Question 1

Personal liability insurance protects you from financial losses incurred if someone is injured on your property or as a result of your actions.

Accepted Answer

A) True 
 B)False

Question 2

An HO-3 policy is a special form of homeowner's insurance policy that offers open perils protection except for those perils specifically excluded.

Accepted Answer

A) True 
 B)False

Question 3

Alfred lost his 3 year old camera. It cost him $200 three years ago and had a life expectancy of 6 years. Alfred has actual cash value insurance on this camera which means his insurance company will issue him a check for ________ for his loss. A new camera costs $500.

Accepted Answer

A)  $100 
B)  $200 
C)  $500 
D)  none of the above 
A)  $100 
B)  $200 
C)  $500 
D)  none of the above

Question 4

Valerie was very angry at her soon to be exhusband and when she found his expensive sports car at his girlfriend's home she rammed into it with her pickup truck. Will her insurance policy cover the damage to her vehicle?

Accepted Answer

A)  Yes, she has full coverage. 
B)  No, one of the exclusions on her policy says it will not cover if the damage was intentional. 
A)  Yes, she has full coverage. 
B)  No, one of the exclusions on her policy says it will not cover if the damage was intentional.

Question 5

To make sure all of your personal property is paid for in the event of a loss, it is a good idea to make an inventory of all household contents. Tell what should be included.

Accepted Answer

To establish proof of ownership and the

Question 6

________ auto insurance pays for your losses and the losses suffered by your passengers, while the other driver's insurance would pay for his or her losses. This arrangement is made to keep insurance costs down, especially for settling claims.

Accepted Answer

A)  Comprehensive 
B)  No-fault 
C)  Your fault 
D)  PAP 
E)  PIP 
A)  Comprehensive 
B)  No-fault 
C)  Your fault 
D)  PAP 
E)  PIP

Question 7

To be properly reimbursed for the loss of personal property in your home, you should take a written inventory of household contents and a video tape of these contents. You should have a written description and an oral description that includes which of the following?

Accepted Answer

A)  date of purchase 
B)  the cost of each item 
C)  model number and brand name 
D)  serial number 
E)  all of the above 
A)  date of purchase 
B)  the cost of each item 
C)  model number and brand name 
D)  serial number 
E)  all of the above

Question 8

Antoine LaDuke suffered a major loss on his older home due to mud from a flood. Although he had homeowner's insurance, what was the probable reason he was not covered?

Accepted Answer

A)  His home was probably too expensive. 
B)  His policy excluded flood-related damages. 
C)  This is a personal liability issue. 
D)  Older homes are excluded from flood-related damages. 
A)  His home was probably too expensive. 
B)  His policy excluded flood-related damages. 
C)  This is a personal liability issue. 
D)  Older homes are excluded from flood-related damages.

Question 9

Uninsured motorist's protection coverage provides coverage for injuries caused by an uninsured motorist, a negligent driver whose insurance company is not solvent, or a hit-and-run driver.

Accepted Answer

A) True 
 B)False

Question 10

Since most homeowners' claims are for relatively small amounts, high deductibles will keep your insurance costs down.

Accepted Answer

A) True 
 B)False

Question 11

Wilber Robinson found out that his homeowner's coverage comes in handy when a neighbor steps on a garden rake and it flips up and causes a concussion. Josh did just that and spent two weeks in the hospital running up a $23,000 bill. Josh was covered under

Accepted Answer

A)  section II medical payments. 
B)  section II personal liability. 
C)  section I loss of use. 
D)  added liability insurance. 
E)  the 80 percent rule. 
A)  section II medical payments. 
B)  section II personal liability. 
C)  section I loss of use. 
D)  added liability insurance. 
E)  the 80 percent rule.

Question 12

A homeowner's personal inventory will help you maximize your insurance claims in case of loss.

Accepted Answer

A) True 
 B)False

Personal liability insurance protects you from financial losses incurred if someone is injured on your property or as a result of your actions.

An HO-3 policy is a special form of homeowner's insurance policy that offers open perils protection except for those perils specifically excluded.

Alfred lost his 3 year old camera. It cost him $200 three years ago and had a life expectancy of 6 years. Alfred has actual cash value insurance on this camera which means his insurance company will issue him a check for ________ for his loss. A new camera costs $500.

Valerie was very angry at her soon to be exhusband and when she found his expensive sports car at his girlfriend's home she rammed into it with her pickup truck. Will her insurance policy cover the damage to her vehicle?

To make sure all of your personal property is paid for in the event of a loss, it is a good idea to make an inventory of all household contents. Tell what should be included.

________ auto insurance pays for your losses and the losses suffered by your passengers, while the other driver's insurance would pay for his or her losses. This arrangement is made to keep insurance costs down, especially for settling claims.

To be properly reimbursed for the loss of personal property in your home, you should take a written inventory of household contents and a video tape of these contents. You should have a written description and an oral description that includes which of the following?

Antoine LaDuke suffered a major loss on his older home due to mud from a flood. Although he had homeowner's insurance, what was the probable reason he was not covered?

Uninsured motorist's protection coverage provides coverage for injuries caused by an uninsured motorist, a negligent driver whose insurance company is not solvent, or a hit-and-run driver.

Since most homeowners' claims are for relatively small amounts, high deductibles will keep your insurance costs down.

Wilber Robinson found out that his homeowner's coverage comes in handy when a neighbor steps on a garden rake and it flips up and causes a concussion. Josh did just that and spent two weeks in the hospital running up a $23,000 bill. Josh was covered under

A homeowner's personal inventory will help you maximize your insurance claims in case of loss.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Using Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Life and Health Insurance

Investment Basics

Securities Markets

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

Filters

Exam 10: Property and Liability Insurance

Personal liability insurance protects you from financial losses incurred if someone is injured on your property or as a result of your actions.

An HO-3 policy is a special form of homeowner's insurance policy that offers open perils protection except for those perils specifically excluded.

Alfred lost his 3 year old camera. It cost him $200 three years ago and had a life expectancy of 6 years. Alfred has actual cash value insurance on this camera which means his insurance company will issue him a check for ________ for his loss. A new camera costs $500.

Valerie was very angry at her soon to be exhusband and when she found his expensive sports car at his girlfriend's home she rammed into it with her pickup truck. Will her insurance policy cover the damage to her vehicle?

To make sure all of your personal property is paid for in the event of a loss, it is a good idea to make an inventory of all household contents. Tell what should be included.

________ auto insurance pays for your losses and the losses suffered by your passengers, while the other driver's insurance would pay for his or her losses. This arrangement is made to keep insurance costs down, especially for settling claims.

To be properly reimbursed for the loss of personal property in your home, you should take a written inventory of household contents and a video tape of these contents. You should have a written description and an oral description that includes which of the following?

Antoine LaDuke suffered a major loss on his older home due to mud from a flood. Although he had homeowner's insurance, what was the probable reason he was not covered?

Uninsured motorist's protection coverage provides coverage for injuries caused by an uninsured motorist, a negligent driver whose insurance company is not solvent, or a hit-and-run driver.

Since most homeowners' claims are for relatively small amounts, high deductibles will keep your insurance costs down.

Wilber Robinson found out that his homeowner's coverage comes in handy when a neighbor steps on a garden rake and it flips up and causes a concussion. Josh did just that and spent two weeks in the hospital running up a $23,000 bill. Josh was covered under

A homeowner's personal inventory will help you maximize your insurance claims in case of loss.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Using Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Life and Health Insurance

Investment Basics

Securities Markets

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

Filters