Download NJ PSI Property & Casualty Exam 2025 – Verified Q&A | Graded A+ and more Exams Insurance law in PDF only on Docsity!
NJ PSI PROPERTY AND CASUALTY EXAM 2025 |
EXAM QUESTIONS AND CORRECT ANSWERS |
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The Mobile Home Endorsement of a Homeowners policy affords coverage to mobile homes under the?
A. HO-1 (Basic Form)
B. HO-2 (Broad Form)
C. HO-3 (Special Form)
D. HO-2 or HO-3 (Broad and Special) - (answers)D. HO-2 or HO-3 (Broad and Special)
All of the following are eligible for coverage under Homeowners policy except?
A. A condominium unit owner.
B. A farm owner.
C. A mobile home owner.
D. A tenant in an apartment building. - (answers)B. A farm owner.
The term Insured Location under Section II of Homeowners policies refers to all of the following except?
A. The insured premises.
B. Farm land.
C. A non-owned premises where an insured temporarily resides.
D. A newly-acquired premises. - (answers)B. Farm land.
All of the following would be considered insured's under a Homeowner's policy expect?
A. Resident relatives of the insured.
B. A non-relative resident under age 21 in the care of the insured.
C. The insured's spouse if the spouse lives in the household.
D. A non-relative resident over age 21. - (answers)D. A non-relative resident over age 21.
All of the following homeowners policies provide dwelling coverage except?
A. HO-
B. HO-
C. HO-
D. HO-1 - (answers)C. HO-
Dwelling coverage A includes all of the following except?
A. The dwelling.
B. The deck on the back of the dwelling.
C. A Gazebo.
D. Construction materials on the residence premises for use in the repair of the dwelling. - (answers)C. A Gazebo.
B. National Emergency Standards Agency (NESA)
C. Federal Flood Coverage Association (FFCA)
D. Federal Emergency Management Agency (FEMA) - (answers)D. Federal Emergency Management Agency (FEMA)
UnderHomeownerspolicies,whichofthefollowingis/areconsideredoptional propertycoverageendorsement(s)?
A. Earthquake.
B. Fine*Arts.
C. ReplacementCostcoverageonpersonal*property.
D. Alloftheabove.-(answers)D.Allofthe*above.
UnderanNFIPFloodpolicy,floodisbroadlydefinedasallofthefollowingexcept?
A. Theoverflowofinlandortidalwaters.
B. Mudflow,ariverofliquidandflowingmudonthesurfacesofnormallydrylandarea, aswhenearthiscarriedbyacurrentof*water.
C. Heavy,drivingsheetsofwindblownrain.
D. Thecollapseofsubsidenceoflandalongtheshoreofalakeorsimilarbodyofwater asaresultoferosionorunderminingcausedbywavesorcurrentsofwaterexceeding anticipatedcyclicallevelsthatresultinaflood.-(answers)C.Heavy,drivingsheetsof windblownrain.
UnderanNFIPFloodpolicy,inmostcasesthewaitingperiodbeforeanewpolicycanbe madeeffective*is?
A. 10 *days.
B. 20 *days.
C. 30 *days.
D. 60 days.-(answers)C. 30 *days.
Ifyourbabysitterfallsdownthestairsinyourhomeandbreaksherleg,herinjurywillbe coveredby?
A. YourHomeownerspolicy.
B. YourMedicalInsurance*policy.
C. Thebabysitter'sHomeowners*policy.
D. Thebabysitter'sMedicalInsurancepolicy.-(answers)A.YourHomeowners *policy.
OnHomeownerspolicies,thefulllimitonpersonalproperty(CoverageC)appliesto personalpropertywhileit*is?
A. Inthestateofresidence*only.
B. IntheUnitedStatesonly.
C. Anywhereinthe*world.
D. IntheUnitedStatesandCanadaonly.-(answers)C.Anywhereintheworld.
UnderanNFIPFloodpolicy,thereiscoveragefor?
A. Bothdirectdamageandlossofuse.
B. Directdamageonly.
UnderSectionIIAdditionalCoverage'sofHomeownerspolicies,theinsureragrees*to *pay?
A. Thecostsofdefendinga*claim.
B. Premiumsonbondsrequiredinasuit.
C. Court*costs.
D. Alloftheabove.-(answers)D.Allofthe*above.
UnderHomeownersandotherpolicies,ACVistheabbreviationforwhich*property insurancevaluation?
A. ApprovedCoverageValuation.
B. ApproximateCashValue.
C. ActualCoverageValuation.
D. ActualCashValue.-(answers)D.ActualCash*Value.
UnderHomeownersandotherpolicies,thedefinitionofthepropertyinsurance valuationknownasActualCashValue(ACV)is?
A. ReplacementCostplusacash*payment.
B. ReplacementCostminusthecostofnew*material.
C. ReplacementCostminus*depreciation.
D. ReplacementCostplusmarketvalue.-(answers)C.ReplacementCost*minus *depreciation.
Whendealingwithjewelry,furs,orsilverware,whichcarryspeciallimits,aproducer shouldadviseaclientthatifthevalueexceedsthelimitsspecifiedinthepolicy,the*client shouldpurchase?
A. AScheduledPersonalPropertyEndorsement.
B. Less*Jewelry.
C. AFinearts*Endorsement.
D. Anotherpolicy.-(answers)A.AScheduledPersonalPropertyEndorsement.
UnderanNFIPFloodpolicy,themaximumamountofbuildingcoveragethatcanbe writtenonasinglefamilypropertyis?
A. $100,000.
B. $150,000.
C. $200,000.
D. $250,000.-(answers)D.*$250,000.
WhichofthefollowingappliesasregardseitheraScheduledPersonalProperty EndorsementoraPersonalArticles*Floater?
A. Fineartscanbecoveredoneitheranamedperilsoraspecialperilsbasis.
B. Thepersonalpropertyinsuredoneitherformisnotsubjecttothepolicy *deductible.
C. Allpersonalpropertymustbedescribedandanamountofinsurancemustbe shownforeachitem.
D. Alloftheabove.-(answers)D.Allofthe*above.
C. Anypersonwhoregularlyresidesonthe*premises.
D. Alloftheabove.-(answers)D.Allofthe*above.
underanNFIPFloodpolicy,themaximumamountofpersonalpropertycoveragethat canbewrittenonasinglefamilyproperty*is?
A. $50,000.
B. $75,000.
C. $100,000.
D. $150,000.-(answers)C.*$100,000.
UnderanNFIPFloodpolicy,producersmayissueblinderstoeffectfloodcoverage*for?
A. $50,000.
B. $100,000.
C. $250,000.
D. producersmaynotissuebinderstoeffectfloodcoverage.-(answers)D. Producersmaynotissuebinderstoeffectflood*coverage.
Inpropertyinsurance,insurableinterestmustexistatthe/
A. Inceptionofthe*policy.
B. Timeofthepremiumpayment.
C. Timeofthe*application.
D. Timeoftheloss.-(answers)D.Timeofthe*loss.
