Pro Practice Exam Questions And Answers

Which of the following situations does NOT involve an insurable risk? {Ans: Dale just bought 30 shares of a hot new startup company online}All of the following are typical exclusions in an insurance policy, EXCEPT {Ans: explosion}All of the following are covered under Coverage A of a Business Owners Policy, except: {Ans: Leased business personal property that must be insured}The Indiana Commissioner of Insurance has the power to do all of the following, EXCEPT: {Ans: Alien Insurer}To meet the 80% level of co-insurance required by his lender, Tom discovers he must insure his home for at least $320,000. What is the value of Tom's home? {Ans: $400,000}Flora is driving in the rain when she skids off the road and slams into Cam's billboard, totaling her car and causing $2,000 in damage to the billboard. Flora has an auto policy with ABC Insurance, and both Cam and Flora submit claims against this policy for their damages. Which of the following is TRUE? {Ans: Flora will file a first-party claim for the damage to her car, and Cam will file a third-party claim for the damage to his billboard.}