Unit 6 - Introduction to Liability Insurance

The P & C term used to refer to damage to an individual's reputation or metal state is called

• bodily injury

• personal injury

• physical injury

• politics

Negligence is the failure to act in a responsible or prudent manner. In order to be negligent, there must be four elements present. Which of the following items is not one of those four elements?

• Subrogation

• Duty and breach of duty

• damages

• proximate cause

The duty we owe others is sometimes expressed in terms of degree of care. To which of the following do we owe the greatest degree of care? (Hint Hint)

• Licensee

• Invitee

• Trespasser

• All of the aforementioned

There are times when a person be held responsible for actions of others. Which example shows imputed liability? (Hint Hint)

• Employee for employer

• Children for parents

• Father for son

• All of the above

All Liability losses are said the be third-party losses. Property losses are said to be... (Hint Hint)

• 2nd party

• 1st party

• 3rd party

• 2nd or 3rd party

Which of the following list describes a tort?

• A federal wrong

• A civil wrong that violates the rights of others

• What you eat

• None

Absolute liability is most frequently applied to activities involving

• dangerous animals

• dangerous materials

• hazardous operations

• all of the aforementioned

There are two types of compensatory damages: special and general. Which of the following is an example of a general damage?

• Lost wages

• Pain and suffering

• Funeral expenses

• The cost to repair or replace damaged property

All of the following would be covered under a personal liability policy EXCEPT

• Punitive damages

• Bodily injury you caused to your neighbor

• Property damage to another person's property

• Pain and suffering you caused to another because of your negligence

All of the following are examples of personal injury, EXCEPT

• Libel

• Slander

• False arrest

• Injury, sickness or disease