Free Commercial Property Policies Practice Questions
South Dakota Property & Casualty exam — 61 practice questions.
Subtopics: Business personal property, Business income, Valued policy law, Building and personal property, Causes of loss forms, Commercial package, Equipment breakdown, Coinsurance, Builders risk, Extra expense, Ordinance or law, Inland marine, Reporting form, Causes of loss special form, Agreed value, Peak season endorsement, Spoilage coverage, Causes of loss basic form, Newly acquired property, Functional valuation, Causes of loss broad form, Debris removal, Brands and labels, Pollutant cleanup, Legal liability coverage form, Tenant improvements, Earthquake coverage, Additional coverages, Coverage extensions, Vacancy, Valuation, Optional coverages, Functional building valuation
Read the Commercial Property Policies study guide
Sample questions & answers
1. In a commercial property policy, business personal property coverage insures:
The insured's furniture, equipment, and stock used in the business
Business personal property coverage insures the contents a business uses, such as furniture, equipment, and inventory.
2. Business income (interruption) coverage helps replace:
Lost net income and continuing expenses when operations are suspended by a covered loss
Business income coverage replaces lost net income and pays continuing expenses while operations are suspended by a covered loss.
3. Under SDCL 58-10-10, a detached garage (appurtenant structure) destroyed with the house is settled at:
Replacement or actual cash value per the policy, unless a value was assigned
SDCL 58-10-10(6) settles appurtenant structures at replacement or actual cash value per the policy unless a specific value was assigned before the loss.
4. The Building and Personal Property Coverage Form (BPP) covers all of the following EXCEPT:
The insured's legal liability to customers
The BPP is a property form covering buildings and contents; liability exposures are insured separately under a liability coverage part.
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Practice: Commercial Property Policies
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.
