Free General Insurance Concepts Practice Questions
Kansas Property & Casualty exam (series 12-KS-06) — 47 practice questions.
Subtopics: Abandonment, Stock insurer, Mutual insurer, Admitted insurer, Domestic insurer, Apparent authority, Handling risk, Insurer classifications, Adverse selection, Elements of a contract, Insurable risk, Hazards, Definitions, Authority of producers, Legal interpretations, Law of large numbers, Principle of indemnity, Utmost good faith, Concealment, Warranty, Waiver and estoppel, Subrogation, Reinsurance, Admitted vs nonadmitted, Domestic foreign alien, Aleatory contract, Contract of adhesion, Unilateral contract, Rebating, Risk pooling, Pro-rata cancellation, Risk, Marketing systems, Concealment and fraud, Indemnity
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Sample questions & answers
1. Most property policies contain an abandonment clause providing that the insured:
May not abandon damaged property to the insurer
An abandonment clause prevents the insured from abandoning damaged property to the insurer and demanding full payment.
2. Which type of insurer is owned by its stockholders?
Stock insurer
A stock insurer is owned by its stockholders, who provide its capital and share in profits.
3. Which type of insurer is owned by its policyholders?
Mutual insurer
A mutual insurer is owned by its policyholders, who may receive dividends.
4. An admitted (authorized) insurer is one that:
Holds a certificate of authority in the state
An admitted insurer holds a certificate of authority to transact insurance in the state.
All Property & Casualty topics
Practice: General Insurance Concepts
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.
