Question 1

All property insurance companies require you to show the following when making a claim:

Accepted Answer

A)  Proof of loss 
B)  Personal property inventory 
C)  Values at the time of inventory 
D)  All of the above. 
A)  Proof of loss 
B)  Personal property inventory 
C)  Values at the time of inventory 
D)  All of the above.

Question 2

The advisable dollar limit for any one auto accident is

Accepted Answer

A)  $50,000 
B)  $100,000 
C)  $200,000 
D)  $300,000 
E)  $500,000 
A)  $50,000 
B)  $100,000 
C)  $200,000 
D)  $300,000 
E)  $500,000

Question 3

George and Nancy had a $30,000 repair bill on their home after the tornado went through town.Their policy contained the usual 80% co-insurance clause.Their home's replacement value was $150,000; their policy coverage was $110,000 with a $250 deductible.a.How much insurance should they have carried to meet the coinsurance obligation?b.What percentage of this loss will the insurance company pay?c.How much of the loss will George and Nancy have to absorb?

Accepted Answer

a. Required coverage .80 *$150

Question 4

Collision coverage would pay for damages to your car if a tree falls on it.

Accepted Answer

A) True 
 B)False

Question 5

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

Accepted Answer

A) True 
 B)False

Question 6

Auto insurance premiums would be affected by

Accepted Answer

A)  auto body type. 
B)  auto engine size. 
C)  business usage. 
D)  commuting over 50 miles daily. 
E)  all of these. 
A)  auto body type. 
B)  auto engine size. 
C)  business usage. 
D)  commuting over 50 miles daily. 
E)  all of these.

Question 7

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Automobile medical insurance is designed to pay for injuries to the [driver of your car | members in the car you hit].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 8

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-A mobile home is [less | more] likely to suffer a complete loss than a conventional house.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 9

While you were away on your summer vacation,raccoons took up residence in your attic.They did $5,000 damage.Your H0-2 policy will cover this loss.

Accepted Answer

A) True 
 B)False

Question 10

Liability claims may result from alleged negligent acts.

Accepted Answer

A) True 
 B)False

Question 11

Internal limits are normally specified in the homeowners' insurance contract for some categories of personal property.

Accepted Answer

A) True 
 B)False

Question 12

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Section I of a homeowner's insurance policy covers [personal property | medical payments | dwelling].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 13

Automobile liability claims could potentially be more costly to you than car damage claims.

Accepted Answer

A) True 
 B)False

Question 14

Uninsured motorist protection usually provides protection to your car if a hit-and-run incident occurs.

Accepted Answer

A) True 
 B)False

Question 15

The HO-3 form is a good policy for first-time buyer owners because it is a named perils policy.

Accepted Answer

A) True 
 B)False

Question 16

You will insure your house for $90,000.The premium on an HO-3 policy will be greater than that of an HO-2 policy.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following events would probably increase your auto premiums?

Accepted Answer

A)  Your 25th birthday 
B)  You get married 
C)  Trading in your 1999 Mercedes for a 2000 Ford Escort 
D)  Increasing your collision deductible 
E)  None of the above would increase your premium 
A)  Your 25th birthday 
B)  You get married 
C)  Trading in your 1999 Mercedes for a 2000 Ford Escort 
D)  Increasing your collision deductible 
E)  None of the above would increase your premium

Question 18

The Thomson's house burned to the ground! They felt they were adequately covered (see coverage below).Their car (market value $10,000)was in the garage and totally destroyed.How much will they be reimbursed for their auto from their HO-3 policy?

Accepted Answer

A)  $ 0 
B)  $9,700 
C)  $6,000 
D)  $5,700 
E)  $8,000 
A)  $ 0 
B)  $9,700 
C)  $6,000 
D)  $5,700 
E)  $8,000

Question 19

One should never admit fault at the scene of an accident.

Accepted Answer

A) True 
 B)False

Question 20

The personal liability umbrella policy typically includes coverage for liability losses that are in excess of the limits purchased in the comprehensive personal liability coverage provided in the homeowners' policy.

Accepted Answer

A) True 
 B)False

All property insurance companies require you to show the following when making a claim:

The advisable dollar limit for any one auto accident is

Collision coverage would pay for damages to your car if a tree falls on it.

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

Auto insurance premiums would be affected by

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Automobile medical insurance is designed to pay for injuries to the [driver of your car | members in the car you hit].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -A mobile home is [less | more] likely to suffer a complete loss than a conventional house.

While you were away on your summer vacation,raccoons took up residence in your attic.They did $5,000 damage.Your H0-2 policy will cover this loss.

Liability claims may result from alleged negligent acts.

Internal limits are normally specified in the homeowners' insurance contract for some categories of personal property.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Section I of a homeowner's insurance policy covers [personal property | medical payments | dwelling].

Automobile liability claims could potentially be more costly to you than car damage claims.

Uninsured motorist protection usually provides protection to your car if a hit-and-run incident occurs.

The HO-3 form is a good policy for first-time buyer owners because it is a named perils policy.

You will insure your house for $90,000.The premium on an HO-3 policy will be greater than that of an HO-2 policy.

Which of the following events would probably increase your auto premiums?

The Thomson's house burned to the ground! They felt they were adequately covered (see coverage below).Their car (market value $10,000)was in the garage and totally destroyed.How much will they be reimbursed for their auto from their HO-3 policy?

One should never admit fault at the scene of an accident.

The personal liability umbrella policy typically includes coverage for liability losses that are in excess of the limits purchased in the comprehensive personal liability coverage provided in the homeowners' policy.

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

All property insurance companies require you to show the following when making a claim:

The advisable dollar limit for any one auto accident is

Collision coverage would pay for damages to your car if a tree falls on it.

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

Auto insurance premiums would be affected by

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Automobile medical insurance is designed to pay for injuries to the [driver of your car | members in the car you hit].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -A mobile home is [less | more] likely to suffer a complete loss than a conventional house.

While you were away on your summer vacation,raccoons took up residence in your attic.They did $5,000 damage.Your H0-2 policy will cover this loss.

Liability claims may result from alleged negligent acts.

Internal limits are normally specified in the homeowners' insurance contract for some categories of personal property.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Section I of a homeowner's insurance policy covers [personal property | medical payments | dwelling].

Automobile liability claims could potentially be more costly to you than car damage claims.

Uninsured motorist protection usually provides protection to your car if a hit-and-run incident occurs.

The HO-3 form is a good policy for first-time buyer owners because it is a named perils policy.

You will insure your house for $90,000.The premium on an HO-3 policy will be greater than that of an HO-2 policy.

Which of the following events would probably increase your auto premiums?

The Thomson's house burned to the ground! They felt they were adequately covered (see coverage below).Their car (market value $10,000)was in the garage and totally destroyed.How much will they be reimbursed for their auto from their HO-3 policy?

One should never admit fault at the scene of an accident.

The personal liability umbrella policy typically includes coverage for liability losses that are in excess of the limits purchased in the comprehensive personal liability coverage provided in the homeowners' policy.

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