Free Property and Casualty Insurance Basics Practice Questions
Nevada Property & Casualty exam — 107 practice questions.
Subtopics: Certificate of insurance, Named perils, Strict liability, Vicarious liability, Punitive damages, Pair and set, Abandonment, Hold harmless, Excess insurance, Agreed value, Insuring agreement, Conditions, Property insurance defined, Title insurance, Property line authority, Property contracts, Lender insurance requirements, Wildfire exclusion, Wildfire defined, Casualty insurance defined, Boiler and machinery, Vehicle insurance, Liability insurance defined, Fidelity insurance, Performance bonds, Co-surety limits, Surety estoppel, Surety contracts, Insurable interest, Loss valuation, Coinsurance, Negligence, Damages, Types of loss, Insurer provisions, Other insurance, Liability, Limits of liability, Deductibles, Policy structure, Policy conditions, Actual cash value, Replacement cost, Pair and set clause, Vacancy provision, Mortgagee rights, Appraisal condition, Proof of loss, Salvage and abandonment, Liberalization clause, Assignment condition, Binder, Sublimit, Named perils vs open perils, Burden of proof, Direct vs indirect loss, Comparative negligence, Special vs general damages, Proximate cause, Absolute liability, 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, Retrospective rating, Class rating, Judgment rating
Read the Property and Casualty Insurance Basics study guide
Sample questions & answers
1. A certificate of insurance is intended to:
Evidence that coverage exists, without altering the policy
A certificate of insurance evidences that coverage exists but does not amend, extend, or alter the underlying policy.
2. A property policy that covers only the causes of loss specifically listed in the policy is written on a(n):
Named-perils basis
A named-perils policy covers only the perils specifically listed, placing the burden on the insured to show the loss was from a listed peril.
3. Liability imposed without regard to fault, such as for keeping a dangerous animal or an abnormally hazardous activity, is:
Strict or absolute liability
Strict (absolute) liability applies without proof of fault for certain inherently dangerous activities or conditions.
4. When an employer is held responsible for a tort committed by an employee acting within the scope of employment, the employer faces:
Vicarious liability
Vicarious liability holds one party, such as an employer, responsible for the wrongful acts of another, such as an employee acting within the scope of employment.
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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.
