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limited lines agent

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

The possibility that a loss will occur

a)

Peril

b)

Hazer

c)

Loss

d)

Risk

2.

What is a peril

a)

when someone is in a car accident

b)

Someone car is on fire/ when they have a flood/ collision

c)

Unforeseen damage to property

d)

Increases chance that a loss will occur

3.

A contract that transfers the risk of financial loss from an individual or business

a)

Insurance

b)

Deductible

c)

Indemnity

d)

Extensions of coverage

4.

Not covered by insurance and can be a possibility of a loss or gain

a)

Limits of liability

b)

Hazer

c)

Speculative Risk

d)

Pure Risk

5.

When fumes escaping from an activity on the insured's premises eventually damage the paint on a neighboring house is called..?

a)

commission sharing

b)

Cause of loss

c)

Occurrence

d)

Ethic

6.

What is a loss. . .

a)

your friend house on fire

b)

Being in an accident

c)

A flood

d)

unforeseen damage to property, injury, amount paid

7.

Protect consumers from adverse action based on their credit reports

a)

Fair credit Reporting Act

b)

Insurance regulation

c)

Commissioner of insurance

d)

Fraud

8.

where is deductible found

a)

Occurrence

b)

Bank

c)

Declaration page

d)

ethic

9.

Involves only the possibility of a loss, can be cover by insurance

a)

speculative

b)

pure risk

c)

loss

d)

direct loss

10.

who has settled the insureds loss in order to recover from an at fault third party?

a)

Marketing

b)

The principle of indemnity

c)

Subrogation- The right of the insurer and The right of recovery- prevents from collecting twice

d)

Additional coverage

11.

An indemnity state that the insured will be place back to the per-loss economic condition

a)

Indemnity

b)

Accident

c)

Limits of liability

d)

deductible

12.

Cease and desist order is. . .

a)

Faced with the determination that a violation of the unfair trade practices laws has occurred, the Commissioner would be most likely to

b)

Violation of cease and desist order

c)

If the hearing determines the person has engaged in an unfair method of competition or an unfair or deceptive act, the board will issue a cease and desist order

d)

Enforcement of the insurance code

13.

who undertake a high level of trust when acting in the interests of another person

a)

Insured

b)

agent

c)

Fiduciary

d)

commissioner

14.

The agent or insurance company's customers and policyholders

a)

Agent Act

b)

book of business

c)

Policy

d)

Policyholders

15.

Implies or tells and insured that they have a coverage under a policy when actually it don't exists.

a)

Insurer

b)

Agent

c)

personal lines

d)

Insured