Basics of Insurance

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A monoline policy:

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A risk is:

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A pure risk involves a chance of:

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A risk management technique that eliminates a loss exposure and reduces the chance of loss to zero is:

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When suffering is a covered loss, an insured individual should do which of the following?

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How many days does an insurer hve to return unearned premiums to an insured?

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The amount to replace property with like property of the same quality and construction is the:

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What is actual cash value (ACV)?

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If an individual or a family suffers a loss due to death or disability of a member, what type of loss is it?

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Insurance has a number of characteristics. Which of the following is not one of them?

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Which of the following is an example of loss retention?

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If it is proven that another person's negligence contributed to an injury, what gives the injured party the right to seek compensation?

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Which of the following statements is true regarding compensatory damages?

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Liability losses are referred to as:

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In an insurance contract, D. I. C. E. refers to:

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An insured purchased new furniture for $6,000. At the time of a fire loss, it had depreciated $2,000. At current rates, the same furniture will cost $7,000 to replace. The actual cash value of the destroyed furniture is:

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When an insurer cancels a policy and only retains earned premium, this is:

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An insurers loss reserve for a claim is:

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What is the process called whereby insurers decide which customers to insure and what coverage to offer?

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A reduction in the value of property that results immediately from damage to the property is known as:

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The process whereby an insured suffers a loss and is paid to return him to his prior financial condition is:

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What is a hazard?

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A policy may not be transferred to another without:

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Which of the following is a true statement about insurance?

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Grouping people by similar characteristics is:

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A peril is defined as:

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The main purpose of insurance is to:

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The insured should be compensated for his loss, returning him to the condition that existed prior to the loss. The is the principle of indemnity. Which of the following is correct?

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Which of the following is an example of loss retention?

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Which of the following is an example of reducing risk probability?

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Which of the following is not a benefit of insurances?

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A house located next to a dynamite plant is considered what kind of hazard?

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Where is a policy personalized to say who is covered, what is covered, limit of insurance, and policy period?

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An insured suffers a loss caused by a third party. How will the insured's insurance company handle the claim?

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The insurer's right to recover its claim payment to an insured from a negligent third party is known as:

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If an insured voluntarily relinquishes his rights, this is an example of:

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The amount to replace property with like property of the same quality and construction is the:

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When an insurance policy is cancelled by the insured, and the company retains premium for the protection provided plus expenses, cancellation is said to be on a:

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An insurer cancels a policy and returns the entire premium. This is:

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How many days does an agent have to return unearned premium to an insured?

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How many days does an insurance company have to give unearned premium back to an agent?

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Insurers may purchase reinsurance for a variety of reasons. Which of the following is not a good example of the use of reinsurance? Insurer purchases reinsurance:

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Which insurance company is owned and formed for the benefit of its members?

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What effect does increasing a deductible have on a policy?

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The method in which insurance companies receive approval from the DOI before using certain rates:

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Which of the following is not a method for risk management?

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The system in which insurers determine who to insure and that rates to charge is known as

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Insurance companies transfer part of a particularly large risk through what process:

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Insurance contracts are between how many parties?

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The total amount an insurance company is liable to pay out is:

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A speculative risk, like a pure risk, is insurable:

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To qualify as an insurable risk:

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Aleatory in nature refers to:

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Because insurance is a contract of adhesion, ambiguous language in a contract will show which party at fault:

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Failure to disclose material fact is:

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Misrepresentation, deceit, or trickery can be defined as:

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Provisions that deny coverage for certain perils:

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The insuring agreement contains all of the following except:

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Assignment/transfer cannot be made without written consent from:

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A deductible is the portion of a loss retained by the insured before the insurer will cover a claim.

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To what does lapse refer?

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Insureds must comply with certain provisions when submitting a claim. These include:

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Coinsurance refers to the amount of insurance an insured must carry in order to be fully insured

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What is unoccupied?

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Which of the following must be on ALL insurance policies?

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To what does insurable interest mean?

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A term that refers to a situation in which two or more perils cause a loss

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A consequential loss is not directly caused by a peril but assumed as a result of a direct loss

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In order for negligence to exist, which of the following must be present?

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Compensatory damages in a hearing will generally determine the amount of punitive damages

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An event that results in a loss to an insured at a definite time and place or due to repeated exposure can be defined as

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Through what kind of liability can a person be held responsible for the actions of others. IE: negligent acts of a child or employee

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An insurer organized in a state outside the state of California can be referred to as what kind of insurer?

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What department is set up in order to regulate insurance rates?

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A person that solicits, negotiates and effects contracts on behalf of an insurer is a:

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A person that sells insurance for only one company is:

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A fiduciary must hold funds and property in a position of trust. They must also:

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An illegal practice which occurs when an agent mixes personal funds with the insured's or insurer's funds:

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Licensure Insurance (Quizzes) Quiz am Basics of Insurance, erstellt von Heather Donaldson am 20/07/2016.

Basics of Insurance

A monoline policy:

A risk is:

A pure risk involves a chance of:

A risk management technique that eliminates a loss exposure and reduces the chance of loss to zero is:

When suffering is a covered loss, an insured individual should do which of the following?

How many days does an insurer hve to return unearned premiums to an insured?

The amount to replace property with like property of the same quality and construction is the:

What is actual cash value (ACV)?

If an individual or a family suffers a loss due to death or disability of a member, what type of loss is it?

Insurance has a number of characteristics. Which of the following is not one of them?

Which of the following is an example of loss retention?

If it is proven that another person's negligence contributed to an injury, what gives the injured party the right to seek compensation?

Which of the following statements is true regarding compensatory damages?

Liability losses are referred to as:

In an insurance contract, D. I. C. E. refers to:

An insured purchased new furniture for $6,000. At the time of a fire loss, it had depreciated $2,000. At current rates, the same furniture will cost $7,000 to replace. The actual cash value of the destroyed furniture is:

When an insurer cancels a policy and only retains earned premium, this is:

An insurers loss reserve for a claim is:

What is the process called whereby insurers decide which customers to insure and what coverage to offer?

A reduction in the value of property that results immediately from damage to the property is known as: