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151 Cards in this Set
- Front
- Back
- 3rd side (hint)
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In order to be compensable, a work-related injury MUST occur:
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A. While employment duties are being performed
B. During the employee's regular hours C. At the place of employement or on the way to work D. As a result of the employee's negligence |
A. While employment duties are being performed
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If an insured and insurance company CANNOT agree on the amount of indemnification. What stipulation provides either part with an assessment of the loss?
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A. Appraisal
B. Subrogation C. Salvage D. Coinsurance |
A. Appraisal
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Under a Worker's Comp. Policy, the other state insurance coverage identifies the states where:
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A. The employer may have employees
B. Clients are located C. The employer does not do business D. Lawsuit may be filed |
A. The employer may have employees
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Which of the following would be considered an insured location under the HO3:
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A. Cemetery plot of any insured
B. Aircraft C. Stored business data D. Rented, vacant farmland |
A. Cemetery plot of any insured
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Under the equipment breakdown policy which of the following would not be a Non-accidental loss:
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A. Wear and tear
B. Rust C. Sabotage D. Deterioration |
C. Sabotage
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If an insurance policy has annual aggregate limit this would be the predetermined:
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A. Dollar amount a policy will cover each year
B. Number of claims a policy will cover each year C. Maximum dollar amount a policy owner will pay for premiums each year D. Dollar amount a policyowner can borrow against the policy in any given year |
A. Dollar amount a policy will cover each year
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The underwriter for a property and casualty insurance company:
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A. Decides the acceptability risk
B. Negotiates loss payment C. collect first premium D. Estimate loss reverses |
A. Decideds the acceptability risk
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The common carrier cargo liability form is to protect against damage to the cargo a trucker carries. The form would cover losses due to:
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A. Flood
B. Fire C. Car accident D. Hurricane force winds |
C. Car Accident
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DP-2 differs from dwelling basic form with extended coverage becasue the DP-2 adds the following perils EXCEPT:
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A. Weight of ice, snow, sleet
B. Freezing of plumbing C. damage casued by hail D. Damage caused by burglars |
D. Damage casued by burglars
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A furniture deliveryman negligently casued accident while driving a company owned van. Which type of liability:
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A. Absolute
B. Strict C. Consequential D. Vicarious |
D. Vicarious
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After a loss occurs to an insured automobile, what must insured party do:
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A. Report the vehicle collision to the local police
B. Ensure premiums are paid up to date C. Refrain from legal action without insurer's approval D. Permit the insurer to inspect the vehicle before it is repaired |
D. Permit the insurer to inspect the vehicle before it is repaired
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In order to receive replacement cost settlement for covered structure under Coverage A Dwelling, minimum amount of insurance required for a building with replacement value of $100,000 is:
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A. $100,000
B. $80,000 C. $20,000 D $50,000 |
B. $80,000
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Amount of a claim settlement based on the concept of indemnity is determined by the:
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A. Law of large numbers
B. Application of pure risk C. Cost of insurance D. Insurable interest |
B. Application of pure risk
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When coverage for a loss is shared between two or more policies, the policy provision that explains the approach to be taken in referred to as the:
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A. Other insurance
B. Coinsurance clause C. Deductible clause D. Insurance to value clause |
A. Other insurance
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Dwelling policy endorsement that provides coverage for a dwelling that is in the course of being built?
