WPCI - Washington Property and Casualty Insurance Exam

Question 21: An insurance instructor contrasts the dwelling forms and asks students how the most comprehensive dwelling form treats the dwelling itself, describing coverage for all risks of direct physical loss except those specifically excluded. Which peril basis matches that description for the dwelling structure?

Basic named perils

Open perils except those excluded

Actual cash value only

Broad named perils

Question 22: An Everett insured who bought only the minimum personal injury protection is off work after a crash and files for lost-wage income continuation benefits. She asks the minimum weekly income continuation amount the minimum schedule must provide. What is that minimum weekly benefit?

One hundred dollars per week

Seven hundred dollars per week

Two hundred dollars per week

Fifty dollars per week

Question 23: A producer explains to a new homeowner that one peril is automatically included in every homeowners form yet is never automatic under a dwelling policy, which requires an added endorsement for it. Which peril is automatically covered by all homeowners forms but not by dwelling forms?

Theft

Flood

Earthquake

War

Question 24: An insured who already has collision and other than collision coverage on two cars buys a third, additional vehicle and wants existing coverage to continue on it. He asks how many days he has to notify the insurer about the newly acquired auto. What is that reporting period?

Within four days

Within fourteen days

Within thirty days

Immediately at purchase

Question 25: A shopper wants the broadest homeowners protection so that both her house and her personal belongings are insured on an open-peril basis for all risks of direct physical loss except exclusions. Her agent identifies one form that provides special coverage on personal property. Which form is it?

The broad form

The special form

The tenants form

The comprehensive form

Question 26: The personal auto policy defines occupying as being in, upon, getting in or on, or getting out or off a vehicle. An adjuster tests whether a claimant was occupying when injured. Which described action fits the policy definition of occupying a covered auto?

Owning the parked vehicle

Washing the car at home

Getting out of the vehicle

Walking far toward the vehicle

Question 27: A named insured tells his producer he does not want underinsured motorist coverage, which Washington builds into the auto policy unless it is removed. The producer explains the only method the statute recognizes for taking that coverage out. How must underinsured motorist coverage be rejected?

In writing by the named insured

Orally at any time

By any household driver

Automatically at each renewal

Question 28: A homeowner owns a valuable diamond ring worth far more than the theft sublimit on personal property, and she wants full protection against nearly all causes of loss with no deductible. Her producer recommends a specific Section I endorsement. What advantage does that scheduled endorsement provide?

Basic named perils with a deductible

Open-peril coverage without a deductible

Liability protection for the ring

Coverage only while at home

Question 29: A dwelling owner adds the personal liability supplement, Coverage L, to protect against bodily injury and property damage claims from an occurrence. The producer states the smallest limit the coverage can be written for. What is the minimum limit for Coverage L personal liability?

Fifty thousand dollars

One thousand dollars

Twenty-five thousand dollars

One hundred thousand dollars

Question 30: During a covered liability claim the insurer posts a bail bond for the insured after an accident and pays it above the policy limit at no extra charge. A student asks which category of Part A payments this represents. Which type of payment does this describe?

A duplicate liability limit

A reduction of the limit

A supplementary payment

A punitive damages award

Question 31: A Yakima homemaker injured in a crash hires help for household tasks she can no longer perform, and her personal injury protection pays loss-of-services benefits. She asks the maximum number of weeks those benefits run from the accident date. What is that outer time limit?

Fifty-two weeks

Fifty-four weeks

One full year

Twenty-six weeks

Question 32: A homeowner's detached garage, standing well apart from the house and connected to it only by a fence, is destroyed by fire. The adjuster must place this structure under the correct homeowners coverage. Which coverage insures the detached garage separated from the dwelling?

Coverage A dwelling

Coverage C personal property

Coverage B other structures

Coverage D loss of use

Question 33: An insured's engine fails from ordinary wear and internal breakdown after years of use, and he files a claim under Part D physical damage. The adjuster explains why this particular loss is not payable. Which type of loss does Part D exclude here?

Collision with a guardrail

Theft of the entire auto

Hail damage to the roof

Ordinary mechanical breakdown and wear

Question 34: After a covered loss, a homeowner must rebuild to meet current building codes, which adds cost beyond the actual damage. She asks how much the ordinance or law additional coverage contributes toward that increased expense. What amount does that additional coverage provide?

