Free Property and Casualty Insurance Basics Practice Questions
California Property and Casualty Broker-Agent exam (series Property & Casualty) — 116 practice questions.
Subtopics: Standard form fire policy, Residential nonrenewal, Residential cancellation grounds, Actual cash value, Standard fire policy text, Comparative negligence, Owner vicarious liability, Replacement cost estimate, Renewal offer notice, Late nonrenewal notice, Nonrenewal notice content, Cancellation notice review, Residential law scope, Cancellation for crime, Renewal after total loss, Wildfire nonrenewal moratorium, Suit limitation disaster, Proof of loss, Appraisal umpire, Vacancy, Insurer cancellation notice, Loss payment timing, Removal coverage, Efficient proximate cause, Willful act, Fire following earthquake, Earthquake as proximate cause, Contingent interest, Valued policy, Commercial nonrenewal, Commercial late notice, Commercial cancellation notice, License scope property, License scope casualty, Several liability, Dog bite, Pure comparative calculation, Insurable interest, Loss valuation, Coinsurance, Negligence, Damages, Types of loss, Insurer provisions, Other insurance, Liability, Limits of liability, Deductibles, Policy structure, Policy conditions, Replacement cost, Pair and set clause, Vacancy provision, Mortgagee rights, Appraisal condition, Salvage and abandonment, Liberalization clause, Assignment condition, Binder, Sublimit, Named perils vs open perils, Burden of proof, Direct vs indirect loss, Strict liability, Vicarious liability, Punitive damages, Special vs general damages, Proximate cause, Absolute liability, Hold harmless, Bailee liability, Attractive nuisance, Res ipsa loquitur, Coinsurance calculation, Actual cash value calculation, Split limits application, Underwriting, Credit-based insurance scores, Loss ratio, Insureds, Cancellation, Policy territory, No benefit to bailee, Duty to defend, Premium audit, Claim settlement, Appraisal, Duties after loss, Abandonment, Retrospective rating, Class rating, Judgment rating
Read the Property and Casualty Insurance Basics study guide
Sample questions & answers
1. California fire insurance policies must provide coverage no less favorable than the:
California standard fire policy
California fire policies must be no less favorable than the statutory standard form fire policy.
2. An insurer that will not renew a California residential property policy must give written notice at least how many days before expiration?
75 days
For residential property policies expiring on or after July 1, 2020, Section 678(c) requires a nonrenewal notice at least 75 days before expiration, stating the specific reasons; 45 days still applies to renewal offers.
3. A California residential property policy in force over 60 days may be cancelled only for reasons such as:
Nonpayment, fraud, or changes making the property uninsurable
After 60 days (or on a renewal), Section 676 permits cancellation only for nonpayment, conviction of a crime increasing the hazard, fraud or material misrepresentation, grossly negligent acts increasing the hazard, or physical changes making the property uninsurable.
4. Under a California property policy, actual cash value generally means:
Replacement cost less depreciation
Actual cash value is generally replacement cost less depreciation.
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Practice: Property and Casualty Insurance Basics
Answer choices are shuffled every time, and every question comes with an explanation.
Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Insurance Department and the exam administrator before relying on it.
