Question 1

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

Question 2

A system that allows insurance companies to provide coverage to several individuals with poor driving records is referred to as

Accepted Answer

A)  no-fault insurance. 
B)  an assigned risk pool. 
C)  premium discounts. 
D)  comprehensive coverage. 
E)  collision coverage. 
A)  no-fault insurance. 
B)  an assigned risk pool. 
C)  premium discounts. 
D)  comprehensive coverage. 
E)  collision coverage.

Question 3

Which of the following insurance policy provisions requires that the insured must pay for part of the loss of a claim if the property is not insured for the specified percentage of replacement value?

Accepted Answer

A)  personal property floater 
B)  an endorsement 
C)  assigned risk clause 
D)  umbrella coverage 
E)  coinsurance clause 
A)  personal property floater 
B)  an endorsement 
C)  assigned risk clause 
D)  umbrella coverage 
E)  coinsurance clause

Question 4

Georgette Valentine has expensive photography equipment for use in her hobby. Which coverage from the following list would pay for damage or theft of this equipment?

Accepted Answer

A)  an umbrella policy 
B)  a household inventory 
C)  additional living expense coverage 
D)  a personal articles endorsement 
E)  a coinsurance floater 
A)  an umbrella policy 
B)  a household inventory 
C)  additional living expense coverage 
D)  a personal articles endorsement 
E)  a coinsurance floater

Question 5

Personal property refers to building and other structures covered by homeowner's insurance.

Accepted Answer

A) True 
 B)False

Question 6

A home made of wood is more expensive to insure than a comparable brick structure.

Accepted Answer

A) True 
 B)False

Question 7

Tenant's insurance would include coverage for all of the following except

Accepted Answer

A)  additional living expense coverage. 
B)  personal liability. 
C)  automobile theft. 
D)  personal property. 
E)  protection against financial loss due to damage. 
A)  additional living expense coverage. 
B)  personal liability. 
C)  automobile theft. 
D)  personal property. 
E)  protection against financial loss due to damage.

Question 8

Peril

Accepted Answer

A)  is the chance that something may be lost. 
B)  is the cause of a possible loss. 
C)  increases the likelihood of loss through some peril. 
D)  is the uncertainty of direct or indirect losses to property due to fire, windstorms, accidents, theft, and other hazards. 
E)  is loss possibilities due to negligence resulting in bodily harm or property damage to others. 
A)  is the chance that something may be lost. 
B)  is the cause of a possible loss. 
C)  increases the likelihood of loss through some peril. 
D)  is the uncertainty of direct or indirect losses to property due to fire, windstorms, accidents, theft, and other hazards. 
E)  is loss possibilities due to negligence resulting in bodily harm or property damage to others.

Question 9

Property losses can be categorized into destruction of property, and losses due to robbery, burglary, vandalism, or arson.

Accepted Answer

A) True 
 B)False

Question 10

If you have a $500 claim resulting from a fire in your home and your policy stipulates that your deductible is $500, then the insurance company will pay you

Accepted Answer

A)  $0 
B)  $100 
C)  $150 
D)  $250 
E)  $500 
A)  $0 
B)  $100 
C)  $150 
D)  $250 
E)  $500

Question 11

An umbrella policy is designed to cover

Accepted Answer

A)  expensive personal property. 
B)  additional buildings on your property. 
C)  property when traveling away from home. 
D)  flood damage 
E)  major personal liability suits. 
A)  expensive personal property. 
B)  additional buildings on your property. 
C)  property when traveling away from home. 
D)  flood damage 
E)  major personal liability suits.

Question 12

Accident benefits automobile insurance coverage pays for the costs of injuries to persons in the driver's vehicle.

Accepted Answer

A) True 
 B)False

Question 13

The uncertainties of direct and indirect losses due to fire, wind, accident, theft, etc., are called ____________ risks.

Accepted Answer

A)  personal 
B)  business 
C)  property 
D)  liability 
E)  speculative 
A)  personal 
B)  business 
C)  property 
D)  liability 
E)  speculative

Question 14

Increased liability insurance is available with an umbrella policy.

Accepted Answer

A) True 
 B)False

Question 15

The purpose of insurance is to help protect you and your family against financial hardship due to hazard, accident, death, and the like.

Accepted Answer

A) True 
 B)False

Question 16

It is difficult to compare auto insurance among provinces because of the differences in cost structures and benefit levels between tort-based and no-fault systems.

Accepted Answer

A) True 
 B)False

Question 17

A speculative risk

Accepted Answer

A)  is the chance that something may be lost. 
B)  is the cause of a possible loss. 
C)  increases the likelihood of loss through some peril. 
D)  is the uncertainty of direct or indirect loss to property due to fire, windstorms, accidents, theft and other hazards. 
E)  is a risk that carries a chance of either loss or gain and are legally defined as uninsurable. 
A)  is the chance that something may be lost. 
B)  is the cause of a possible loss. 
C)  increases the likelihood of loss through some peril. 
D)  is the uncertainty of direct or indirect loss to property due to fire, windstorms, accidents, theft and other hazards. 
E)  is a risk that carries a chance of either loss or gain and are legally defined as uninsurable.

Question 18

Which of the following is considered personal property for home insurance coverage?

Accepted Answer

A)  your automobile 
B)  a fence 
C)  a house 
D)  furniture 
E)  trees and shrubs 
A)  your automobile 
B)  a fence 
C)  a house 
D)  furniture 
E)  trees and shrubs

Question 19

____________ provides coverage for the risk of financial loss due to legal expenses, medical expenses, lost wages, and other expenses associated with injuries caused by an automobile accident for which you were responsible.

Accepted Answer

A)  Medical payments 
B)  No-fault insurance 
C)  Uninsured motorist's protection 
D)  Bodily injury liability 
E)  Comprehensive insurance 
A)  Medical payments 
B)  No-fault insurance 
C)  Uninsured motorist's protection 
D)  Bodily injury liability 
E)  Comprehensive insurance

Question 20

Personal articles endorsement is an additional property insurance to cover the damage or loss of a specific item of high value.

Accepted Answer

A) True 
 B)False

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

A system that allows insurance companies to provide coverage to several individuals with poor driving records is referred to as

Which of the following insurance policy provisions requires that the insured must pay for part of the loss of a claim if the property is not insured for the specified percentage of replacement value?

Georgette Valentine has expensive photography equipment for use in her hobby. Which coverage from the following list would pay for damage or theft of this equipment?

Personal property refers to building and other structures covered by homeowner's insurance.

A home made of wood is more expensive to insure than a comparable brick structure.

Tenant's insurance would include coverage for all of the following except

Peril

Property losses can be categorized into destruction of property, and losses due to robbery, burglary, vandalism, or arson.

If you have a $500 claim resulting from a fire in your home and your policy stipulates that your deductible is $500, then the insurance company will pay you

An umbrella policy is designed to cover

Accident benefits automobile insurance coverage pays for the costs of injuries to persons in the driver's vehicle.

The uncertainties of direct and indirect losses due to fire, wind, accident, theft, etc., are called ____________ risks.

Increased liability insurance is available with an umbrella policy.

The purpose of insurance is to help protect you and your family against financial hardship due to hazard, accident, death, and the like.

It is difficult to compare auto insurance among provinces because of the differences in cost structures and benefit levels between tort-based and no-fault systems.

A speculative risk

Which of the following is considered personal property for home insurance coverage?

____________ provides coverage for the risk of financial loss due to legal expenses, medical expenses, lost wages, and other expenses associated with injuries caused by an automobile accident for which you were responsible.

Personal articles endorsement is an additional property insurance to cover the damage or loss of a specific item of high value.

Personal Financial Planning: An Introduction

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

The Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source Credit: the Costs of Credit Alternatives

The Finances of Housing

Life, Health, and Disability Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

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Exam 8: Home and Automobile Insurance

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

A system that allows insurance companies to provide coverage to several individuals with poor driving records is referred to as

Which of the following insurance policy provisions requires that the insured must pay for part of the loss of a claim if the property is not insured for the specified percentage of replacement value?

Georgette Valentine has expensive photography equipment for use in her hobby. Which coverage from the following list would pay for damage or theft of this equipment?

Personal property refers to building and other structures covered by homeowner's insurance.

A home made of wood is more expensive to insure than a comparable brick structure.

Tenant's insurance would include coverage for all of the following except

Peril

Property losses can be categorized into destruction of property, and losses due to robbery, burglary, vandalism, or arson.

If you have a $500 claim resulting from a fire in your home and your policy stipulates that your deductible is $500, then the insurance company will pay you

An umbrella policy is designed to cover

Accident benefits automobile insurance coverage pays for the costs of injuries to persons in the driver's vehicle.

The uncertainties of direct and indirect losses due to fire, wind, accident, theft, etc., are called ____________ risks.

Increased liability insurance is available with an umbrella policy.

The purpose of insurance is to help protect you and your family against financial hardship due to hazard, accident, death, and the like.

It is difficult to compare auto insurance among provinces because of the differences in cost structures and benefit levels between tort-based and no-fault systems.

A speculative risk

Which of the following is considered personal property for home insurance coverage?

____________ provides coverage for the risk of financial loss due to legal expenses, medical expenses, lost wages, and other expenses associated with injuries caused by an automobile accident for which you were responsible.

Personal articles endorsement is an additional property insurance to cover the damage or loss of a specific item of high value.

Personal Financial Planning: An Introduction

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

The Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source Credit: the Costs of Credit Alternatives

The Finances of Housing

Life, Health, and Disability Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

Filters