Ohio Property and Casualty Practice Exam

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• Which of the following best describes Coverage A in dwelling policies?
• What is the term for the causes of loss insured against in an insurance policy?
• What types of businesses typically qualify for coverage under a businessowners policy?
• Which of the following is NOT a characteristic of a unilateral contract?
• What is meant by actual cash value in property insurance?
• What would be considered a newly acquired auto?
• What type of perils are covered by the advertising injury form?
• Under the HO-8 form, when is theft of guests' property covered?
• What type of loss occurs when a business is damaged by a fire and suffers loss of income?
• What are producers required to do in order to renew their license?
• How is the premium paid for a businessowners policy?
• If three volcanic eruptions occur within 48 hours causing property damage, how many deductibles will apply under a dwelling policy?
• What determines an insurer's payment responsibility as stated in the policy?
• Which of the three DP forms provides the most limited coverage?
• A businessowners policy is mostly similar to what other insurance form?
• What are the two parts of Garage Liability Coverage?
• In property insurance, what is a major determinant of actual cash value?
• What occurs when a policy is canceled by one party before the expiration date?
• Which dwelling form offers open peril coverage on the building?
• What determines an insurer’s responsibility for payment in an insurance policy?
• When must insurable interest exist in property insurance?
• What are the three types of hazards?
• What Homeowners policy form is known as a special form?
• What is required for a contract to be legally enforceable?
• What is the main purpose of an insurance contract's warranty?
• What are the four elements of an insurance contract?
• What is typically excluded from coverage in dwelling policies?
• In which situation would an insured be unable to claim under their auto insurance?
• Which Homeowners policy form can provide coverage for a unit owner in a planned development?
• What type of professional liability coverage is necessary for medical doctors?
• What types of expenses are covered under Coverage C - Medical Payments in the CGL policy?
• Which of the following best defines 'interline endorsements'?
• What type of authority is based on the agent's actions or words?
• When can the commissioner or director examine insurers?
• What type of limits of liability specifies separate limits for different coverages?
• Which of the following is typically covered under the personal property section of a dwelling policy?
• What defines the occurrence form trigger in liability insurance?
• Wagering on a sporting event is known as what type of risk?
• What does consideration refer to in an insurance contract?
• When is a misrepresentation on an insurance application considered fraud?
• Which of the following is NOT a type of hazard?
• In terms of insurance claims, what is the purpose of underwriting?
• The businessowners policy liability coverage will pay for necessary medical expenses of others incurred within what maximum time period?
• What are the most common penalties for violations of insurance statutes?
• What type of loss results from a direct loss?
• Who typically pays the deductible in a liability insurance policy?
• Which type of limits of liability specifies limits separately for different coverages?
• Who is considered insured under Part A: Liability of a personal auto policy?
• What is the limit of theft coverage on an HO-8 form policy?
• Which of the following best describes the term 'aggregate limit' in insurance policies?
• If an insured peril was the proximate cause of a loss, what type of loss is it considered?
• How does cancellation differ from nonrenewal of an insurance policy?
• Which peril is generally not included in basic dwelling policies?
• What is the process used by insurers to determine policy terms and conditions?
• What is the primary factor that influences the underwriting process?
• When must insurable interest exist in property insurance?
• Which practice involves giving something of value to clients to entice them into purchasing insurance?
• If an insurer holds a Certificate of Authority, it is referred to as what type of insurer?
• In a personal auto policy, who does the term "you" refer to?
• What coverages are provided by a business liability coverage form?
• How long must a dwelling be vacant for losses caused by vandalism and malicious mischief to be excluded from coverage?
• Which dwelling form is commonly referred to as the Broad form?
• Which Homeowners coverage is considered the most limited?
• Which coverage is required in a crime policy for protection against money theft from a messenger?
• How are insurers classified according to their domicile?
• What do numerical symbols represent in auto policies?
• What type of liability insurance includes coverage for agents and brokers’ errors and omissions?
• What is the primary purpose of workers compensation insurance?
• Who is the party that issues the surety bond?
• When does acceptance usually occur in insurance contracts?
• What is the minimum amount of additional coverage that umbrella policies provide?
• Which dwelling coverage forms are designed to pay for the replacement cost of a dwelling?
• If an auto policy has liability limits of 40/60/20, what is the equivalent combined single limit?
• What is meant by "mysterious disappearance" in insurance terms?
• What is it called when individuals in the same risk and age class are charged different rates?
• How are direct losses related to indirect losses?
• What is the minimum percentage of replacement cost that a dwelling must be insured for in forms HO-2, HO-3, and HO-5?
• What does the term unilateral contract mean?
• What is the term for the deductible in liability umbrella policies?
• What is the difference between cancellation and nonrenewal of an insurance policy?
• Under Coverage C of an HO-3 Policy, what is the amount of insurance provided for personal property?
• What can trigger a claim under the comprehensive coverage of an auto policy?
• What type of insurance is designed to cover risks that are typically not insurable in the standard marketplace?
• What is the primary purpose of a Personal Auto Policy?
• Coverage for medical payments under a Personal Auto Policy applies to expenses incurred within what time period after an accident?
• What type of loss is considered direct if an insured peril was the proximate cause?
• What losses are excluded from coverage in the liability section of the Personal Auto Policy?
• What is the main purpose of a claims-made form in insurance?
• What do residual markets consist of?
• Who must be notified when a producer changes their address?
• Which Homeowners form is intended for tenants living in an apartment?
• What types of losses are indicated by the split limit in an auto insurance policy?
• Where can National Flood Insurance be issued?
• What is the purpose of Coverage D - Loss of Use in dwelling policies?
• What coverage forms are used in commercial auto insurance?
• If an insured is injured while driving their own vehicle, which coverage will apply from their personal auto policy?
• Under what circumstances may an appraisal be requested in an insurance claim?
• If an auto policy has split limits of 30/50/25, how much will the policy pay for property damage in a single accident?
• An insured with a Homeowners policy has removed property from the insured location to protect it from loss due to a covered peril. The removal coverage applies for how many days?
• Which sublimit in a liability policy defines a cap on payments for all claims from a single accident?
• What type of coverage do umbrella policies provide?
• What type of injury does coverage A in a CGL specifically protect against?
• At what point does an insurer have the obligation to pay for a loss?
• Which scenario would typically not fall under the "inside the premises" coverage in a crime policy?
• Which coverages are available in the physical damage section of the personal auto policy?
• What type of auto coverage will apply in a hit-and-run accident where the driver cannot be identified?
• What type of coverage under the dwelling policy would cover the cost of renting an apartment if the insured's house becomes uninhabitable?
• What are the two liability coverages included in Homeowners policy forms?
• What is a warranty in an insurance contract?
• What is meant by the term "hazard" in insurance?
• Who is considered a nonresident agent?
• What are non-admitted insurers permitted to do in a state?
• Who is allowed to share in the commission from the sale of an insurance policy?
• Which entity is least likely to be covered under a general liability policy?
• Who represents the principal according to the Law of Agency?
• Which policy form offers the broadest coverage for a dwelling?
• What is the actual cash value in property insurance?
• What are the three types of agent authority?
• What percentage of the replacement cost must the insurance on a dwelling be in order for replacement cost coverage to be provided?
• What is defined as a covered auto in an auto policy?
• What HO form covers a historic home with replacement cost more than the market value?
• To whom may a certificate of authority be issued?
• How is the coverage usually written for HO-8 forms?
• How does the Auto Medical Payments Coverage endorsement modify the auto policy?
• What is the role of endorsements in a Commercial Policy?
• What are the two coverage triggers in Commercial Crime policies?
• Which of the following is NOT typically considered a peril in insurance?
• What coverage is provided in the liability section of the business auto coverage form?
• What coverage does Coverage B in a Homeowners policy typically provide?
• What is meant by "indemnity" in insurance?
• Who purchases a surety bond and promises to fulfill the obligation?
• Which of the following is an exclusion found in all three dwelling forms?
• A policy that covers all causes of loss except for those specifically excluded is known as what type of policy?
• Who does the Garage Coverage form insure?
• Which coverage pays the fair rental value of the property if it becomes uninhabitable?
• In dwelling policies, how is volcanic activity treated regarding occurrences?
• What does the term "reasonable expectations" refer to in insurance?
• The explosion of a gas stove in a dwelling is an example of which named peril?
• Which method of managing risk involves avoiding exposure altogether?
• What are the five coverages included in dwelling policies?
• If an auto policy has split limits of 30/50/25, what is the maximum amount the policy will pay for injuries to one person in a single accident?
• How does the medical payments coverage function in a personal auto policy?
• What process do insurers use to evaluate policy terms and conditions?
• What type of policy is a businessowners policy?
• When an agent acts on behalf of the insurer, what is the agent referred to as?
• What type of loss would Comprehensive coverage cover?
• What relationship exists between cancellation and policy expiration?
• When can insurance be sold through a surplus lines insurer?
• Insurance on a producer's own life or their immediate family is known as?
• What type of losses are covered by Coverage D in dwelling policies?
• Which types of businesses are typically excluded from coverage under a businessowners policy?
• Which form of agent authority does not require express permission from the insurer?
• Which of the following is considered an extended covered peril on a basic dwelling policy?
• A situation in which a person can experience only a loss and no gain presents what type of risk?
• Which type of coverage is most likely required by lenders for financed vehicles?
• What is the name for policy endorsements that may apply to more than one coverage part?
• Which of the following is a reason for insurance contracts being considered aleatory?
• What does the term "open-peril form" in DP-3 (Special) signify?
• Which Homeowners policy form is specifically designed for condominium unit owners?
• What does coverage A of the Commercial General Liability (CGL) form provide coverage for?
• Which statement best describes collision coverage?
• What is the purpose of interline endorsements in Commercial Package Policies?
• How does Coverage C - Personal Property operate under dwelling policies?
• Which major coverage includes Protection for the structural component of a home?
• Who is responsible for the costs associated with the examination of insurers?
• When is controlled business legal?
• What types of entities can be insured under a general liability policy?
• What type of policy consists of the declarations, conditions, endorsements, and other attachments applicable to a single line of insurance?
• How are direct and indirect losses related?
• What determines the payout amount under Coverage D in Homeowners policies?
• What type of license represents the insurance company?
• What type of insurance should a person or business purchase to cover all liability exposures?
• How do monopolistic state funds differ from competitive markets in terms of workers compensation insurance?
• A tornado that causes destruction to a property is an example of what?
• What type of insurer is formed under the laws of another state?
• What is the purpose of a second injury fund in workers compensation?
• What term describes the exchange of unequal values between parties in insurance contracts?
• What distinguishes a special form policy from other dwelling policies?
• What does the HO-3 Homeowners form primarily cover?
• When other insurance is written on the same basis as a Commercial Property policy, what is the insurer obligated to cover?
• How much will a physical damage policy reimburse for transportation expenses due to theft of a covered auto?
• What is the date stipulated on the declaration page of a claims-made liability form as the earliest date which an incident may occur and be covered by the policy?
• What is a common coverage limit threshold for Coverage B in dwelling policies?
• When does Uninsured Motorist coverage apply?
• Conditions that increase the chance of loss are known as what?
• What are the four types of benefits provided by workers compensation insurance?
• How are dwelling and other structures protected under an HO-3 policy?
• What Personal Auto Coverage pays for travel expenses and loss of earnings while involved in the settlement process of a covered loss?
• What is the sublimit in a liability policy that limits payment for claims from a single accident?
• Which dwelling policy coverage provides protection for contents damaged by fire?
• What does the term "indemnify" mean in the context of insurance?
• What is the limit of liability in part D: Coverage for damage to your auto?
• Which of the following is excluded from coverage in all Homeowners forms?
• What do dwelling policies primarily insure?
• A businessowners policy is sold as a package. What does that mean?
• What does Professional Liability coverage protect the insured against?
• What is the broadest coverage in the Commercial Crime form?
• What act does a producer commit when they inaccurately portray a policy's benefits?
• What does a liability umbrella policy provide over and above?
• Who can generally be excluded from producer licensing and examination requirements?
• In insurance contracts, when is the offer usually made?
• What is the limit that the insurer will pay for all losses that occur during a policy period?
• Which coverage in dwelling policies insures an unattached garage?
• What is a policy that covers all causes of loss except those specifically excluded?
• Underinsured Motorist (UIM) coverage pays the difference between which two limits?
• Who is an Insurance agent?
• In liability insurance policies, how are supplementary payments provided?
• What provision states that if a policy allows for greater benefits than the financial loss incurred, the insured may be compensated only for the amount lost?
• What is liability coverage primarily designed to protect against?
• What typically triggers the start of coverage under a dwelling policy?
• What type of risk involves both the possibility of loss and profit?
• What type of liability policy covers all claims from incidents that occurred during the policy period, irrespective of policy status?
• Which of the following is an example of Professional Liability insurance?
• Which type of misrepresentation persuades an insured to switch policies?
• What is a key feature of an open peril insurance policy?
• What personal Auto coverage would pay for damages to a covered auto caused by a collision with a deer?
• What factor is influential in establishing the limits of liability in an insurance policy?
• What type of liability coverage limits are presented as a total for multiple coverages?
• When is a guest's property covered under Coverage C - Personal Property in a dwelling policy?
• Which of the following is NOT covered under the liability section of the Personal Auto Policy?
• What are the four categories of uninsured motor vehicles?
• What is another name for the HO-4 policy?
• When may an insured need to file a claim for damages in dwelling policies?
• A basic dwelling policy automatically provides coverage against which of the following?
• Which type of insurer is formed under the laws of another state?
• Which of the following is NOT typically covered under Coverage A of a CGL policy?
• What is included in the coverage territory in businessowners policies?
• If an insurer meets the state's financial requirements and is approved to transact business in the state, what type is it considered?
• What type of coverage is included in Homeowners policies, but is not available in dwelling policies?
• What is the illegal practice called when a producer makes maliciously critical statements about another insurer?
• If an insured's business is damaged by fire and shut down for repairs, how is the loss of income categorized?
• Why does the HO-4 form not provide dwelling coverage?
• Which components are included in a standard Commercial Policy?
• What three types of Liability coverages are included in the Commercial General Liability (CGL) Coverage Form?
• A vehicle rented from a commercial rental company is classified as what type of auto?
• What type of coverage is included in Section II of Homeowners insurance?
• What is the primary responsibility of the Commissioner when examining insurers?
• What is the primary function of surety bonds?
• How does a 'loss sustained form' operate in Commercial Crime policies?
• What is the primary purpose of Coverage A in a Homeowners policy?
• What is the purpose of a cease and desist order?
• What is the minimum coverage limit for bodily injury per person in order to avoid being categorized as uninsured?
• What parties are involved in a surety bond?
• What does employer's liability insurance primarily protect against?
• Which type of coverage is primarily for protection against advertising injury?
• In dwelling policies, what does 'actual cash value' refer to?
• When can an insured cancel a businessowners policy?
• What is an example of a commercial general liability coverage?
• Within how many years can an insured bring a lawsuit against the insurer after a loss?
• In a commercial crime policy, what does employee theft coverage protect against?
• What is the purpose of the National Flood Insurance Program?
• Who is authorized to cancel a commercial package policy in writing and make changes with the insurer's consent?
• How many owner-occupied residences per covered home are allowed by Homeowners policies?
• Under what condition can broad theft coverage be added to a dwelling policy?
• When does underinsured motorist coverage apply?
• In general, what types of properties do Homeowners policies cover?
• What does form HO-5 cover in terms of property?
• What does the term “consideration” refer to in an insurance contract?
• What is consideration on the part of the insurer in an insurance contract?
• Under which condition is interior damage covered by the falling objects peril in the broad form of the dwelling policy?
• In Homeowners policies, which coverage protects against an indirect or consequential loss?
• What are some additional coverages available in Homeowners policies without additional premiums?
• What does it mean when insurance contracts are described as aleatory in nature?
• What document is required for an insurance company to transact business?
• What are the available coverage forms in Homeowners policies?
• Insurers are classified according to their domicile. What are the three types of insurers?
• If an agent offers clients free tickets to a sporting event in exchange for purchasing an insurance policy, what is the agent guilty of?
• What term describes an insurance company that operates under the laws of the same state where it is incorporated?
• What are the two main components of workers compensation insurance?
• What illegal act is committed when a company falsely claims possession of funds for claims payments?
• When is a misrepresentation on an insurance application considered fraud?
• What is the purpose of the automatic increase in insurance endorsement in dwelling policies?
• Which of the following best describes the role of an agent in an insurance context?
• What does the term "exclusive remedy" refer to in workers compensation?
• What are the three types of coverage available in dwelling policies?
• What geographical region is covered under the out-of-state coverage in a Personal Auto Policy?
• What constitutes controlled business?
• What are the coverage parts that may be included in a Commercial Package Policy?
• Which coverage under a dwelling policy would not apply to an insured using the property for commercial activities?
• In Homeowners insurance, which coverage is responsible for loss of use of the property?
• What does the term "domestic insurer" refer to?
• If an insurer holds a Certificate of Authority, what type of insurer is it?
• Which Homeowners form is best suited for situations where replacement cost coverage is impractical?
• For how long does personal property coverage apply at both the old and new locations during a move?
• If the commissioner finds a licensee engaging in an unfair method of competition or an unfair practice, what order will be issued?
• What document is required for an insurance company to transact insurance?