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Match the Term with Its Definition

Question 76

Matching

Match the term with its definition. Some terms may not be used.

Premises:

Responses:

Coverage primarily against employee dishonesty

Marketing defect

A defect resulting from a problem that occurs during the manufacturing process, causing the product to subsequently not be made according to specifications

Noneconomic damages

A defect resulting from a dangerous design, even though the product was made according to specifications

Punitive damages

A form of punishment beyond compensatory damages that intends to punish wrongdoers for gross negligence or callous disregard and to have a deterrent effect.

Workers' compensation legislation

A program that designates part of a firm's earnings to fund a portion of employee medical coverage

Manufacturing defect

A defect resulting from failure to convey to the user that hazards are associated with a product or to provide adequate instructions on safe product use

Crime insurance

Coverage designed to provide liability and physical damage protection for a vehicle

Coinsurance clause

Laws that obligate an employer to pay employees for injury or illness related to employment, regardless of fault

Partially self-funded program

A provision in a property insurance policy that requires the owner to have insurance for at least 80 percent of what it would cost to rebuild the building or replace the personal property

Design defect

Compensatory damages for such losses as pain and suffering, mental anguish, and loss of physical abilities

Automobile insurance

Proximate cause