TPCI - Tennessee Property and Casualty Insurance Exam

Question 21: After a blizzard near Johnson City, the weight of accumulated snow collapses the roof of an insured's dwelling. Weight of ice, sleet, and snow is not a basic or extended peril but is added by which of the following broad form additions?

BIG AFFECT perils

WCSHAVVER perils

Basic form perils

Special form exclusions

Question 22: Under a dwelling Broad Form, certain perils stop applying once the building sits empty too long. Specifically, burglary damage and accidental discharge of water are not covered if the dwelling has been vacant beyond a set number of consecutive days. How many consecutive days triggers this suspension?

Thirty consecutive days

Forty-five consecutive days

Sixty consecutive days

Ninety consecutive days

Question 23: A property owner comparing dwelling forms wants the broadest protection available on the structure itself. The DP-3 Special Form treats the dwelling and any personal property differently from each other. Which statement correctly describes how the DP-3 covers the dwelling versus personal property?

Both covered on named basis

Both covered on open basis

Named dwelling, open contents

Open dwelling, named contents

Question 24: In a dwelling policy, one of the property coverages pays for the house itself, structures attached to it such as an attached garage, and building materials on site for its repair or construction. Which coverage letter provides this protection for the main structure?

Coverage C

Coverage A

Coverage D

Coverage B

Question 25: A dwelling policy also covers a detached garage standing fifty feet behind the main house and connected only by a fence, provided it is not used for business or farming. Which coverage letter insures such separate, appurtenant structures on the premises?

Coverage B

Coverage A

Coverage C

Coverage E

Question 26: A covered fire makes a Memphis rental house unfit to live in, and the owner loses the rent the tenant would have paid during repairs. In the dwelling program, twenty percent of the dwelling amount is available for this. Which coverage responds?

Coverage E

Coverage B

Coverage D

Coverage L

Question 27: The Johnson family occupies their Chattanooga home under a DP-3 when a covered fire forces them into a motel for two months, adding dining and laundry costs. Which coverage, included automatically in DP-2 and DP-3, reimburses these additional living expenses?

Coverage C

Coverage D

Coverage B

Coverage E

Question 28: An agent reviews properties for dwelling policy eligibility, including a vacation cabin, a rental duplex, and a working farm dwelling. Dwelling policies insure residences with up to four units but exclude one of these outright. Which property is not eligible for a dwelling policy?

The vacation cabin

The farm dwelling

The rental duplex

A home under construction

Question 29: A home in the limestone karst region of Middle Tennessee suffers damage when a sinkhole opens beneath the foundation and the ground subsides. All dwelling forms treat earth movement, including sinkholes and subsidence, the same way. How does a standard dwelling policy handle this loss?

Excluded as earth movement

Covered as a basic peril

Covered under collapse

Covered with no limit

Question 30: Heavy spring rains swell the Cumberland River and floodwater rises into an insured's dwelling near the riverbank, ruining the lower floor. The owner files a claim under a DP-3 Special Form. How will the insurer most likely respond to this water damage?

Pay under open peril

Pay as accidental discharge

Deny as excluded flood

Pay under collapse

Question 31: An owner adds the personal liability supplement to a dwelling policy so the insurer will defend and pay when the insured is legally liable for bodily injury or property damage to others. What is the standard minimum limit for Coverage L, personal liability?

One thousand dollars

Twenty-five thousand dollars

Fifty thousand dollars

One hundred thousand dollars

Question 32: Under the medical payments to others coverage on a dwelling liability supplement, the insurer pays necessary medical expenses for a covered injury regardless of fault. Within what period after the accident must those expenses be incurred for the coverage to respond?

One year

Three years

Five years

Ten years

Question 33: Theft is not automatically covered by a dwelling policy, so an insured may add a residential theft endorsement. One version applies only to owner-occupied dwellings and can cover on-premises and off-premises theft. Which endorsement is available only to owner-occupied dwellings?

Broad theft endorsement

Limited theft endorsement

Automatic increase endorsement

Dwelling under construction endorsement

Question 34: To keep a dwelling's limits from lagging behind rising construction costs, an insured attaches an endorsement that raises the Coverage A and Coverage B amounts by a set percentage each year, such as four, six, or eight percent. Which endorsement does this?

Broad theft endorsement

Mobile home endorsement

Automatic increase in insurance

Ordinance or law endorsement

Question 35: A lender is listed on a dwelling policy under the standard mortgage clause. The insured deliberately burns down the mortgaged home and is convicted of arson. Regarding the mortgagee's right to be paid its insurable interest, what does the standard mortgage clause provide?

The mortgagee is also barred

Only the insured is paid

No one is paid

The mortgagee is still paid

Question 36: A dry cleaner in Nashville temporarily holds a customer's clothing when a fire damages the shop and the garments. A condition in the customer's property policy prevents the dry cleaner from benefiting from that policy while holding the goods. Which condition is this?

