Free Property Casualty Basics Practice Questions
Mississippi Personal Lines exam — 139 practice questions.
Subtopics: Deductible effect, Subrogation, Pro rata cancellation, Binder, Declarations page, Endorsement, Other insurance, Vacancy vs unoccupancy, Liberalization, Duties after loss, Appraisal clause, Proof of loss, Notice period, Loss payee notice, Nonpayment, Late notice remedy, Affiliate transfer, Affiliate transfer standard, Substantially similar, Less favorable terms, Incorporated into policy, Valued policy law, Valued policy exception, Valued policy term, Three-quarter value clause, Policy structure DICE, Declarations, Insuring agreement, Exclusions, Actual cash value, Replacement cost, Coinsurance purpose, Coinsurance penalty math, Coinsurance no penalty, Named perils, Open perils, Burden of proof, Salvage, Appraisal provision, Pro rata other insurance, Vacancy, Real vs personal property, Negligence, Elements of negligence, Compensatory damages, Punitive damages, Bodily injury, Property damage, Occurrence, Absolute liability, Vicarious liability, Comparative negligence, Liability limits, Stated value vs agreed value, Abandonment, Mortgagee clause, Assignment, Proximate cause, Attractive nuisance, Hold harmless agreement, Additional insured, Valued policy, Blanket vs specific, Liability vs property insurance, Concurrent causation, Conditions section, Definitions section, Pair or set clause, Inflation guard, Aggregate limit, Combined single limit, Sublimit, Retention, Primary vs excess coverage, Excess other insurance clause, Escape other insurance clause, Flat cancellation, Short-rate cancellation, Nonrenewal, Liberalization clause, No benefit to bailee, Loss payable clause, Sue and labor, Occurrence trigger, Retroactive date, Extended reporting period, Contributory negligence, Last clear chance, Res ipsa loquitur, Assumption of risk, Negligence per se, General vs special damages, Nominal damages, Direct vs consequential loss, Time element coverage, Catastrophe, Floater, Wear and tear exclusion, Inherent vice exclusion, Mysterious disappearance, Pollution exclusion, Earth movement exclusion, Personal injury offense, Duty to defend, Defense within limits, Statute of limitations, Pure premium, Exposure unit, Reasonable repairs, Actual cash value calculation, Valuation calculation, Other insurance calculation, Pro rata refund calculation, Waiver of subrogation, Mortgage clause, Defense costs, Insurable interest limit, Deductibles, Appraisal, Appraisal costs, Suit against insurer, Loss payment timing, Insurer repair option, Pair or set, Recovered property, Concealment or fraud, Service agreements, Nuclear hazard, Neglect exclusion, Power failure exclusion, Governmental action
Read the Property Casualty Basics study guide
Sample questions & answers
1. Raising the deductible on a Mississippi homeowners policy will generally:
lower the premium
A higher deductible shifts more of the small-loss risk to the insured and generally lowers the premium.
2. After paying a Mississippi insured's claim, the insurer's right to recover from the at-fault party is called:
subrogation
Subrogation allows the insurer, after paying a claim, to pursue recovery from the party legally responsible for the loss.
3. A Mississippi homeowners policy with a $960 annual premium is cancelled by the insurer 90 days into the year on a pro rata basis. The premium retained by the insurer is approximately:
$240
Ninety days is about one quarter of the year, so the insurer retains roughly $960 x 90/365 = about $237, closest to $240.
4. A binder issued by a Mississippi producer provides:
Temporary evidence of coverage
A binder is temporary evidence of coverage until the policy is issued; Mississippi treats a binder issued pending a motor vehicle liability policy as fulfilling the policy requirements. The prior key (permanent coverage) was wrong.
Practice: Property Casualty 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.
