1. Exam Prep
  2. New Mexico
  3. Personal Lines
  4. Claims and Provisions

Free Claims and Provisions Practice Questions

New Mexico Personal Lines exam — 73 practice questions.

Subtopics: Proof of loss, Appraisal clause, Subrogation, Salvage, Prompt payment, Pro rata cancellation, Premium refund math, Concealment, Insurable interest, Binder, Mortgagee rights, Loss payable, HO purpose, HO-3 special form, HO-5 comprehensive, HO-4 renters, HO-6 condo, HO-8 modified, Coverage A, Coverage B, Coverage C, Coverage D, Coverage E, Coverage F, Medical payments exclusion, Special limits jewelry, Scheduled personal property, Coverage C off-premises, Replacement cost dwelling, Personal property loss settlement, Liability exclusion business, Liability exclusion intentional, Auto exclusion, Additional coverage debris removal, Loss assessment, Ordinance or law, Water backup endorsement, Earthquake exclusion, Flood exclusion, Section II exclusion own injury, Eligibility owner-occupied, Identity theft endorsement, HO-2 broad form, Coverage B default, Coverage D default, Trees shrubs plants limit, Credit card forgery coverage, Fire department service charge, Collapse coverage, Reasonable repairs, Property removed, Special limit money, Special limit securities, Special limit silverware theft, Special limit firearms theft, Special limit business property, Off-premises property limit, Mold limitation, Section I deductible, Damage to property of others, First aid expenses, Claim expenses, Business pursuits endorsement, Permitted incidental occupancy, Watercraft liability, Personal injury endorsement, Insured location definition, Residence premises definition, Property of others under Coverage C, Severability of insurance, Refrigerated property endorsement, Building materials under Coverage A, Coinsurance calculation

Sample questions & answers

1. After a covered homeowners loss in New Mexico the insured is generally required to:

Submit a signed proof of loss within the time the policy requires

The insured must submit a signed, sworn proof of loss within the period the policy specifies after a covered loss.

2. The appraisal provision in a New Mexico property policy is used when the insurer and insured:

Disagree on the amount of a covered loss

The appraisal clause provides a method to resolve disputes over the amount of loss using independent appraisers and an umpire.

3. After paying a New Mexico insured's claim the insurer's right to recover from the responsible third party is called:

Subrogation

Subrogation lets the insurer pursue the at-fault third party to recover amounts it paid to its insured.

4. When a New Mexico auto insurer pays a total loss and takes the damaged vehicle the recovered property is referred to as:

Salvage

Salvage is the damaged property the insurer takes title to after paying a total loss, which it may sell to offset the claim.

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Practice: Claims and Provisions

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 Insurance Department and the exam administrator before relying on it.