Insurance Questions

Florida Statutes establish standards, which must be met by Medicare Supplement insurance. Which of the following is not a standard?Choose one answer. a. The policy must be accompanied by an outline of coverage and a Medicare Supplement Buyer's Guide b. The policy is returnable within one year for full premium refund c. Policies must be written in understandable language d. The policy may not limit coverage for more than 6 months because of a pre-existing health condition

A bond which guarantees the performance of one appointed by the Court such as a Guardian, is known as a:Choose one answer. a. License Bond b. Fiduciary Bond c. Performance Bond d. Public Official Bond

Self-insurance is:Choose one answer. a. A plan administered by or for the Federal Government b. A plan established for the purpose of providing for employees' or their beneficiaries' accident, disability or death benefits c. A plan covering fewer than 10 employees d. A plan, which provides for continuing employees' regular compensation during illness or disability

The Business Owners' Policy's (BOP) liability coverage differs from the Commercial General Liability policy in which of the following ways?Choose one answer. a. When a BOP policy is issued to a drug store, Professional Liability (Druggists Liability) is automatically included b. All of these answers are correct c. Coverage of BOP is an "occurrence" basis only - no claims-made option d. If the insured does not have a Commercial Auto Policy, coverage for Auto Non- Ownership and Hired Car liability may be added by endorsement to the BOP

Health insurance policies, under Florida Law, require which of the following number of days cancellation notice (if there is a cancellation clause in the policy)?Choose one answer. a. 10 days b. 45 days c. 30 days d. 20 days

Smith, Inc. provides an automobile for an employee who has no automobile of his own. What additional coverages, of the following, could be added to protect the employee?Choose one answer. a. Drive Other Car Endorsement b. Miscellaneous Type Vehicles c. Additional Personal Injury Protection d. Extended Non-Owner

An insured with coverage under a Commercial General Liability policy buys a new crane and immediately drives the crane on the highway to a job site. While driving on the highway, the insured had an at-fault accident. Which of the following describes how the insurer will respond?Choose one answer. a. The insurer will cover the loss since mobile equipment is covered and the crane meets the definition of mobile equipment covered by the policy b. The insurer will deny the claim because only specifically scheduled equipment is covered c. The insurer will pay the claim only if the insured has a Business Auto policy d. The insurer will deny the claim as the crane was operated on the highway under its own power

The Insurance Department may, at its discretion, issue a temporary license:Choose one answer. a. All of these answers are correct b. In the event of death, disability, or absence of a general lines agent c. To a licensed agent's employee, family member, business associate, or personal representative d. If no other person connected with the agent's business is licensed as a general lines agent

The Farm Policy's Broad Cause of Loss Form covers each type of farm animal loss except:Choose one answer. a. Livestock attacks from another livestock type b. Loading or unloading accidents c. Electrocution d. Drowning or shooting

Describe a MEWA (Multiple-Employer Welfare Arrangement.Choose one answer. a. MEWAs (Multiple-Employer Welfare Arrangement) are regulated as risk-bearing entities by the Florida Insurance Code b. All of these answers are correct c. MEWAs are defined as an arrangement that is established or maintained to provide one or more various insurance benefits (health insurance) to the employees of two or more employers d. MEWAs require a Certificate of Authority from the Department of Insurance.

Mr. Smith lives in New Jersey but visits Florida each year. When does he come under the Florida No-Fault system, in any 365-day period?Choose one answer. a. After 14 days in Florida b. After 30 days in Florida c. After 60 days in Florida d. After 90 days in Florida

A community college is insured under a Crime Coverage - Inside Premises - Robbery or Safe Burglary of Other Property Form. Which one of the following amounts will not be paid if the amount of coverage is $30,000?Choose one answer. a. $15,000 damage to a locked safe, which was broken into b. $2,000 in money taken from a vault c. None of these answers are covered d. $1,000 damage to the building after the thieves broke into the Dean's office

The insured has a "Guaranteed Renewable" major medical policy. This means:Choose one answer. a. The carrier cannot refuse to renew, even if the premium is not paid b. The carrier must renew the policy under all circumstances c. The carrier cannot cancel coverage, but can require a new application each year d. The carrier must renew the policy to a certain age (usually 65); also the carrier reserves the right to increase premiums in certain underwriting classes

Homeowner's Coverage C - Personal Property covers each of the following situations except?Choose one answer. a. The property of a guest anywhere in the world b. The property of others while located at the insured's dwelling at the insured's request c. A resident employee's contents at the insured's dwelling d. The insured's personal property while in Mexico at a secondary dwelling

The ABC Corp. purchased a new business during the term of its Commercial General Liability policy. A claim occurs for which the new business is liable but before the new business is added to the policy by endorsement. Which of the following statements are true?Choose one answer. a. There is no coverage for a new business b. Coverage on the new business is limited to 50% of the limits of the General Liability Policy c. There is no coverage until the insured has advised the agent of the acquisition d. The loss will be covered by ABC's policy if the loss occurs within 90 days of purchase of the new business

Subrogation may follow which of the following events?Choose one answer. a. An insured causes damage to his own goods b. An insured collects from his insurance company for damage caused by third party c. Forces of nature damage the insured's property while extinguishing a fire d. A firefighter damages the insured's property while extinguishing a fire

At the time of a loss, it is found that the covered building had been vacant for the period of 75 consecutive days immediately preceding the loss. Which of the following perils would not be covered?Choose one answer. a. Vandalism b. Fire c. Windstorm d. All of these answers are correct

Is a legitimate ERISA Self-Insurance plan necessarily an insurance plan subject to state regulation?Choose one answer. a. A genuine single-employer ERISA plan is not subject to direct state insurance regulation b. A legitimate ERISA Self-Insurance plan is never deemed to be insurance c. None of these answers are d. A legitimate ERISA Self-Insurance plan is always deemed to be insurance

Personal Liability (Section III) of a Homeowner's policy covers which of the following?Choose one answer. a. Damage to the insured's property caused by a visitor b. Bodily Injury to a member of the household by a neighbor's dog c. Bodily Injury or Property Damage caused by personal activities of the insured or family members anywhere in the world d. Bodily Injury or Property Damage caused by war

A General Lines Agent is:Choose one answer. a. A personal lines agent who has not complied with the continuing education requirements of the State of Florida b. One approved by a general lines agent to assist in transacting business of private passenger motor vehicles from the agency office c. One who is appointed by a general lines agent or agency to assist in transacting the business of the agency from the agency office d. One who may transact property insurance, casualty insurance, surety insurance, health insurance, and marine insurance in the State of Florida