NHPCI - New Hampshire Property and Casualty Insurance

Question 1: An underwriter opens a property policy to the page recording the named insured, mailing address, policy period, premium, and a description of the insured property, facts unique to this account rather than printed identically for every policyholder using that form. Which part of the policy is being read?

the definitions section

the conditions section

the declarations page

the insuring agreement

Question 2: A claims adjuster notes that a policy's limit of liability, the description of covered locations, and the named insured's business classification all appear on a single page unique to that policyholder, while every other section of the printed form stays identical across all like policies. What is this page called?

the declarations page

the endorsement schedule

the definitions page

the exclusions section

Question 3: A new producer notices that certain words in a homeowners policy, such as insured, occurrence, and residence premises, are printed in quotation marks and carry a precise meaning that differs from ordinary conversation. Which policy section explains what these specially marked terms mean wherever they appear in the contract?

the declarations page

the conditions section

the definitions section

the insuring agreement

Question 4: A commercial general liability form contains a paragraph stating that the insurer will pay sums the insured becomes legally obligated to pay as damages because of bodily injury or property damage to which the coverage applies. Which policy part contains this fundamental promise describing the scope of coverage granted?

the conditions section

an endorsement

the definitions section

the insuring agreement

Question 5: A homeowners policy grants a modest amount of coverage for debris removal, reasonable repairs made to protect property from further damage, and fire department service charges, each provided beyond the main insuring agreement and often carrying its own separate limit within the policy. What are these provisions generally called?

additional coverages

the insuring agreement

policy conditions

policy exclusions

Question 6: A property policy requires the insured to give prompt notice of a loss, protect damaged property from further harm, and cooperate with the insurer's investigation before any claim payment is issued. In which policy section would a producer expect to find these procedural requirements listed for the insured to follow?

the insuring agreement

the declarations page

the conditions section

the definitions section

Question 7: After paying a covered loss, an insurer wants to pursue the negligent third party who caused the damage in order to recoup what it paid to its own insured for that loss. Which standard policy condition gives the insurer this right to step into the insured's shoes and pursue recovery?

the other insurance condition

the assignment condition

the loss payment condition

the subrogation condition

Question 8: A dwelling policy specifically states that loss caused by flood, earth movement, and war is not covered under the form, regardless of how broadly the insuring agreement might otherwise be worded. Which policy part removes these particular causes of loss from the coverage the insuring agreement would otherwise provide?

the exclusions section

the definitions section

additional coverages

the declarations page

Question 9: A commercial property producer attaches a separate form to a policy that adds coverage for newly acquired locations and overrides a conflicting statement printed in the original policy form itself. Which term describes this attached document that changes the terms of the standard printed policy the insured originally purchased?

a declaration

a definition

an endorsement

a condition

Question 10: A homeowners policy lists a single person on the declarations page as the party who purchased the policy, holds the broadest rights under the contract, and receives any notice of cancellation the insurer must send out. What term describes this individual identified on the declarations page?

an additional insured

an omnibus insured

a loss payee

the named insured

Question 11: A personal auto policy extends liability coverage to a resident relative who borrows the insured's car with permission, even though that relative never signed the application and is never printed by name anywhere on the declarations page. Coverage for this person generally arises through which mechanism within the policy?

the policy's definition of insured

an additional insured endorsement

a separate named-insured listing

a loss payee designation

Question 12: A commercial package policy states on the declarations page that coverage begins at twelve o'clock noon on one specific date and ends at twelve o'clock noon on another specific date, measured at the insured's mailing address. Which policy clause establishes these effective and expiration dates for the coverage?

the policy territory clause

the policy period clause

the cancellation clause

the other insurance clause

Question 13: A traveling salesperson insured under a personal auto policy causes an accident while driving in a neighboring country, and the adjuster must check a specific policy provision to confirm whether that location falls within the geographic scope the contract was written to cover. Which clause must the adjuster consult first?

the policy period clause

the insuring agreement

the policy territory clause

the conditions section

Question 14: An insurer decides to end a policy before its scheduled expiration date because the insured stopped paying the premium, and the insurer must send written notice to the named insured before the coverage actually stops. What is this insurer-initiated, mid-term termination of coverage called?

non-renewal

rescission

lapse

cancellation

Question 15: As a policy approaches its scheduled expiration date, the insurer decides not to offer another term of coverage to this particular insured and must send timely written notice explaining that the relationship will end once the current term expires. What term describes the insurer's action in this situation?

non-renewal

cancellation

conditional renewal

reinstatement

Question 16: A homeowners policy requires the insured to absorb a set portion of each covered loss before the insurer pays the remaining amount, a feature designed partly to eliminate small nuisance claims and partly to keep the overall premium more affordable. What is this policy feature called?

the coinsurance clause

the deductible

the retention limit

the self-insured layer

Question 17: A windstorm damages a covered building, and the adjuster calculates the actual amount of the loss, then subtracts the flat amount stated on the declarations page before issuing payment for the difference to the insured. Which policy feature required the adjuster to make this subtraction before paying the claim?

the coinsurance penalty

the policy limit

the deductible

the pro rata provision

Question 18: A building owner carries two property policies covering the same structure, but one policy insures against a broader list of causes of loss than the other, and the two forms also carry different conditions, so the coverage each policy grants does not line up evenly. What term describes this mismatch?

contribution by equal shares

pro rata liability

excess coverage

nonconcurrency

Question 19: Two liability policies apply to the same covered occurrence, and one of them is written to pay first, up to its own limit, before the second policy is called upon to contribute anything further toward the loss. Which term describes the policy that must respond first in this arrangement?

the primary policy

the excess policy

the umbrella policy

the contributing policy

Question 20: A commercial umbrella policy sits above a general liability policy and agrees to pay only after the underlying general liability limit has been completely used up by a single covered claim. What term best describes the umbrella policy's role in this layered arrangement between the two policies?

primary coverage

excess coverage

pro rata coverage

concurrent coverage

NHPCI New Hampshire Property and Casualty Insurance - Set 5 - Part 1

Question 7: After paying a covered loss, an insurer wants to pursue the negligent third party who caused the damage in order to recoup what it paid to its own insured for that loss. Which standard policy condition gives the insurer this right to step into the insured's shoes and pursue recovery?

Question 16: A homeowners policy requires the insured to absorb a set portion of each covered loss before the insurer pays the remaining amount, a feature designed partly to eliminate small nuisance claims and partly to keep the overall premium more affordable. What is this policy feature called?

Question 19: Two liability policies apply to the same covered occurrence, and one of them is written to pay first, up to its own limit, before the second policy is called upon to contribute anything further toward the loss. Which term describes the policy that must respond first in this arrangement?

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