ch 3 quiz

  1. The insured is hit in the rear while stopped at a traffic light. The insured's company pays for his repairs then seeks reimbursement from the responsible party. This is described as:

    B) Subrogation
  2. Damage to a windshield by a bird would be covered under:

    B) Comprehensive
  3. The Personal Auto Pilicy provides coverage in all of the following locations EXCEPT:

    D) Mexico
  4. Mr. Pfister carried 15/30/5 limits on an auto when he negligently ran into a parked car containing 3 occupants resulting in the following claims:
    Tom - BI - $18,00/PD $8,000
    Dick - BI $8,000
    Harry - BI $4,000
    In addition to these settlement awards, there was $18,000 in legal fees. In response to this, Pfister's P.A.P. will pay:

    D) $50,000
  5. After a loss, the insured must:

    D) All of the above
  6. All of the following are Physical Damage exclusions EXCEPT:

    C) Loss to permanently installed car telephone
  7. The insurer will pay transportation expenses under the P.A.P. beginning _____ after a theft of the insured's automobile.

    B) 48 hours
  8. Under the P.A.P., the insurer will pay for transportation expenses up to which of the following amounts?

    A) $20 per day; $600 max
  9. A car traveling at high speed skids at a turn and rolls over. The damage incurred would be covered under which of the following personal auto coverages?

    D) Collision
  10. A stolen car is covered under which of the following personal auto coverages?

    C) Comprehensive
  11. As a result of an auto accident, the insured sustains bodily injury worth $50,000. The responsible party carries auto liability insurance in the amount of 15/30/5. The insured's $100,000 underinsurance coverage would pay:

    B) $50,000
  12. The purpose of "underinsured motors" coverage is to:

    B) Provides coverages for the insured when the at-fault driver carries less coverage than that needed to pay for the insured's injuries
  13. An uninsured motor vehicle includes:

    D) All of the above
  14. The P.A.P. Medical Payments cover:

    D) All of the above
  15. Under the P.A.P. Medical Payments, the time limit for incurring medical expenses is:

    B) 3 years
  16. The P.A.P. liability coverage excludes all of the following EXCEPT:

    B) Damage to property of others due to the insured's motor vehicle negligence
  17. All of the following are considered insureds under the P.A.P. EXCEPT:

    D) Any person using an auto not owned by the insured.
  18. An auto liability policy with split limits of 15/30/5 would pay what maximum amount in the event of a covered bodily injury loss to 3 people?

    A) $30,000 (no more than $15,000 per person)
  19. An auto liability policy with split limits of 10/20/5 would pay how much in the event of a $10,000 loss to the other person's damaged vehicle.

    B) $5,000
  20. An auto liability policy with a single limit of $30,000 would pay which of the following amounts in the event of a $10,000 loss to the insured vehicle and a $25,000 bodily injury settlement to a third party?

    A) $25,000 (not concerned about damage to insured's vehicle, but rather the coverage that applies under the liability portion of the P.A.P.)
  21. Under the P.A.P., a covered auto includes all of the following EXCEPT:

    A) Non-owned auto (PAP is excess coverage on a non-owned vehicle)
  22. Leased vehicles can be covered under the P.A.P. of they are leased for a minimum of :

    A) 6 consecutive months
  23. A deer crashes into the side of the insured's car. Which of the following P.A.P. coverages would cover this damage?

    B) Comprehensive
  24. Which of the following would be covered under a P.A.P.?

    B) A three wheeled vehicle used in a medical emergency (PAP makes exceptions for a vehicle with less than 4 wheels for a medical emergency)
  25. An uninsured motorist vehicle under the Personal Auto Policy includes all of the following EXCEPT:

    D) A vehicle newly aquired by the named insured
  26. What is the limit for damage to a non-owned trailer under the personal auto policy?

    C) $1,500
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ch 3 quiz
Chapter 3 Quiz