IIA IIA Certifications IIA-CFSA Questions & Answers

• Question 291:

  Homeowner policies combine property and casualty coverage into the same policy (known as multi- line policies). Homeowner policies provide four types of property coverage. All of the following are out of those EXCEPT:

  A. Dwelling

  B. Personal property

  C. Loss of use

  D. Medical coverage

  Correct Answer: D

• Question 292:

  It provides additional living expenses when the home is unlivable, so home owners can continue to live comfortably. While the home is made livable, the homeowner policy will pay for items such as rented rooms at a hotel, restaurant meals, and laundry expenses. What is it?

  A. Dwelling

  B. Personal property

  C. Loss of use

  D. Medical coverage

  Correct Answer: C

• Question 293:

  __________pays damaged insured by the injured and the insured's passenger when injured in an auto accident caused by a motorist without liability insurance. The coverage also covers accidents caused by hit-and-run drivers.

  A. Uninsured motorist coverage

  B. Auto coverage

  C. Medical coverage

  D. Liability coverage

  Correct Answer: A

• Question 294:

  General liability insurance covers the major liability exposure of a business, including lawsuits against an organization's facilities or products. General liability insurance does not cover:

  A. Liabilities that a business incurs through the use of its automobiles

  B. Liabilities that a business incurs through the use of its labor and machinery

  C. Liabilities that a business incurs through the use of its land and other capital products

  D. All of these

  Correct Answer: A

• Question 295:

  ____________insurance provides a specified benefit amount in either of the following cases: If the insured survives to the maturity date of the policy is reached. If the insured dies before the maturity date of the policy is reached.

  A. General life insurance

  B. Whole life insurance

  C. Endowment insurance

  D. Term life insurance

  Correct Answer: C

• Question 296:

  Purchasers of universal life policies specify the policy's face amount and whether the death benefit will be level or vary as the policy's cash value changes. Under level death benefit policies the death benefit payable:

  A. Equals the policy's face amount

  B. More than the policy's face amount

  C. Less than the policy's face amount

  D. Is policy's face value plus any accumulated cash value

  Correct Answer: A

• Question 297:

  Universal life policies are a form of permanent life insurance that has flexible premiums, flexible face amounts, and separate pricing for the three major pricing categories. Which of the following is/are out of those categories?

  A. Mortality charges based on the insurer's risk classification

  B. Internet rate paid on the cash value

  C. Expenses associated with administering the policy

  D. All of these

  Correct Answer: D

• Question 298:

  For example, $50,000 five-year policy might decrease to $40,000 in benefits payable the second year, to $30,000 the third year, to $20,000 the fourth year, and to $10,000 in the final year. This is an example of:

  A. Level term insurance policies

  B. Decreasing term life insurance policies

  C. Modified premium whole life policies

  D. First-to-die policies

  Correct Answer: B

• Question 299:

  These policies provide a death benefit when the insured dies during a specified period. The term of this type of policy is usually not less than one year, but may be up to 40 years or more. It provides only temporary protection because coverage ends at the end of the term of coverage stated in the policy. What are these?

  A. Term life insurance policies

  B. Level term insurance policies

  C. Decreasing term life insurance policies

  D. Whole life insurance policies

  Correct Answer: A

• Question 300:

  _____________ insures two lives under one policy. Death benefits are paid to the surviving insured. The surviving insured usually has the option of purchasing an individual whole life policy of the same face amount without providing evidence of insurability.

  A. Joint whole life policies

  B. First-to-die policies

  C. Modified premium whole life policies

  D. A and B are one and the same category

  Correct Answer: D