CPCL California Property and Casualty license exam - Set 4 - Part 3

Test your knowledge of technical writing concepts with these practice questions. Each question includes detailed explanations to help you understand the correct answers.

Question 41: California's Good Driver Discount must provide a rate that is at least how much below the otherwise-applicable rate?

Twenty percent

Ten percent

Five percent

Fifty percent

Question 42: To qualify for California's Good Driver Discount, a driver must generally have been licensed for at least how long, with a clean enough record?

One year

Two years

Three years

Five years

Question 43: Under Proposition 103, the three mandatory automobile rating factors, in order, are the driving safety record, annual miles driven, and which of the following?

The driver's credit score

The driver's ZIP Code

The color of the vehicle

The driver's years of experience

Question 44: Under California law, how must uninsured motorist coverage be handled on an automobile bodily injury liability policy?

It must be offered, rejectable in writing

It is prohibited entirely

It is added only after a claim

It applies only to property damage

Question 45: The California Automobile Assigned Risk Plan serves which of the following purposes?

Insuring high-value classic cars

Paying claims when an insurer fails

Covering drivers rejected by the voluntary market

Offering free insurance to all drivers

Question 46: The California Low Cost Automobile Insurance Program is designed primarily for which group of drivers?

High-risk drivers with poor records

Income-eligible good drivers

Drivers of commercial fleets

Out-of-state visitors

Question 47: A personal umbrella policy differs from a pure excess liability policy primarily because the umbrella can do which of the following?

Only add higher limits

Pay first-party medical bills

Replace the underlying policy entirely

Drop down to cover some excluded losses

Question 48: On a personal umbrella policy, the self-insured retention applies in which situation?

When dropping down for an excluded loss

When adding limits above a covered loss

To every umbrella claim

Only when the underlying policy lapses

Question 49: Personal umbrella policy limits typically begin at which of the following amounts?

One hundred thousand dollars

Five hundred thousand dollars

One million dollars

Five million dollars

Question 50: If an insured lets the required underlying auto or homeowners policy lapse, how does the personal umbrella respond to a later loss?

It expands to fill the entire gap

It pays nothing at all

It reinstates the underlying policy

It pays excess above the required limit

Struggling With Exams?

Less Time Studying, More Time Living – Finish Your Degree Faster! Pay-After-you-Pass!

Get Exam Support