The full replacement cost

Ten percent of Coverage A

Twenty percent of Coverage A

Nothing, it is excluded

Question 35: An at-fault driver carries liability insurance that meets the state minimum, but the injured insured's damages far exceed those small limits. The insured asks which of his own coverages pays the difference when the responsible driver has insurance that is simply not enough. Which coverage responds?

Uninsured motorists coverage

Collision coverage

Underinsured motorists coverage

Medical payments coverage

Question 36: A dinner guest slips on the insured's porch steps and needs stitches, though the insured is not clearly at fault. The homeowner wants the guest's reasonable medical bills paid promptly without proving liability. Which homeowners coverage pays a nonresident guest's medical expenses regardless of fault?

Coverage F medical payments to others

Coverage E personal liability

Coverage C personal property

Coverage D loss of use

Question 37: An owner-occupant of a single-family home wants to add theft protection, which the dwelling policy does not provide automatically. The producer selects the version of the residential theft endorsement designed specifically for a home the insured occupies. Which theft endorsement fits an owner-occupied dwelling?

Limited theft coverage endorsement

Broad theft coverage endorsement

No theft endorsement is available

Automatic theft in the base form

Question 38: When a credit-based insurance score adversely affects an applicant, the insurer must explain the significant factors that hurt the score in clear language. A producer asks how many such factors Washington rules say may be needed to describe the adverse action. How many factors may be needed?

At least ten factors

Exactly three factors

No factors need disclosure

As many as four factors

Question 39: A tenant renting an apartment buys a tenants form policy because the landlord already insures the building itself. The renter asks which coverage serves as the primary limit on her form, since she needs no dwelling coverage. Which coverage is the primary limit under the tenants form?

Coverage A dwelling

Coverage C personal property

Coverage B other structures

Coverage D loss of use

Question 40: An Olympia named insured rejected personal injury protection in writing when he first bought his auto policy. He asks whether the insurer must add it back to later policies automatically. Washington says the rejection carries forward into which later policies unless he requests it again in writing?

Supplemental, renewal, or replacement policies

Only the first renewal policy

Reinstated policies after a lapse

No future policies at all

WPCI Washington Property and Casualty Insurance Exam - Set 3 - Part 2

Question 22: An Everett insured who bought only the minimum personal injury protection is off work after a crash and files for lost-wage income continuation benefits. She asks the minimum weekly income continuation amount the minimum schedule must provide. What is that minimum weekly benefit?

Question 23: A producer explains to a new homeowner that one peril is automatically included in every homeowners form yet is never automatic under a dwelling policy, which requires an added endorsement for it. Which peril is automatically covered by all homeowners forms but not by dwelling forms?

Question 24: An insured who already has collision and other than collision coverage on two cars buys a third, additional vehicle and wants existing coverage to continue on it. He asks how many days he has to notify the insurer about the newly acquired auto. What is that reporting period?

Question 26: The personal auto policy defines occupying as being in, upon, getting in or on, or getting out or off a vehicle. An adjuster tests whether a claimant was occupying when injured. Which described action fits the policy definition of occupying a covered auto?

Question 29: A dwelling owner adds the personal liability supplement, Coverage L, to protect against bodily injury and property damage claims from an occurrence. The producer states the smallest limit the coverage can be written for. What is the minimum limit for Coverage L personal liability?

Question 30: During a covered liability claim the insurer posts a bail bond for the insured after an accident and pays it above the policy limit at no extra charge. A student asks which category of Part A payments this represents. Which type of payment does this describe?

Question 31: A Yakima homemaker injured in a crash hires help for household tasks she can no longer perform, and her personal injury protection pays loss-of-services benefits. She asks the maximum number of weeks those benefits run from the accident date. What is that outer time limit?

Question 32: A homeowner's detached garage, standing well apart from the house and connected to it only by a fence, is destroyed by fire. The adjuster must place this structure under the correct homeowners coverage. Which coverage insures the detached garage separated from the dwelling?

Question 33: An insured's engine fails from ordinary wear and internal breakdown after years of use, and he files a claim under Part D physical damage. The adjuster explains why this particular loss is not payable. Which type of loss does Part D exclude here?

Question 34: After a covered loss, a homeowner must rebuild to meet current building codes, which adds cost beyond the actual damage. She asks how much the ordinance or law additional coverage contributes toward that increased expense. What amount does that additional coverage provide?

Question 39: A tenant renting an apartment buys a tenants form policy because the landlord already insures the building itself. The renter asks which coverage serves as the primary limit on her form, since she needs no dwelling coverage. Which coverage is the primary limit under the tenants form?

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