Texas State P&c Test Questions And Answers

Commercial Property Basic Loss (form) {Ans: Coverage includes: firem lightning, windstorm, hail, aircraft riot or civil commotion, vehicles, vandalism, volcanic action (above ground) explosion, smoke, sprinkler leakage, sinkhole collapse}Automatic Agreements {Ans: The ceding company must transfer the amount of insurance in excess of the retention level immediately and automatically upon receipt of the premium}Hazard {Ans: Something that increases the chance or likelihood of a loss occuring. (physical or moral or morale)}Direct Response Marketing {Ans: A marketing system that offers insurance contacts directly to the public through direct mail, newspaper, magazines, radio, TV, internet, vending machines, etc.}Nationwide Marine Definition {Ans: Wet insurance and Dry insurance are terms that the Nationwide Marine Definition uses in specifying risks that may be written under marine insurance. The National Association of Insurance Commissioners adopted the Nationwide Marine Definition that defines 6 broad classes of property that may be insured under marine contract The classes are: 1. Imports 2. Exports 3. Domestic Shipments 4. Instrumentalities of Transportation or Communication (i.e. bridges, tunnels, antenna towers) 5. Personal Property Floater Risks (as discussed in Chapters 3 and 9) 6. Commercial Property Floater Risks}Commercial Property Building and Personal Property Coverage Form (additional coverages)