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  4. Casualty Insurance Basics

Free Casualty Insurance Basics Practice Questions

California Casualty Broker-Agent exam (series Casualty) — 42 practice questions.

Subtopics: Fault system, UM offer, Good driver discount, Compensatory damages, Special damages, General damages, Punitive damages, Strict liability, Vicarious liability, Absolute liability, Negligence elements, Proximate cause, Comparative negligence, Assumption of risk, Accident vs occurrence, Split limits, Combined single limit, Aggregate limit, Duty to defend, Supplementary payments, First named insured, Duties after loss, Other insurance, Underwriting purpose, Rate development, Subrogation condition, Liberalization, Policy territory, Hazard types, Claim settlement options, Cancellation pro rata, Loss payable, No benefit to bailee, Duties assignment, Negligence per se, Res ipsa loquitur, Intervening cause, Terrorism program, Bodily injury defined, Property damage defined, Insured contract, Self-insured retention

Sample questions & answers

1. For automobile liability, California is a:

Tort (at-fault) state

California is a traditional tort (at-fault) state; it does not use a no-fault or PIP automobile system.

2. In California, uninsured motorist coverage on an auto policy must be:

Offered to the insured, who may reject it in writing

California insurers must offer uninsured motorist coverage; the named insured may reject it in writing.

3. Under Proposition 103, a qualified California good driver is entitled to a rate at least:

20% below otherwise

California requires a Good Driver Discount policy rate at least 20 percent below the otherwise applicable rate.

4. Compensatory damages are intended to:

Reimburse the injured party for actual losses

Compensatory damages reimburse the injured party for actual losses, both economic and non-economic.

All Casualty Broker-Agent topics

Practice: Casualty Insurance Basics

Take a randomized, timed-style practice test. Answer choices are shuffled and your results are scored instantly with an explanation for every question.

Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Pennsylvania Insurance Department and the exam administrator before relying on it.