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A. Build Ordinance Endosement
B. Dwelling Under Construction Endorsement C. Contractor's Risk Endorsement D. Functional Building Valuation Endorsement |
B. Dwelling Under Construction Endorsement
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Failure to use reasonable means to save and preserve property after a loss is:
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A. Intentional loss
B. Fraud C. Neglect D. Wrongful act |
C. Neglect
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In an HO-5 policy, trees, shrubs, and other plants on residential premises are insured EXCEPT:
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A. Theft
B. Reckless driving by insured C. Fire D. Riot or civil commotion |
B. Reckless driving by insured
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Which of the following perils is included in an HO-3 policy:
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A. Volcanic eruption
B. Flood C. Mudslide D. Earthquake |
A. Volcanic eruption
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Which one of the following is a secured creditor listed in an automobile policy:
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A. Bailee
B. Mortgage C. Loss payee D. Holder in due course |
C. Loss payee
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Which one is a common insurance-to-value condition found in a property policy and provides a penalty for underinsuring:
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A. Minimum compensation
B. Actual Cash Value C. Coinsurance D. Other insurance |
C. Coinsurance
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What is the term that best describes the tendency of an individual with a greater than average chance of a loss to purchase insurance:
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A. Adverse selection
B. Non-writing contracts C. Surplus line insurance D. Anti-term insurance |
A. Adverse selection
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Authority that is given by insurer to a producer NOT formally communicated is:
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A. Implied
B. Written C. Apparent D. Expressed |
A. Implied
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When automobile insurance is required by law, this MUST be included in personal auto policy:
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A. Liability
B. Physical damage C. Theft and vandalism D. Medical payment |
A. Liability
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All forms of homeowner policies EXCLUDE:
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A. Hail
B. Earth movement C. Volcanic Eruption D. Cyclones |
B. Earth Movement
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Worker's Comp. policy Part II protects employers for:
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A. Worker Compensation benefits
B. Lost employee C. Employee theft D. common law liability and damage |
D. Common law liability and damage
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Which condition may NOT be trasferred to anyone without the written consent of insurer:
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A. assignment
B. Liberalization C. Limitation D. Additional insured |
A. assignment
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Which of the following is used to describe risk trasfer:
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A. Installation of smoke alarm to avoid risk of fire
B. Purchase insurance to avoid risk of financial loss C. saving money to avoid potential loss D. Taking vitamis to avoid illness |
B. Purchase insurance to avoid risk of financial loss
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The following are TRUE about farm coverage EXCEPT:
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A. Farm coverage can be written as part of a commercial package policy
B. Farm coverage can cover personal and business exposure C. Only basic perils are offered in the cause of loss form D. Unscheduled farm property is covered on a blanket basis |
C. Only basic perils are offered in the cause of loss form
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Which types of property are covered under a Homeowner policy:
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A. Seasonal residences
B. Farms C. Homes containing five families D. Home rented to you |
A. Seasonal Residences
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An individual who has Liability, Uninsured Motorist, Medical Payment and Other than Collision, falls asleep at the wheel and crashed into a flower shop. Damage to the shop would be covered by:
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A. collision
B. Uninsured Motorist C. Medical Payment D. Liability |
D. Liability
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The policy Condition Section best describes the insured's:
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A. Warranties
B. Covered property C. Method of valuation D. Duties after a loss |
D. Duties after a loss
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Perils NOT specifically listed on a Basic form in a Dwelling policy are automatically:
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A. Considered a direct loss
B. Considered an indirect loss C. Exluded D. Insured against |
C. Excluded
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Symbol 8 & 9 in a business policy refers to:
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A. Owned and owned other than private
B. Hired r and non-owned C. Owned auto subject to no-fault and compulsory Uninsured Motor Law D. Specifically excluded |
B. Hired R and non-owned
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Under a business owner standard property form, which of the following is outside of coverage territory?
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A. United State
B. Canada C. Puerto Rico D. Mexico |
D. Mexico
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Wind blows down a power line, resulting in food spoiling in freezer, which of the following best describes the loss?
