CPCU 522 (BUSINESS INSURANCE) EXAM
QUESTIONS AND ANSWERS COMPLETE RATED
A.
A cybercrime ensuring agreement covers
Verified Answer -Theft of money and securities. (A cybercrime ensuring
agreement covers theft of money and securities.
Unless it is adjusted by agreement, what do the rules of ISO's Commercial
Lines Manual establish as the basic limit for the damage to premises
rented to you under the Commercial General Liability Coverage Form?
Verified Answer -$100,000 (The Commercial Lines Manual sets the basic
limit at $100,000.
Acme Manufacturing Company is insured under two primary Commercial
General Liability (CGL) policies. Policy A has an each-occurrence limit of
$1,000,000 and Policy B has an each-occurrence limit of $2,000,000.
Acme submitted a claim for $2,400,000 arising from a single occurrence
for an incident that is covered by both policies. How much of the claim is
payable under Policy B if the loss payment is based upon contribution by
equal shares?
Verified Answer -$1,400,000 (Each policy pays an equal amount, but
Policy A limit exhausted at $1,000,000, so Policy B pays an extra
$400,000 for a total of $1,400,000.
Commercial auto liability premium tables list premiums for private
passenger autos by rating territory and by
Verified Answer -Policy limit. (Liability premium tables list premiums by
rating territory and by policy limit.