Free Property Casualty Basics Practice Questions
West Virginia Personal Lines exam — 128 practice questions.
Subtopics: Actual cash value, Replacement cost, Coinsurance, Deductible, Subrogation, Proximate cause, Valued policy law, Valued policy exception, Valued policy and FAIR Plan, Standard fire policy, Multiple line policies, Suit limitation clauses, Federal flood insurance, Policy structure DICE, Declarations, Insuring agreement, Exclusions, Coinsurance purpose, Coinsurance penalty math, Coinsurance no penalty, Deductible effect, 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, Binder, Endorsement, Stated value vs agreed value, Abandonment, Mortgagee clause, Assignment, Attractive nuisance, Hold harmless agreement, Additional insured, Valued policy, Blanket vs specific, Liability vs property insurance, Duties after loss, 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, Pro rata 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, Proof of loss, 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. When a property loss is settled at actual cash value (ACV), the amount is generally:
Replacement cost minus depreciation
ACV is generally the replacement cost of the property minus depreciation at the time of loss.
2. Replacement cost coverage on a dwelling pays, subject to policy terms, the cost to:
Repair or replace the damaged property without a deduction for depreciation
Replacement cost coverage pays to repair or replace the property with like kind and quality without deducting depreciation, subject to limits.
3. A homeowner insures a dwelling for $160,000 when its replacement cost is $200,000 under an 80% coinsurance clause. The required amount of insurance is:
$160,000
The required amount is 80% of $200,000, which is $160,000; the insured carries exactly that amount and meets the coinsurance requirement.
4. A deductible in a property policy is the amount that:
The insured pays toward a covered loss before the insurer pays
A deductible is the portion of a covered loss the insured pays before the insurer pays the remainder.
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.