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A. Direct
B. Real property C. Consequential D. Vicarious |
C. Consequential
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A Grocery store worker drips a box on a customer, this will be covered by:
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A. Premises and operation liability
B. Employer's liability C. Product liability D. Completed oeration liability |
A. Premises and Operation Liability
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What condition voids a Homeowners policy:
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A. Waiver/charge
B. Concealment/fraud C. Liberalization clause D. Insurable interest |
B. Concealment/Fraud
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Under Personal Auto Medical Expense, insurer will pay:
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A. Reasonable expenses of medical/funeral
B. Rental Car C. Pain and Suffering D. Long term disability care |
A. Reasonable expenses of medical/funeral
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When a Commercial Crime Form includes coverage for employee theft, which is TRUE:
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A. Covers company securities that are stolen by an employee
B. Employee involved in the theft MUST be identified C. Shortage may be established by a profit and loss calculation D. The loss may result when an employee's personal identity is stolen |
A. Covers company securities that are stolen by an employee
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In a Commercial General Liability policy, which factor restricts the amount payable in the event of loss:
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A. Number of insured's
B. Limit on the policy C. Number of claims made D. Number of suits brought |
B. Limit on the policy
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The trasfer of insured's Right of Recovery to the insurer is:
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A. Assignment
B. Adhesion C. Subrogation D. Salvage |
C. Subrogation
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In a Worker's Comp Policy, a covered injury MUST arise in the course of the:
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A. Emplyee's personal activities
B. Employers activities C. Employee's employment D. Employer's employment |
C. Employee's employment
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Supplemental Coverage to a Homeowner's policy is:
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A. Limited Coverage Endorsement
B. Deductible Waiver Endorsement C. Article of Insurance Endorsement D. Scheduled Personal Property Endorsement |
D. Scheduled Personal Property Endorsement
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Strict liability is MOST frequently applied to activities...EXCEPT:
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A. Unreasonably dangerous material
B. Alcoholic sbstance C. Hazardous operation D. Wild animal |
D. Wild Animal
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Which of the following is covered by the Commercial Cause of Loss SPECIAL form:
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A. Mechanical Breakdown
B. Smog C. Mudslide D. Building destruction caused by riot |
D. Building Destruction casued by riot
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What type of liability is based on a PRODUCT being unreasonably dangerous:
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A. General
B. Strict C. Contactual D. Negligence |
B. strict
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The Dwelling and Homeowner policies both EXCLUDE coverage for:
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A. Fire department charge
B. Flood C. Debris Removal D. Property removed to protect covered peril |
B. Flook
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Personal Coverage Form building, business personal property & personal property of others located at the insured's premises, thsie coverages:
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A. Are automatically included
B. Are chose individually C. Have equal limit of insurance D. include genral liability coverage |
A. Are automatically included
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When a loss occurs, individual should be restored the approximated financial condition just prior to the loss.
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A. Adhesion
B. Consideration C. Warranty D. Indemnity |
D. Indemnity
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All of these covered under Commercial Crime policy EXCEPT:
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A. Computer fraud
B. Employee theft C. Investigation fee D. Forgery or alteration |
C. Investigation Fee
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Which of the following Payments made by liability policies over and above the policy limit:
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A. Consequential
B. Supplementary C. Special D. Surplus |
B. Supplementary
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All of the following are basic perils on Homeowners policy EXCEPT:
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A. Riot
B. Smoke C. Volcanic eruption D. Flood |
D. Flood
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Under Dwelling Policy Coverage C, Which of the following is included:
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A. Small Plane belonging to a renter
B. Sofa belonging to a renter C. Watch belonging to a guest D. Garden shed belonging to a neighbor |
C. Watch belonging to a guest
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A general liability policy covers bodily injury as a result of:
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A. Intentional injury
B. A work-related injury C. Criminal injury D. A premises exposure |
D. A premises exposure
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What does the Inland Marine Sign Coverage apply to:
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A. Covers sign not attached to building
B. Covers sign attached to the building C. No signs D. No coverage |
A. Covers sign not attached to building
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John has a loan with Trust Bank for his home. Under a Homeowner policy, the bank is:
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A. Named insurance
B. Mortgagee C. Second named insurance D. Secondary insured |
B. Mortgagee
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Under the Business Auto Form which of the following would be symbol 1:
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A. Any auto
B. Owned auto C. Private Passenger D. Specific described auto |
A. any auto
