Question 1

____________ 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 coverage 
A)  Collision 
B)  Comprehensive physical damage 
C)  Property damage liability 
D)  No-fault insurance 
E)  Assigned risk coverage

Question 2

Approximately what percent of people who rent have purchased renter's insurance?

Accepted Answer

A)  10 
B)  20 
C)  40 
D)  60 
E)  75 
A)  10 
B)  20 
C)  40 
D)  60 
E)  75

Question 3

Zachary Harris owns a home in Elk City. There was a bad thunderstorm and his gazebo was hit by lightening and burned to the ground. What part of his homeowner's insurance policy would cover this loss?

Accepted Answer

A)  Buildings and other structures 
B)  Additional living expenses 
C)  Personal property 
D)  Personal liability 
E)  Specialized coverage 
A)  Buildings and other structures 
B)  Additional living expenses 
C)  Personal property 
D)  Personal liability 
E)  Specialized coverage

Question 4

The 25 in 50/100/25 refers to ____________ coverage.

Accepted Answer

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

Question 5

The 500 in 200/500/50 refers to:

Accepted Answer

A)  property damage liability coverage. 
B)  the amount of the deductible. 
C)  collision coverage. 
D)  the total coverage for an accident. 
E)  the limit for all bodily injury claims from a single accident. 
A)  property damage liability coverage. 
B)  the amount of the deductible. 
C)  collision coverage. 
D)  the total coverage for an accident. 
E)  the limit for all bodily injury claims from a single accident.

Question 6

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 liability 
A)  supplementary 
B)  personal property 
C)  medical payments 
D)  additional living expenses 
E)  voluntary liability

Question 7

Personal belongings that have a high value require coverage with a personal property floater.

Accepted Answer

A) True 
 B)False

Question 8

Replacement cost for settling property insurance claims is less costly than the actual cash value method.

Accepted Answer

A) True 
 B)False

Question 9

Peril is defined as:

Accepted Answer

A)  the refusal by an insurance company to pay for a loss. 
B)  the cause of risk. 
C)  the cause of a possible loss. 
D)  an uncertainty as to loss. 
E)  safety. 
A)  the refusal by an insurance company to pay for a loss. 
B)  the cause of risk. 
C)  the cause of a possible loss. 
D)  an uncertainty as to loss. 
E)  safety.

Question 10

Self-insurance is the process of establishing a monetary fund that can be used to cover the cost of a loss.

Accepted Answer

A) True 
 B)False

Question 11

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 damage 
A)  Bodily injury liability 
B)  Medical payments coverage 
C)  Property damage liability 
D)  Collision 
E)  Comprehensive physical damage

Question 12

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)  liability 
A)  speculative 
B)  pure 
C)  commercial 
D)  personal 
E)  liability

Question 13

The ____________ method to settle claims is based on the current replacement cost of a damaged or lost item less depreciation.

Accepted Answer

A)  replacement value 
B)  actual cash value 
C)  umbrella 
D)  endorsement 
E)  personal property floater 
A)  replacement value 
B)  actual cash value 
C)  umbrella 
D)  endorsement 
E)  personal property floater

Question 14

Comprehensive coverage would cover financial losses due to:

Accepted Answer

A)  injuries caused by a driver without insurance. 
B)  damage to your car in an accident for which you were at fault. 
C)  damage to your car caused by wind or hail. 
D)  legal action against you for an accident. 
E)  damage to a neighbor's tree caused by your car. 
A)  injuries caused by a driver without insurance. 
B)  damage to your car in an accident for which you were at fault. 
C)  damage to your car caused by wind or hail. 
D)  legal action against you for an accident. 
E)  damage to a neighbor's tree caused by your car.

Question 15

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. 
A)  medical payments. 
B)  collision. 
C)  bodily injury liability. 
D)  uninsured motorists protection. 
E)  no-fault coverage.

Question 16

The purpose of a household inventory is to provide evidence of items covered by home insurance.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following is a system in which drivers involved in an accident collect medical expenses, lost wages, and related injury costs from their own insurance company?

Accepted Answer

A)  Assigned risk pool 
B)  Financial responsibility coverage 
C)  Comprehensive system 
D)  No-fault insurance 
E)  Uninsured motorists protection 
A)  Assigned risk pool 
B)  Financial responsibility coverage 
C)  Comprehensive system 
D)  No-fault insurance 
E)  Uninsured motorists protection

Question 18

The purpose of financial responsibility laws is to:

Accepted Answer

A)  reduce auto insurance costs. 
B)  assist poor drivers in getting insurance coverage. 
C)  protect the public from financial losses due to auto accidents. 
D)  require uninsured motorists coverage. 
E)  help drivers with a clean driving record. 
A)  reduce auto insurance costs. 
B)  assist poor drivers in getting insurance coverage. 
C)  protect the public from financial losses due to auto accidents. 
D)  require uninsured motorists coverage. 
E)  help drivers with a clean driving record.

