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47 Cards in this Set
- Front
- Back
Absence of people and property from a location best describes
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Vacancy |
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Many commercial liability policies are written with an aggregate policy limit, which is the most the insurer will pay
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For all claims during the policy period |
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A policy modification that may be added to an insurance policy for an extra premium charge to the insured is called an |
Endorsement |
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Part of the insurance contract that sets forth the rules of conduct, duties and obligations of the insured and the insurer is the
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Conditions |
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A policy ending in the middle of the term has been |
Cancelled |
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When a policy will go to the end of the current term nut no further
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Renewal |
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A sudden and unforeseen event is known as an
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Accident |
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A sudden and unforeseen event or something that could be a continuous or repeated event |
Occurrence |
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Loss of rental value is
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Not Considered a consequential loss |
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In property insurance ACV means
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Replacement cost less depreciation |
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Furniture destroyed when a building burns down is an example of a __________ loss |
direct |
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is one resulting from he direct loss such as loss of business income |
Indirect Loss |
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Indirect Loss is also called |
Consequential |
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Upon notice of a claim Linda's insurer requests an __________ to be submitted within 60 days |
Proof of Loss |
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Data regarding the premium, limits, name and address of the insured and the policy period are found in the
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Declarations Page |
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What part of an insurance contract specifies the perils insured against
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Insuring agreement |
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What part of an insurance contract describes the perils that are NOT covered in an all risk policy
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Exclusions |
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The area of tort law that addresses the issue of unintentional wrongful acts, other than crimes and breach of contract is called |
Negligence |
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________ are grounds for civil lawsuits |
Torts |
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_________ is not required to be present to prove negligence |
Intervening Cause |
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Requiring advance notice is sent to the lender in the event of a policy cancelling is an example of |
Mortgagee Rights |
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When a direct chain of events resulting from a negligent act causes injury or damage, that act is considered to be
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The Proximate Clause |
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___________ is used to eliminate coverage for small claims and control cost of insurance
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Deductible
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Tom is involved in an auto accident in which Bill was at fault. Toms insurer pays to fix his car and now would like to go back after bill, the negligent party. This is known as
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Right of subrogation |
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When a policy pays the full replacement cost at todays prices without depreciation
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Replacement Cost |
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Mary can transfer her auto policy to the person that bought her care if her insurer will agree to it. This is also known as right of |
assignment |
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Libel, slander and false arrest are examples of
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personal injury |
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If an insured is found to be responsible for the negligent acts of others it is known as _____________ liability
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Vicarious |
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In property and casualty Insurance field insurable inters must exist at the time of
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The loss occurs |
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A policy that combines the maximum limit available for BI and PD for any one occurrence is a ________________ limit
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Single |
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After a loss the insured should not |
repair the damaged property and submit an itemized bill |
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Demonstrating an insurable interest in the preservation of property is the basis to be an
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insured |
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defend the insured and pay the cost of that defense. The insurer will settle the suit in its best interest. In professional Liability policies the insurer must obtain |
consent of the insured to settle the case |
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Consumer investigative reports maybe used in the underwriting process but are subject to |
Fair Credit Reporting Act |
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The taking of property by visible signs of forced entry or exit is called
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Burglary |
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The taking of property by threat or actual bodily harm is |
Robbery |
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Losing something that you owned
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Mysterious Disappearance |
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After a loss if there is a dispute about the claims process the insurer can
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settlement |
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liability disputes will use the ______________ |
Arbitration Clause |
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Extra coverage added to a property policy at no cost to the insured is known as |
Additional Coverage |
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Extra coverage added to the property for an additional cost to the insured is known as |
Endorsements |
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____________ coverage has to be earned by co-insuring for at least 80% of the cost to rebuild the property |
Extended |
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_________ is not a permitted defense in a negligence lawsuit |
Strict Liability |
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States that have adopted limited forms of no fault Auto Insurance coverage are relying on the concept of |
Assumption or risk |
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process |
Payment Plans |
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Roy wants to insure his 1957 Corvette valued at $50,000 on his current auto policy. He should ask the insurer to insure the vehicle for |
Stated Value |
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Insurable interest exists only when a number of conditions are met. The applicant has insurable risk if |
has an interest in protecting what is insured |