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ABC Company sold a blender to an individual, the blender malfuntioned, injured its owner, casued a fire that burned down the owner's house. ABC Companies Product and Completed Operation policy will pay everything EXCEPT:
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A. Replacement of blender
B. Replacement of house C. Medical service D. Ambulance transportation |
A. Replacement of blender
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In all homeowner forms additional coverage Fire Dept. Service charge covers charges made by the Fire Dept. to:
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A. Rescue inhabitants from the fire
B. Remove charred objects C. Save covered property from a fire D. Repair a fire alarm |
A. Resuce inhabitants from the fire
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A Commercial General Liability Policy covers everything listed below EXCEPT:
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A. Product and Completed Operation
B. Personal and Advertising Liability C. Employer's Liability D. Damage to Premises Rented to You |
D. Damage to premises rented to you
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If the roof is damaged due to a covered peril under which coverge part would the materials to make the repairs be paid:
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A. Dwelling
B. Other Structure C. Personal Property D. Fair REntal Value |
A. Dwelling
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Which of the following would be considered an Inland Marine Policy:
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A. Musical instrument
B. Water craft C. Contractors Equipment Floater D. Computer equipment |
C. Contractors Equipment Floater
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Which of the following would apply in a Commercial Truckers Form:
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A. Motorcycle
B. Semi-trailer C. Snowmobile D. ATV's |
B. Semi-trailer
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Employee is injured and under the Worker's Compensation policy there is a deductible. Who is responsible for paying deductible ultimately:
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A. Insurer
B. Employer C. Injured employee D. Workers Compensation commission |
B. Employer
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Under Homeowner policy, which of the following statement is TRUE regarding coverage of a fire department service charge:
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A. The cost is included in Dwelling Coverage A
B. The cost is included in addition to the limit of insurance C. The cost is included in Personal Property Coverage C D. No coverage |
B. The cost is included in addition to the limit of insurance
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John works for an insurance firm and places insurance with many different companies. He works on a fee basis on behalf of the customer to find an insurance company that meet the customer's insurance need. He is:
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A. Broker
B. Public adjuster C. Captive producer D. Advisor |
D. advisor
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Example of a loss by collision coverage under Business auto policy:
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A. Hitting a bird
B. Hitting a tree C. A falling rock D. Breakage of glass |
B. Hitting a tree
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Purpose of Coinsurance:
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A. Prevent insurer from having to pay small losses
B. Make the property owner responsible for part of payable loss C. Insure a property for a stated amount D. Encourage a property owner to insure a property value |
A. Prevent insurer from having to pay small losses
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Purpose of company rating service such as AM Best:
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A. To offer best policy
B. To offer best rate C. To determine the financial strength of company being rated D. Guarantee the financial strength of company being rated |
C. To determine the financial strength of company being rated
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According to assignment condition, policy can be transferred to another with the written permission of the:
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A. Producer
B. Insurance department C. Assigner D. Insurer |
D. Insurer
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Two types of insurance are provided in Homeowner policies:
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A. Auto & Liability
B. Auto & Dwelling C. Property & Liability D. Property & Auto |
C. Property & Liability
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Which type of penalty does insured suffer if the insured does NOT carry sufficient insurance to meet the policy requirement:
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A. Coinsurance
B. Excess C. Deficiency D. Loss payable |
A. Coinsurance
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On a commercial general liability claim-made policy, claim is first made when notice of the claim is received by the insured party or the:
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A. Insurer
B. Injured party C. Insurance agent D. Attorney for the injured party |
A. Insurer
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Supplemental coverage to a Homeowner Policy for listed articles is referred to as:
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A. Limited Coverage Endorsement
B. Deductible Waiver Endorsement C. An Article of Insurance Endorsement D. Scheduled Personal Property Endorsement |
D. Scheduled Personal Propertry Endorsement
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Jim overlooked some of his personal history when applying for an insurance policy. The omission of information would be considered a:
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A. Misrepresentation
B. Substitution C. Binding statement D. Conditional obligation |
A. Misrepresentation
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Contractor completed construction on a building and turn it over to the retail merchant who owns the building and will conduct business on it. After building is trasferred and occupied, the roof leaks and causes damage to the business inventory. What type of exposure:
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A. Product liability
B. Completed Operation liability C. Advertising injury D. Personal liability |
B. Compled Operation Liability
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Which of the following is considered a peril under a property policy?
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A. Intentional act
B. Ordinance or law C. Vandalism D. Faulty construction |
C. Vandalism
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Which is NOT a type of bond:
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A. Capacity
B. Court C. Performance D. Bid |
B. court
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Symbol 7 in a business auto policy refers to:
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A. Specifically described auto
B. Non-owned auto C. Owned to subject ot a compulsory uninsured motorist law D. Hired and non-owned autos |
C. Owned to subject or a compulsory uninsured motorist law
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Under a personal auto policy, an auto accident with a phantom motorist would be covered by which of the following coverages:
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A. Personal property liability
B. collision C. uninsured motorist D. comprehensive/other than collision |
C. uninsured motorist
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Which is NOT covered under Businessowners Policy (BOP):
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A. property of others in insured's care and control
B. Property owd and used by insured in the business C. employees motor vehicle parked outside the building D. tenant improvements and betterments |
A. Property of others in insured's care and control
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What type of notice MUST a company provide to cancel
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A. 10 days
B. 20 days C. 30 days D. 60 days |
A. 10 days
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Which of the following is an exlusion under Employement Practices Liability coverage:
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A. Wrongful Termination
B. Workers Compensation C. Sexual Harassment D. Alleged Discrimination |
B. Workers Compensation
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Personal auto Policy (PAP coverage territory excludes which of the following:
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A. United States
B. Mexico C. Puerto Rico D. Canada |
B. Mexico
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Under Contract Law, legal purpose refers to:
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A. There must be consideration on both sides
B. Parties to the contract must be legally competent C. reasons for the contract must be legal D. contract must be personal |
C. Reasons for the contract must be legal
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Which of the following two perils would be excluded if a property was vacant for more than 60 days:
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A. Falling objects and accidental discharge of steam or water
B. Damage by burglars and accidental discharge of steam or water C. Weight of snow, ice or sleet and freezing of plumbing D. Freezingof plumbing and falling objects |
B. Damage by burglars and accidental discharge of steam or water
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Which of the following is a requirement for Bail Bondsmen:the amont of $50,000
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A. Must hold a valid certificate of qualification from the Commissioner for the sale of surety insurance and be appointed by an authorized insurer to act as its agent in the sale of surety insurance.
B. Must be a Maryland resident and be 21 years of age. C. Must be licensed by the State of Maryland for one year prior to providing bail bond services. D. Must file a asurety bond with the Commissioner in the amont of $50,000 |
A. Must hold a valid certificate of qualification from the Commissioner for the sale of surety insurance and be appointed by an autorized insurer to act as its agent in the sale of surety insurance.
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How is the personal property covered under a DP-3:
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A. Same as Coverage A and Coverage B
B. Open peril except for stated exclusions C. Same as DP-1 D. Same as DP-2 |
D. Same as DP-2
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Motor truck cargo liability is covered for which peril:
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A. Flood
B. Fire C. Car accident D. Hurricane force winds |
C. Car Accident
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How many workers must an employer have to qualify for Worker's Comp. laws:
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A. 1
B. 2 C. 3 D. 4 |
A. 1
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Who would NOT be covered under PIP:
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A. out of state resident hit by a car in another state
B. Pedestrian if first named C. Insured's immediate family D. Bicyclist hit by a covered motor vehicle |
A. Out of State resident hit by a car in another state
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To provide the funds necessary to carry out the power and duties of the Life and Health Guaranty Corp, the Board of Directors shall:
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A. Raise premiums
B. Secure state funds C. assess all policyholders D. assess all member insurers |
D. assess all member insurers
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In order to qualify for a company convention and insurance producer agrees to pay the quarterly premium for the applicant for new insurance . This is called:
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A. Gift
B Rebate C. Loan D. Cost of doing business |
B. Rebate
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A producer's license has been expired for less than a year. The producer will be required to do all of the following except:
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A. Pay a license renewal fee
B. Submit proof of completion of continuing education requirements C. pay a $100 reinstatement fee D. take an exam |
D. Take an exam
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What are the maximum coverage limits for Coverage A and Coverage C under the JIA:
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A. $455,000 and $228,000
B. $400,000 and $200,000 C. there are no limits D. $100,000/$300,000 |
A. $455,000 and $228,000
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Someone who sells, solicits, or negotiates an insurance contract for compensation is called:
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A. Independent insurance producer
B. Insurance producer C. Insurance adviser D. Life insurer |
B. Insurance Producer
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An insurance company that conducts business outside the state where it is incorporated is called:
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A. Domestic
B. Foreign C. Alien D. Multi-district |
B. Foreign
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A false written or oral statement made by an agent for the purpose of replacing an existing policy is:
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A. Twisting
B. Illegal inducement C. Discrimination D. Illegal advertising |
A. Twisting
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Which of the following is a true statement regarding the Maryland Insurance Commission:
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A. The commissioner is elected by majority bore of the Maryland Senate
B. The commissioner shall serve a term of 6 years C. The commissioner should council and advise the governor on all matters assigned to the MIA D. The commissioner is in the executive service of the states personal management system and is entitled to payment form the state insurance guaranteed fund. |
C. The commissioner should council and advise the governor on all matters assigned to the MIA
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An insurance agent casues a financial loss to an insured because he is not correctly represent the insurance company. What coverage would protect him from financial loss:
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A. Professional Liability
B. Employment Practices Liability C. Commercial Genreal liability D. Errors and Omissions |
D. Errors and Omissions
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When a PIP waiver is signed there is:
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A. No medical payment coverage for passengers in the insured's vehicle
B. No medical payment overage for listed family members under the age of 16 C. No medical coverage for pedestrians struck by insured's vehicle D. Still coverage for family members of the insured under the age of 16 |
C. No medical coverage for pedestrians struck by insured's vehicle
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Which of the following is not covered under Other Than Collision (comprehensive):
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A. Hitting a deer
B. Theft C. vehicle rollover D. vandalism |
C. vehicle rollover
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If an insured increases limits on PAP to 100/300/50 and signs an Uninsured Motorist Waiver, what happens to Uninsured Motorist coverage:
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A. 50/15010
B. 30/60/15 C. 100/300/0 D. 20/40/0 |
B. 30/60/15
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John, The insured, purchases a new vehicle from ABC Motors. The BEST county Bank finances the purchase and John leaves ABC Motors and drives to work. Who will have an insured interest in vehicle:
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A. Both John and Apple Motors
B. Apple Motors and The New Country Bank C. The Best County Bank and ABC Company, Inc. D. The insured and The Best County Bank |
D. The insured and The Best County Bank
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Under an Umbrella Policy, the portion the insured must pay before the Umbrella Policy will respond to certain losses is known as:
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A. limit of liability
B. deductible C. self-insured retention D. under the limit |
B. deductible
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Membership in The Property and Casualty Insurance Guaranty Corp among authorized P&C insurers is:
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A. voluntary
B. genreal C. mandatory D. not necessary |
C. mandatory
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Premium Finance Companies may charge a non-refundable policy fee of:
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a. $100
B. $50 C. $0 D. $20 |
D. $20
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Upon notification of an accident by an insured, the insurer is required to notify the insured when the last day a medical claim can be:
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A. accepted by the insurer
B. approved by the insurer C. denied by the insurer D. submitted to the insurer |
C. Denied by the insurer
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Which of the following would not be considered an employee or Workers Comp coverage:
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A. Minor employee
B. Casual Worker C. Officer of an S-Corp D. Domestic residence service employee who makes $1000 per quarter |
B. Casual Worker
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Withdrawls from premium account are not permitted for which of the following:
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A. payment of premiums to principal
B. return deposit to insured C. payment of claims to insured D. return premium to insured |
C. Payment of claims to insured
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The following items must be shown on a notice of attempt to cancel a workmen's compensation policy:
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A. The date the policy is to be cancelled
B. The insurer's actual reason for proposing cancellation on the policy C. The name of the last insured's address D. Other insurance companies to replace coverage |
A. The date the policy is to be cancelled
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It is considered unfair discrimination to underwrite a HO policy for the following factors:
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A. Credit history
B. Geographic location C. Marital status D. Prior claim activity |
C. Marital status
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A producer writing business with MAIF is required to have a bond with a penalty in the amount of:
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A. $10,000
B. $25,000 C. $50,000 D. $100,000 |
A. $10.000
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A joint insurance association consists of all insurers that are licensed to write in the state on a direct basis and their membership is:
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A. Mandatory
B. Voluntary C. Acceptable D. Needed |
A. Mandatory
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When terminating a policy, the insurance company's contract termination must:
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A. Be sent to the insurance commissioner
B. Contain a copy of the senate insurance regulations C. state the specific reasons D. include a full premium refund |
C. State the specific reasons
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When terminating a policy, the insurance company's contract termination must:
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A. Family member who resides in the household struck by an uninsured motor vehicle
B. Contain a copy of the senate insurance regulations C. State the specific reasons D. include a full premium refund |
C. State the specific reasons
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All of the following are allowed coverage under personal injury protection coverage EXCEPT:
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A. Family member who resides in the household struck by an uninsured motor vehicle
B. Non resident who was insured C. Pedestrian who was injured D. Passenger |
A. Family member who resides in the household struck by an uninsured motor vehicle
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Which of the following coverages must be offered in an HO policy:
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A. Lead Paint
B. Backup sewage C. Flood D. Auto |
B. Backup sewage
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Bill has been receiving workman's comp benefits from an injury that occured on the job. However his employer has just filed bankruptcy. Which of the following is responsible for paying Bill's benefits:
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A. Property and casualty funds
B. state worker's compensation C. The insurer D. Bankruptcy |
C. The insurer
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If a producer files for bankruptcy, which would be responsible for the insurer's premium:
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A. Worker's compensation commission
B. Bankruptcy court C. Insurance company D. employer |
C. Insurance Company
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If three people filed a claim for liability and the unbrella limit was $500,000, how much would the policy pay:
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A. $500,000
B. $1,000,000 C. $1,500,000 D. $250,000 |
A. $500,000
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If an insured waives PIP coverage, which would be covered if an accident occurs:
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A. Driver/first named insured
B. Passenger in the vehicle C. Pedestrian from out of state, and accident occurs out of state D. Resident under 16 |
B. Passenger in the vehicle
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What would be Other than Collision/Comprehensive:
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A. Overturned vehicle
B. Striking a deer C. Hitting a tree D. Backing into a fence |
B. Striking a deer
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A Sub-Contractor is doing work at a work site, what would be covered under a Builders Risk Policy:
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A. Contractors vehicle
B. Contractors tools C. Contractors sign on the property D. Equipment and Material that is intended to become a permanent part of the building |
D. Equipment and Material that is intended to become a permanent part of the building
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First named insured is required to do all of the following EXCEPT:
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A. Pay premium
B. Submit surveys C. Report Claims D. Make changes |
B. Submit surveys
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Which would not be covered under a BOP policy:
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A. Beauty Parlor
B. Fast Food Restaurant C. Business office D. Apartment Building 10 Stories |
D. Apartment Building 10 Stories
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All of the following would be covered under a common carrier cargo liability policy EXCEPT:
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A. Windstorm
B. Collision C. Fire due to negligence D. Theft of cargo |
A. Windstorm
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Who will not be covered under worker compensation:
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A. casual employee
B. Minor C. Domestic resident earning more than $750 in a quarter D. Police officer |
A. Casual Employee
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What coverage covers the barn on a farm:
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A. Farm policy
B. Homeowners C. Commercial package policy D. BOP |
A. Farm Policy
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What symbols represent a hired auto in a business auto policy:
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A. Symbol 1
B. Symbol 6 C. Symbol 7 D. Symbol 8 |
D. Symbol 8
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What is not covered on a farm coverage form?
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A. Dwellings are vocered in the same way as coverage A in the homeowners program
B. Coverage F- unscheduled Farm Personal Property is covered under a blanket policy C. coverage E- covers bees, works and fish D. Coverage B- covers Barn & Silos |
D. Coverage B- covers Barn & Silos
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What statement is accurate about a drelling policy?
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A. DP 01 must include coverage A and Coverage B
B. Coverage D applies if property C becomes damaged C. Coverage E is available only if broad or special form coverage is written D. livestock is included in Coverage C |
C. Coverage E is available only if broad or special form coverage is written
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What is not a perils under a Basic Dwelling Policy?
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A. Fire
B. Lightening c. Ordinance or Law D. Internal explosion |
C. Ordinance or Law
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Doc's Pharmacy lost all of its pharmacy records that the State had required them to keep. Under which commercial Inland Marine Coverage Form would the policy pay for the recovery of those records?
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A. Accounts Receivable Coverage Form
B. Bailee's Customer Policy C. Commercial Articles Form D. Valuable Papers and Records Coverage Form |
C. Commercial Articles Form
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Definition of Public Adjuster?
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Someone adjusting property
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What percentage of a worker's income is typically paid under PIP Benefits:
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A. 50%
B. 60% C. 85% D. 100% |
C. 85%
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If a grocery store customer slips on a grape and falls, it is considered....
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A. Hazard
B. Peril C. Exposure D. Adverse selection |
A. Hazard
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If an insurance company decides not to insure a particular property do its geographical location the reason must be which of the following:
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A. They must be subjective and arbitrary
B. They must be subjective and non-arbitrary C. They must be objective and arbitrary D. They must be objective and non-arbitrary |
D. They must be objective and non-arbitrary
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A private passenger motor vehicle policy with collision coverage provides coverage to the insured who rents a vehicle for how many days:
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A. 12
B. 20 C. 30 D. 90 |
C. 30
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An applicant for coverage through Maryland MAIF must be frefused a policy by 2 auto insurance companies for any reason other than:
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A. Too many accidents
B. A reinstated driver's license C. Charge driving under the influence D. Non-payment of premium |
D. Non-Payment of premium
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Maryland producer may make withdraws form an account for all of the following reasons EXCEPT:
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A. Payment of the premium to principal
B. Transfer of commissions to an operating account C. Transfer interest to prime account D. Personal expenses for client services |
D. Personal expenses for client services
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Advertisements in general shall be:
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A. Approved by the insurance commissioner
B. Clear only by implication C. Clear only by familiarity with the insurance terminology D. truthful |
D. Truthful
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Within the state of Maryland, health organizations are regulated by the:
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A. Maryland Insurance Administration
B. Dept of Health and Mental Hygiene C. Dept of Office on Aging D. Maryland Insurance Administration and dept of Helth of Mental Hygiene |
A. Maryland Insurance Administration
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Notice of the renewal premium must be provided how many days before the renewal date of a personal line policy:
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A. 10
B. 15 C. 30 D. 45 |
D. 45
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An agent who lives in another state and solicits insurance in Maryland is called:
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A. An unauthorized agent
B. Non-resident agent C. Foreign agent D. Resident alien |
B. Non-Resident agent
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MAIF defines a covered vehicle to include auto, truck, van and:
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A. Trailer
B. Motorcycle C. Motorbike D. Taxi |
A. Trailer
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A person who solicits business as an adjuster of first party insurance claims for loss or damages arising under insurance cotracts that real or personal property on behalf of the insurance is:
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A. Staff adjuster
B. Public adjuster C. Insurance adjuster D. Independent adjuster |
B. Public adjuster
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The Maryland Insurance Administration is an agency of the:
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A. Federal government
B. State government C. National Association of Insurance Commissioners D. Maryland general assembly |
B. State Government
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After completing an application for insurance, producer collects the premiums but deposits the checks in an insurance producer's checking account, what crime has been committed?
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A. Twisting
B. Rebating C. Fraud D. Replacement |
C. fraud
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Under Maryland law the agreeement between an insurance producer and the insurer under which the insurance producer for compensation may sell, solicit, or negotiate policies issued by the insurer is defined as:
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A. An appointment
B. Binding agreement C. A contract D. A license |
A. An appointment
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An insurance producer license can be renewed for an additional:
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A. 1 year term
B. 2 year term C. 3 year term D. 4 year term |
B. 2 year term
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