Exam 10: Protecting Your Property

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -A renters' policy typically [does | does not] provide protection against liability claims.

Jim drove his car into a home and wiped out the car in front of him,the home,and a pedestrian.Jim has auto liability insurance of 25/50/10.He also has medical payments coverage of $1,000 and a $250 deductible on his collision coverage.The following damage resulted: How much will Jim's auto insurance coverage pay for this accident? How much will Jim be personally responsible for?

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -Section II of a homeowner's insurance policy covers [dwelling | personal liability].

Liability coverage provides payment to:

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -Bill was the at-fault party when you and he collided.Your insurance company has paid for the damages to your car.Now,it intends to recover this money from Bill.This is the right of [subrogation | indemnification].

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -Uninsured motorist insurance is quite [expensive | inexpensive].

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -The best place to buy automobile insurance is [auto dealer | | independent agent].

State financial responsibility laws require only auto liability insurance.

Homeowners' insurance premiums are determined by:

The premiums for homeowners' insurance are based on size of deductible,policy limits,and standard coverage.

Liability insurance generally provides some coverage for legal fees.

Auto insurance companies may offer premium discounts for:

While you were away on winter vacation,there was a severe snowstorm that caused your roof to cave in causing a $20,000 loss.Your HO-2 policy will cover this loss.

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -Sally drove Jessie's car to the mall and was involved in an accident that was her fault.The primary auto insurance that will cover this accident is [Sally's | Jessie's].

A captive agent represents many insurance companies.

Your car is damaged by fire while parked in your garage.Protection would be provided by:

Collision protection pays for damage to:

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -Your $10,000 stamp collection would be best protected under [your HO policy | a personal property floater].

Which of the following events would probably increase your auto premiums?

Choose the word or phrase in [ ] which will correctly complete the statement.Select "a" for the first item,"b" for the second item,and "c" if neither item will correctly complete the statement. -An HO-2 policy will protect your property from losses from [all | listed] perils.