insurance pay in this situation?

Fire insurance is a personal contract, and in the absence of statutory or contractual authorization, it can be assigned without the consent of the insurer.

The person to whom an insurance promise is made is called: ______.

The promisor in an insurance contract is called the underwriter.

A person has a(n) ______ in a particular piece of property if they would suffer a direct pecuniary loss if the property were destroyed.

Homeowner's insurance is a combination of the standard fire insurance policy and comprehensive personal liability insurance.

Janice Beadles owns a large cargo vessel that is used primarily for international trade transactions. Janice is quite concerned about her possible liability and financial losses, as she has become aware of more and more collisions between ships at sea. What can you tell her about the different types of insurance that she could obtain that could assist her in the event of an accident?

What type of insurance is written for a specified number of years and terminates at the end of that period?

A person has an insurable interest in property if destruction of that property would cause a monetary or pecuniary loss to that person.

Paul purchased a house and also purchased fire insurance coverage on the house. The policy contained an 80 percent coinsurance clause. Paul maintained coverage in the amount of $150,000 and the value of the house was $250,000. A fire caused a loss of $100,000. Paul will collect:

If the insured lives to the end of the policy period of an endowment insurance policy, the policy pays: