Insurance & Risk Management Final Exam

When police/fire prohibit access to owner’s premises due to neighboring property loss

This type of insurance replaces earnings when workers cannot work due to illness or injury

A contract that specifies what risks are covered and at what amount is known as

When should a work related injury be reported?

Frequent job and house changes could indicate instability to insurance companies.

Liability coverage from physical injury to property of someone else’s resulting in loss

This type of insurance is for extended nursing care from accidents, illness, or old age

What is most true about why it's a challenge to determine appropriate prices in insurance?

Risk management method of paying some or all of the loss that occurs out of your own pocket

Purchasing insurance decreases the chance of a peril happening.

One major divisions of insurance is life and health. The other major division is which one?

Most insurance policies are 3 months in length.

Insurance regulators require that rates for insurance be based on which of the following?

Two limitations BO face when purchasing BO policy are the size and location of the property.

For a customer injured at a business to collect $$, they must prove owner tried to injure them.

Workers' compensation will pay a burial allowance for worker killed in a work related accident.

An incident of loss submitted to the insurance company is known as?

Property insurance pays for property destroyed/damaged and is provided by a person's employer.

The legal term for carelessness is negligence.

Which of the following is not a reason why an insurance company would discontinue coverage?

Amount of money paid out of pocket by policyholder before insurance coverage begins is known as

When insurance agents do business with many insurance companies it is which of the following ?

Liability protection against false arrest, detention or imprisonment, libel or slander

Which of the following is not an example of real property?

Which one of the following would be considered a peril?

Marketing/selling insurance thru the mail or phone and there is no office or agent to visit

Getting full replacement value if items are stolen/damaged is better than actual cash value.

A risk in which there is no possibility of gain is called

Insurance companies predict loss by doing which of the following?

Risk management method of eliminating the loss exposure or not to acquire it in the first place