Standard mortgage clause

No benefit to bailee

Loss payable clause

Salvage condition

Question 37: An insured and insurer agree that a fire loss is covered but cannot agree on the dollar amount. Each side hires an appraiser, the two appraisers select an umpire, and agreement by any two of the three sets the figure. Which policy condition is being used?

Appraisal condition

Arbitration condition

Salvage condition

Subrogation condition

Question 38: Unlike a monoline dwelling policy, one residential contract combines property protection and personal liability protection within a single document, helping the insured avoid gaps and overlaps in coverage. Which description correctly characterizes the homeowners policy for this reason?

A monoline policy

A property-only policy

A package multiline policy

A liability-only policy

Question 39: A tenant renting an apartment in Knoxville owns no part of the building but wants to insure her furniture and belongings on a broad named peril basis, plus liability. The landlord already insures the structure. Which homeowners form fits her needs?

HO-2

HO-6

HO-8

HO-4

Question 40: Thomas wants the broadest homeowners protection, with open peril coverage on both his dwelling and his personal property so nearly every direct cause of loss is covered unless excluded. Which homeowners form provides this comprehensive open peril treatment for the structure and contents alike?

HO-3

HO-5

HO-4

HO-8

TPCI Tennessee Property and Casualty Insurance Exam - Set 2 - Part 2

Question 21: After a blizzard near Johnson City, the weight of accumulated snow collapses the roof of an insured's dwelling. Weight of ice, sleet, and snow is not a basic or extended peril but is added by which of the following broad form additions?

Question 24: In a dwelling policy, one of the property coverages pays for the house itself, structures attached to it such as an attached garage, and building materials on site for its repair or construction. Which coverage letter provides this protection for the main structure?

Question 25: A dwelling policy also covers a detached garage standing fifty feet behind the main house and connected only by a fence, provided it is not used for business or farming. Which coverage letter insures such separate, appurtenant structures on the premises?

Question 26: A covered fire makes a Memphis rental house unfit to live in, and the owner loses the rent the tenant would have paid during repairs. In the dwelling program, twenty percent of the dwelling amount is available for this. Which coverage responds?

Question 27: The Johnson family occupies their Chattanooga home under a DP-3 when a covered fire forces them into a motel for two months, adding dining and laundry costs. Which coverage, included automatically in DP-2 and DP-3, reimburses these additional living expenses?

Question 28: An agent reviews properties for dwelling policy eligibility, including a vacation cabin, a rental duplex, and a working farm dwelling. Dwelling policies insure residences with up to four units but exclude one of these outright. Which property is not eligible for a dwelling policy?

Question 29: A home in the limestone karst region of Middle Tennessee suffers damage when a sinkhole opens beneath the foundation and the ground subsides. All dwelling forms treat earth movement, including sinkholes and subsidence, the same way. How does a standard dwelling policy handle this loss?

Question 30: Heavy spring rains swell the Cumberland River and floodwater rises into an insured's dwelling near the riverbank, ruining the lower floor. The owner files a claim under a DP-3 Special Form. How will the insurer most likely respond to this water damage?

Question 31: An owner adds the personal liability supplement to a dwelling policy so the insurer will defend and pay when the insured is legally liable for bodily injury or property damage to others. What is the standard minimum limit for Coverage L, personal liability?

Question 32: Under the medical payments to others coverage on a dwelling liability supplement, the insurer pays necessary medical expenses for a covered injury regardless of fault. Within what period after the accident must those expenses be incurred for the coverage to respond?

Question 33: Theft is not automatically covered by a dwelling policy, so an insured may add a residential theft endorsement. One version applies only to owner-occupied dwellings and can cover on-premises and off-premises theft. Which endorsement is available only to owner-occupied dwellings?

Question 34: To keep a dwelling's limits from lagging behind rising construction costs, an insured attaches an endorsement that raises the Coverage A and Coverage B amounts by a set percentage each year, such as four, six, or eight percent. Which endorsement does this?

Question 35: A lender is listed on a dwelling policy under the standard mortgage clause. The insured deliberately burns down the mortgaged home and is convicted of arson. Regarding the mortgagee's right to be paid its insurable interest, what does the standard mortgage clause provide?

Question 36: A dry cleaner in Nashville temporarily holds a customer's clothing when a fire damages the shop and the garments. A condition in the customer's property policy prevents the dry cleaner from benefiting from that policy while holding the goods. Which condition is this?

Question 37: An insured and insurer agree that a fire loss is covered but cannot agree on the dollar amount. Each side hires an appraiser, the two appraisers select an umpire, and agreement by any two of the three sets the figure. Which policy condition is being used?

Question 38: Unlike a monoline dwelling policy, one residential contract combines property protection and personal liability protection within a single document, helping the insured avoid gaps and overlaps in coverage. Which description correctly characterizes the homeowners policy for this reason?

Question 39: A tenant renting an apartment in Knoxville owns no part of the building but wants to insure her furniture and belongings on a broad named peril basis, plus liability. The landlord already insures the structure. Which homeowners form fits her needs?

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