Question 1

Your auto liability insurance shows policy limits of $100,000/$300,000.This means:

Accepted Answer

A)  $100,000 would be paid to the people in your automobile and the $300,000 to passengers in the other car. 
B)  $100,000 is the limit per individual with $300,000 divided equally between the remaining passengers. 
C)  $100,000 limit per individual with a $300,000 limit per accident. 
D)  $100,000 limit per individual with $300,000 being paid to the driver of the other car. 
E)  none of the above 
A)  $100,000 would be paid to the people in your automobile and the $300,000 to passengers in the other car. 
B)  $100,000 is the limit per individual with $300,000 divided equally between the remaining passengers. 
C)  $100,000 limit per individual with a $300,000 limit per accident. 
D)  $100,000 limit per individual with $300,000 being paid to the driver of the other car. 
E)  none of the above

Question 2

To reduce auto insurance premiums as your car depreciates in value,you should consider self-insuring which of the following risks?

Accepted Answer

A)  bodily injury liability 
B)  collision 
C)  property damage liability 
D)  comprehensive (other than collision) 
E)  b and d 
A)  bodily injury liability 
B)  collision 
C)  property damage liability 
D)  comprehensive (other than collision) 
E)  b and d

Question 3

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.
-Decreasing the amount of deductibles will [increase | decrease] your insurance premiums.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 4

Actual cash value provides coverage at the current market value of your property.

Accepted Answer

A) True 
 B)False

Question 5

Comprehensive automobile coverage refers to:

Accepted Answer

A)  complete coverage including liability,medical payments,and damage to your auto. 
B)  coverage for damage to an insured automobile from perils other than collision. 
C)  coverage that adds items of property such as CB radios and telephones that are ordinarily excluded. 
D)  coverage for bodily injuries suffered in an automobile accident. 
E)  none of the above 
A)  complete coverage including liability,medical payments,and damage to your auto. 
B)  coverage for damage to an insured automobile from perils other than collision. 
C)  coverage that adds items of property such as CB radios and telephones that are ordinarily excluded. 
D)  coverage for bodily injuries suffered in an automobile accident. 
E)  none of the above

Question 6

Fire is an example of a peril.

Accepted Answer

A) True 
 B)False

Question 7

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.
-If you are sued,the liability portion of your property insurance [must | has no obligation to] defend you.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 8

Property inventories are important to identify insurance needs and to substantiate claims.

Accepted Answer

A) True 
 B)False

Question 9

Actual cash value is defined as replacement cost minus depreciation.

Accepted Answer

A) True 
 B)False

Question 10

Covered liability perils do not include claims for libel,slander,or character defamation.

Accepted Answer

A) True 
 B)False

Question 11

The principle of _____ states that an insured should not be compensated by an insurance company in an amount exceeding the economic loss.

Accepted Answer

A)  subrogation 
B)  insurable interest 
C)  co-insurance 
D)  indemnity 
E)  none of these 
A)  subrogation 
B)  insurable interest 
C)  co-insurance 
D)  indemnity 
E)  none of these

Question 12

A peril is a cause of loss.

Accepted Answer

A) True 
 B)False

Question 13

Uninsured motorist coverage covers passengers in your car from losses caused by your negligence.

Accepted Answer

A) True 
 B)False

Question 14

The type of car you drive has little effect on your auto insurance premiums.

Accepted Answer

A) True 
 B)False

Question 15

Financial responsibility laws in most states are high enough to adequately meet one's auto liability needs.

Accepted Answer

A) True 
 B)False

Question 16

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.
-Research shows that people with [lower | higher] credit scores tend to file more insurance claims.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 17

Section I of a homeowner's insurance policy covers medical payments.

Accepted Answer

A) True 
 B)False

Question 18

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 professional designation you want your property insurance agent to have is the [ACLU | CPCU].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 19

If your insurance company makes a payment to you,subrogation is the right of the company to collect from the person causing the accident or from his/her insurance company.

Accepted Answer

A) True 
 B)False

Question 20

Section II of a homeowner's insurance policy covers personal property and personal liability.

Accepted Answer

A) True 
 B)False

Your auto liability insurance shows policy limits of $100,000/$300,000.This means:

To reduce auto insurance premiums as your car depreciates in value,you should consider self-insuring which of the following risks?

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. -Decreasing the amount of deductibles will [increase | decrease] your insurance premiums.

Actual cash value provides coverage at the current market value of your property.

Comprehensive automobile coverage refers to:

Fire is an example of a peril.

Property inventories are important to identify insurance needs and to substantiate claims.

Actual cash value is defined as replacement cost minus depreciation.

Covered liability perils do not include claims for libel,slander,or character defamation.

The principle of _____ states that an insured should not be compensated by an insurance company in an amount exceeding the economic loss.

A peril is a cause of loss.

Uninsured motorist coverage covers passengers in your car from losses caused by your negligence.

The type of car you drive has little effect on your auto insurance premiums.

Financial responsibility laws in most states are high enough to adequately meet one's auto liability needs.

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. -Research shows that people with [lower | higher] credit scores tend to file more insurance claims.

Section I of a homeowner's insurance policy covers medical payments.

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 professional designation you want your property insurance agent to have is the [ACLU | CPCU].

If your insurance company makes a payment to you,subrogation is the right of the company to collect from the person causing the accident or from his/her insurance company.

Section II of a homeowner's insurance policy covers personal property and personal liability.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

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Exam 10: Protecting Your Property

Your auto liability insurance shows policy limits of $100,000/$300,000.This means:

To reduce auto insurance premiums as your car depreciates in value,you should consider self-insuring which of the following risks?

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. -Decreasing the amount of deductibles will [increase | decrease] your insurance premiums.

Actual cash value provides coverage at the current market value of your property.

Comprehensive automobile coverage refers to:

Fire is an example of a peril.

Property inventories are important to identify insurance needs and to substantiate claims.

Actual cash value is defined as replacement cost minus depreciation.

Covered liability perils do not include claims for libel,slander,or character defamation.

The principle of _____ states that an insured should not be compensated by an insurance company in an amount exceeding the economic loss.

A peril is a cause of loss.

Uninsured motorist coverage covers passengers in your car from losses caused by your negligence.

The type of car you drive has little effect on your auto insurance premiums.

Financial responsibility laws in most states are high enough to adequately meet one's auto liability needs.

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. -Research shows that people with [lower | higher] credit scores tend to file more insurance claims.

Section I of a homeowner's insurance policy covers medical payments.

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 professional designation you want your property insurance agent to have is the [ACLU | CPCU].

If your insurance company makes a payment to you,subrogation is the right of the company to collect from the person causing the accident or from his/her insurance company.

Section II of a homeowner's insurance policy covers personal property and personal liability.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters