Question 1

Uninsured motorists protection usually provides protection to the insured's car if a hit-and-run incident occurs.

Accepted Answer

A) True 
 B)False

Question 2

It pays to comparison shop for insurance policies because of the:

Accepted Answer

A) subsidized deductible options. 
B) different educational qualifications of the captive agents. 
C) large variations in premiums and services. 
D) different legal liabilities of insurance agents. 
E) high cost of insurance. 
A) subsidized deductible options. 
B) different educational qualifications of the captive agents. 
C) large variations in premiums and services. 
D) different legal liabilities of insurance agents. 
E) high cost of insurance.

Question 3

Increasing the amount of the deductible is the only way to bring down the cost of homeowner's insurance.

Accepted Answer

A) True 
 B)False

Question 4

The best way to buy automobile insurance is through a(n):

Accepted Answer

A) insurance agent. 
B) state insurance commission. 
C) auto dealer. 
D) finance company. 
E) bank. 
A) insurance agent. 
B) state insurance commission. 
C) auto dealer. 
D) finance company. 
E) bank.

Question 5

Even though homeowners are eligible for reimbursement on a full replacement-cost basis if they keep their homes insured for at least 80% of the amount that it would cost to build them today, _____ can cause the actual amount of coverage to fall below 80%.

Accepted Answer

A) the replacement cost 
B) inflation 
C) the insurance premium 
D) deductibles 
E) the land value 
A) the replacement cost 
B) inflation 
C) the insurance premium 
D) deductibles 
E) the land value

Question 6

Which of the following homeowner's policies provides coverage for damage caused by electrical current?

Accepted Answer

A) HO-7 
B) HO-2 
C) HO-8 
D) HO-9 
E) HO-1 
A) HO-7 
B) HO-2 
C) HO-8 
D) HO-9 
E) HO-1

Question 7

A $300,000\$500,000 bodily injury liability automobile policy could pay _____ to all injured victims in one accident.

Accepted Answer

A) up to a total of $300,000 
B) up to a total of $200,000 
C) up to a total of $500,000 
D) up to a total of $800,000 
E) an unlimited award 
A) up to a total of $300,000 
B) up to a total of $200,000 
C) up to a total of $500,000 
D) up to a total of $800,000 
E) an unlimited award

Question 8

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

Accepted Answer

A) HO-2 
B) HO-3 
C) HO-4 
D) HO-6 
E) HO-1 
A) HO-2 
B) HO-3 
C) HO-4 
D) HO-6 
E) HO-1

Question 9

To purchase a personal liability umbrella policy, the insured party must already have:

Accepted Answer

A) federally subsidized flood insurance coverage. 
B) relatively high liability limits on their homeowner's and auto coverage. 
C) high levels of personal debt. 
D) made several claims with the insurance company. 
E) a poor driving record. 
A) federally subsidized flood insurance coverage. 
B) relatively high liability limits on their homeowner's and auto coverage. 
C) high levels of personal debt. 
D) made several claims with the insurance company. 
E) a poor driving record.

Question 10

Which of the following homeowner's policies provides coverage for the damage caused by the accidental discharge of water or steam?

Accepted Answer

A) HO-7 
B) HO-2 
C) HO-8 
D) HO-9 
E) HO-1 
A) HO-7 
B) HO-2 
C) HO-8 
D) HO-9 
E) HO-1

Question 11

A homeowner's policy does not provide protection for:

Accepted Answer

A) the personal property of family members at home. 
B) the personal property of family members who are in college. 
C) a business unit's property valued below $2,500 while it is on the insured premises. 
D) the personal property of tenants. 
E) the personal property of family members who are traveling. 
A) the personal property of family members at home. 
B) the personal property of family members who are in college. 
C) a business unit's property valued below $2,500 while it is on the insured premises. 
D) the personal property of tenants. 
E) the personal property of family members who are traveling.

Question 12

Which of the following is a basic, seldom-used homeowner's policy with very narrow coverage?

Accepted Answer

A) HO-1 
B) HO-2 
C) HO-3 
D) HO-4 
E) HO-6 
A) HO-1 
B) HO-2 
C) HO-3 
D) HO-4 
E) HO-6

Question 13

Part A liability coverage under a personal automobile policy may be viewed as "following":

Accepted Answer

A) the insured. 
B) the family members of the insured. 
C) the holder of an auto loan. 
D) the vehicle. 
E) anyone involved in the accident. 
A) the insured. 
B) the family members of the insured. 
C) the holder of an auto loan. 
D) the vehicle. 
E) anyone involved in the accident.

Question 14

Standard homeowner's policies will not include coverage for damage done by:

Accepted Answer

A) fire. 
B) flood. 
C) lightning. 
D) wind. 
E) glass breakage. 
A) fire. 
B) flood. 
C) lightning. 
D) wind. 
E) glass breakage.

Question 15

A personal property floater and a personal liability umbrella policy offer similar coverage.

Accepted Answer

A) True 
 B)False

Question 16

Auto insurance is needed primarily:

Accepted Answer

A) to finance automobile maintenance. 
B) as protection against the cost of significant loss. 
C) as a part of the homeowner's insurance requirements. 
D) to counter the effects of increasing fuel prices. 
E) to satisfy federal requirements for a lawful citizenship. 
A) to finance automobile maintenance. 
B) as protection against the cost of significant loss. 
C) as a part of the homeowner's insurance requirements. 
D) to counter the effects of increasing fuel prices. 
E) to satisfy federal requirements for a lawful citizenship.

Question 17

A liability suit could result against you if:

Accepted Answer

A) lightning strikes your home. 
B) your son falls down the stairs of your home. 
C) your automobile is stolen. 
D) your dog bites your neighbor. 
E) smoke from the fireplace fills your house. 
A) lightning strikes your home. 
B) your son falls down the stairs of your home. 
C) your automobile is stolen. 
D) your dog bites your neighbor. 
E) smoke from the fireplace fills your house.

Question 18

Comprehensive automobile coverage refers to:

Accepted Answer

A) complete coverage including liability, medical payments, and damage to the automobile. 
B) coverage for damage to an insured automobile from perils (with a few exceptions)other than collision. 
C) coverage that adds items of personal property, such as CB radios and telephones, that are ordinarily excluded. 
D) coverage for bodily injuries suffered in an automobile accident. 
E) coverage for damage due to a multi-car collision. 
A) complete coverage including liability, medical payments, and damage to the automobile. 
B) coverage for damage to an insured automobile from perils (with a few exceptions)other than collision. 
C) coverage that adds items of personal property, such as CB radios and telephones, that are ordinarily excluded. 
D) coverage for bodily injuries suffered in an automobile accident. 
E) coverage for damage due to a multi-car collision.

Question 19

Homeowner's co-insurance requires the insured to carry insurance protection equal to the market value of the house.

Accepted Answer

A) True 
 B)False

Question 20

An insurance company assigns more complex loss cases to a:

Accepted Answer

A) captive insurance agent. 
B) claims adjustor. 
C) Chartered Property and Casualty Underwriter. 
D) Certified Insurance Counselor. 
E) court investigator. 
A) captive insurance agent. 
B) claims adjustor. 
C) Chartered Property and Casualty Underwriter. 
D) Certified Insurance Counselor. 
E) court investigator.

Uninsured motorists protection usually provides protection to the insured's car if a hit-and-run incident occurs.

It pays to comparison shop for insurance policies because of the:

Increasing the amount of the deductible is the only way to bring down the cost of homeowner's insurance.

The best way to buy automobile insurance is through a(n):

Even though homeowners are eligible for reimbursement on a full replacement-cost basis if they keep their homes insured for at least 80% of the amount that it would cost to build them today, _____ can cause the actual amount of coverage to fall below 80%.

Which of the following homeowner's policies provides coverage for damage caused by electrical current?

A $300,000\$500,000 bodily injury liability automobile policy could pay _____ to all injured victims in one accident.

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

To purchase a personal liability umbrella policy, the insured party must already have:

Which of the following homeowner's policies provides coverage for the damage caused by the accidental discharge of water or steam?

A homeowner's policy does not provide protection for:

Which of the following is a basic, seldom-used homeowner's policy with very narrow coverage?

Part A liability coverage under a personal automobile policy may be viewed as "following":

Standard homeowner's policies will not include coverage for damage done by:

A personal property floater and a personal liability umbrella policy offer similar coverage.

Auto insurance is needed primarily:

A liability suit could result against you if:

Comprehensive automobile coverage refers to:

Homeowner's co-insurance requires the insured to carry insurance protection equal to the market value of the house.

An insurance company assigns more complex loss cases to a:

Understanding the Financial 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, Etfs, and Real Estate

Planning for Retirement

Preserving Your Estate

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Exam 10: Protecting Your Property

Uninsured motorists protection usually provides protection to the insured's car if a hit-and-run incident occurs.

It pays to comparison shop for insurance policies because of the:

Increasing the amount of the deductible is the only way to bring down the cost of homeowner's insurance.

The best way to buy automobile insurance is through a(n):

Even though homeowners are eligible for reimbursement on a full replacement-cost basis if they keep their homes insured for at least 80% of the amount that it would cost to build them today, _____ can cause the actual amount of coverage to fall below 80%.

Which of the following homeowner's policies provides coverage for damage caused by electrical current?

A $300,000\$500,000 bodily injury liability automobile policy could pay _____ to all injured victims in one accident.

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

To purchase a personal liability umbrella policy, the insured party must already have:

Which of the following homeowner's policies provides coverage for the damage caused by the accidental discharge of water or steam?

A homeowner's policy does not provide protection for:

Which of the following is a basic, seldom-used homeowner's policy with very narrow coverage?

Part A liability coverage under a personal automobile policy may be viewed as "following":

Standard homeowner's policies will not include coverage for damage done by:

A personal property floater and a personal liability umbrella policy offer similar coverage.

Auto insurance is needed primarily:

A liability suit could result against you if:

Comprehensive automobile coverage refers to:

Homeowner's co-insurance requires the insured to carry insurance protection equal to the market value of the house.

An insurance company assigns more complex loss cases to a:

Understanding the Financial 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, Etfs, and Real Estate

Planning for Retirement

Preserving Your Estate

Filters