Exam 10: Protecting Your Property

Replacement cost and actual cash value are the same thing.

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 personal property of your [renter | visiting mother-in-law] would be covered by your HO policy.

The principle of indemnity would prevent:

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 insurance company [will | will not] provide liability coverage if your dog bites the neighbor.

The _____ is a good homeowner's policy for a condominium owner.

Policy limits are normally specified in the homeowners' insurance contract for some categories of personal property.

Auto insurance premiums would be affected by:

Section I of a homeowner's insurance policy covers the insured's dwelling unit,accompanying structures,and personal liability.

Which of the following losses is most likely to be covered under your auto liability insurance?

Co-insurance is a policy provision to discourage the policyholder from being:

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. -You will almost [never | always] need the services of a public claims adjustor to settle your claim with an insurance company.

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 advisable dollar limit for any one auto accident is [$100,000 | $300,000].

Some common liability risks include:

You just purchased an older home with an actual cash value of $100,000 and a replacement value of $180,000.Which homeowner's form would meet your needs?

Never discuss liability at the scene of an accident

The Principle of Indemnity does not apply to life and health insurance.

Personal liability umbrella policies often include limits of $1 million or more.

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. -To save on HO insurance premiums,you can [increase \ decrease] your liability coverage.

No-fault automobile insurance is a system under which each insured party is compensated by his or her own company,regardless of which party caused the accident.

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. -Most homeowner's policies [would | would not] contain a clause requiring you to carry insurance equal to a minimum percent of the replacement value of your home in order to be paid in full for small losses.