Question 19

_________ coverage protects your automobile from risks such as glass breakage, falling objects, vandalism, or damage caused by hitting an animal.

Accepted Answer

A)  Towing and emergency road service 
B)  Comprehensive 
C)  Collision 
D)  Wage loss 
E)  Medical payments 
A)  Towing and emergency road service 
B)  Comprehensive 
C)  Collision 
D)  Wage loss 
E)  Medical payments

Question 20

Wind damage occurs to your car costing $800 to repair. If you have a $100 deductible for collision and full coverage for comprehensive, what portion of the claim will the insurance company pay?

Accepted Answer

A)  $100 
B)  $200 
C)  $500 
D)  $700 
E)  $800 
A)  $100 
B)  $200 
C)  $500 
D)  $700 
E)  $800

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

Approximately what percent of people who rent have purchased renter's insurance?

Zachary Harris owns a home in Elk City. There was a bad thunderstorm and his gazebo was hit by lightening and burned to the ground. What part of his homeowner's insurance policy would cover this loss?

The 25 in 50/100/25 refers to ____________ coverage.

The 500 in 200/500/50 refers to:

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

Personal belongings that have a high value require coverage with a personal property floater.

Replacement cost for settling property insurance claims is less costly than the actual cash value method.

Peril is defined as:

Self-insurance is the process of establishing a monetary fund that can be used to cover the cost of a loss.

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?

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

The ____________ method to settle claims is based on the current replacement cost of a damaged or lost item less depreciation.

Comprehensive coverage would cover financial losses due to:

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

The purpose of a household inventory is to provide evidence of items covered by home insurance.

Which of the following is a system in which drivers involved in an accident collect medical expenses, lost wages, and related injury costs from their own insurance company?

The purpose of financial responsibility laws is to:

_________ coverage protects your automobile from risks such as glass breakage, falling objects, vandalism, or damage caused by hitting an animal.

Wind damage occurs to your car costing $800 to repair. If you have a $100 deductible for collision and full coverage for comprehensive, what portion of the claim will the insurance company pay?

Personal Finance Basics and the Time Value of Money

Financial Aspects of Career Planning

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Financial Services: Savings Plans and Payment Accounts

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

Consumer Purchasing Strategies and Legal Protection

The Housing Decision: Factors and Finances

Health, Disability, and Long-Term Care Insurance

Life Insurance

Investing Fundamentals

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Investing in Real Estate and Other Investment Alternatives

Starting Early: Retirement Planning

Estate Planning

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Exam 10: Property and Motor Vehicle Insurance

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

Approximately what percent of people who rent have purchased renter's insurance?

Zachary Harris owns a home in Elk City. There was a bad thunderstorm and his gazebo was hit by lightening and burned to the ground. What part of his homeowner's insurance policy would cover this loss?

The 25 in 50/100/25 refers to ____________ coverage.

The 500 in 200/500/50 refers to:

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

Personal belongings that have a high value require coverage with a personal property floater.

Replacement cost for settling property insurance claims is less costly than the actual cash value method.

Peril is defined as:

Self-insurance is the process of establishing a monetary fund that can be used to cover the cost of a loss.

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?

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

The ____________ method to settle claims is based on the current replacement cost of a damaged or lost item less depreciation.

Comprehensive coverage would cover financial losses due to:

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

The purpose of a household inventory is to provide evidence of items covered by home insurance.

Which of the following is a system in which drivers involved in an accident collect medical expenses, lost wages, and related injury costs from their own insurance company?

The purpose of financial responsibility laws is to:

_________ coverage protects your automobile from risks such as glass breakage, falling objects, vandalism, or damage caused by hitting an animal.

Wind damage occurs to your car costing $800 to repair. If you have a $100 deductible for collision and full coverage for comprehensive, what portion of the claim will the insurance company pay?

Personal Finance Basics and the Time Value of Money

Financial Aspects of Career Planning

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Financial Services: Savings Plans and Payment Accounts

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

Consumer Purchasing Strategies and Legal Protection

The Housing Decision: Factors and Finances

Health, Disability, and Long-Term Care Insurance

Life Insurance

Investing Fundamentals

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Investing in Real Estate and Other Investment Alternatives

Starting Early: Retirement Planning

Estate Planning

Filters