Free Property Insurance Basics Practice Questions
New Hampshire Property exam (series 12-84) — 165 practice questions.
Subtopics: Standard fire policy, Package policies, Valued policy law, Partial fire loss, Fire loss adjustment, Fire loss payment, Incidental costs, Option to rebuild, Insurer neglect, Denial notice, Vacancy, Increase in hazard, Excepted property, Removal, Perils not included, Neglect, Mortgagee clause, Proof of loss, Appraisal, Abandonment, Suit against insurer, Pro rata liability, Company options, Insured cancellation, Subrogation, Binders, Personal property cancellation scope, Homeowners cancellation grounds, Homeowners cancellation notice, Credit-based decisions, Prohibited underwriting, Non-auto total losses, Contractors, Contractor choice, Hidden damage, Suspicious fires, Fire loss reports, Commercial cancellation scope, Commercial cancellation grounds, Commercial cancellation notice, Commercial nonrenewal, Commercial renewal premiums, Insured's cancellation, Schedule rating, Large commercial policyholders, Insurable interest, Actual cash value, Replacement cost, Agreed value, Functional replacement cost, Direct vs indirect loss, Coinsurance purpose, Coinsurance calculation, Deductible, Declarations, Insuring agreement, Exclusions, Conditions, First named insured, Duties after loss, Subrogation condition, Liberalization, Other insurance pro rata, Blanket insurance, Loss payable clause, Construction class, Rate components, Underwriting purpose, Valued policy, Market value, Cancellation short rate, Policy territory, Assignment property, No benefit to bailee, Claim settlement options, Pair and set clause, Specific insurance, Terrorism program, Indirect loss time element, Hazard reduction underwriting, Named perils form, Open perils form, Burden of proof, Proximate cause, Concurrent causation, Anti-concurrent causation clause, Pro rata cancellation, Flat cancellation, Nonrenewal notice, Policy period, Salvage rights, No abandonment clause, Appraisal provision, Notice of loss, Depreciation, Recoverable depreciation, Percentage deductible, Period of restoration, Business income waiting period, Contribution by equal shares, Excess other insurance, Margin clause, Waiver of subrogation, Mysterious disappearance, Inherent vice exclusion, Wear and tear exclusion, Earth movement exclusion, Flood exclusion, Ensuing loss, Ordinance or law exclusion, Sue and labor, Ingress and egress, Reinstatement of limit, Coverage extension, Stated amount, Actual cash value calculation, Deductible application, Coinsurance - adequate insurance, Coinsurance with deductible, Coinsurance - limit cap, Coinsurance - value at time of loss, Coinsurance - who bears shortfall, ACV calculation - contents, Pro rata other insurance calc, Pro rata return premium calc, Pair and set calc, Proximate cause example, Direct loss example, Endorsements, Definitions section, Limits - sublimits, Mortgagee - proof of loss, Mortgagee - premium, Mortgagee - cancellation notice, Subrogation example, Appraisal procedure, Appraisal costs, Proof of loss timing, Burglary definition, Robbery definition, Theft definition, Water damage vs flood, Liberalization timing, Occurrence, Named insured, Salvage value, Unearned premium, Settlement of claims - deductible, Additional coverages vs extensions, Policy conditions - concealment, Valuation
Read the Property Insurance Basics study guide
Sample questions & answers
1. In New Hampshire, a policy of fire insurance on property in the state generally must conform to the Standard Fire Policy, EXCEPT for:
Motor vehicle, marine, and inland marine
RSA 407:2 requires fire policies to conform to the New Hampshire Standard Fire Policy except motor vehicle, marine, inland marine and reinsurance contracts.
2. A New Hampshire package policy that covers fire plus substantial other perils need not use the Standard Fire Policy form, as long as it:
Gives fire coverage at least equal to the SFP
RSA 407:2-a lets combination policies depart from the form if fire coverage is not less than the Standard Fire Policy and its mortgagee provisions are included without change.
3. A New Hampshire building insured for a specified amount is totally destroyed by fire, without fraud or criminal fault by the insured. Under the state's valued policy law, the insurer pays:
The full amount the building was insured for
RSA 407:11, I treats the insured amount as the value of the insured's interest when a building is totally destroyed by fire or lightning, unless overinsurance was fraudulently obtained.
4. New Hampshire's valued policy law (RSA 407:11) applies to a total loss of a building by:
Fire or lightning
The valued policy rule applies when an insured building is totally destroyed by fire or lightning; it does not apply to blanket coverage.
Practice: Property 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.
