Garagekeepers Coverage Quiz PDF

1. What does the Garagekeepers coverage include for a customer's vehicle? a) Only physical damage b) Theft and vandalism c) Loss due to collision d) Comprehensive, speciﬁed causes of loss, and collision Answer: d) Comprehensive, speciﬁed causes of loss, and collision 2. What is excluded from coverage under Comprehensive Coverage for a customer's auto? a) Fire b) Theft c) Collision with another object d) Damage due to vandalism Answer: c) Collision with another object 3. What does "Speciﬁed Causes of Loss Coverage" cover for a customer's auto? a) All perils including collisions b) Theft, ﬁre, and vandalism only c) Windstorm, hail, earthquake, and ﬂood d) All of the above Answer: d) All of the above 4. Who is considered an "insured" under Garagekeepers coverage? a) Only the ﬁrst named insured b) The ﬁrst named insured and their employees c) The named insured, their employees, and any authorized drivers d) Only family members of the insured Answer: c) The named insured, their employees, and any authorized drivers 5. What type of damage does Collision Coverage include? a) Fire b) Theft c) Collision with another object or overturn d) Loss due to mischief Answer: c) Collision with another object or overturn 6. How does the policy deﬁne "garage operations"? a) Operations involving only covered autos b) All business activities conducted by the insured c) Operations involving the ownership, maintenance, or use of covered autos d) Only repair and service work Answer: c) Operations involving the ownership, maintenance, or use of covered autos 7. What is excluded under "Care, Custody or Control" for Garagekeepers coverage? a) Customer’s auto left for repair b) Property owned by the insured c) Property used in the insured’s business d) All of the above Answer: d) All of the above 8. What is the maximum deductible for loss caused by theft or mischief in a single event under Garagekeepers coverage? a) The deductible speciﬁed in the Declarations b) $5,000 c) $1,000 d) No deductible Answer: a) The deductible speciﬁed in the Declarations 9. What is the coverage limit for "loss" to a customer's auto for Garagekeepers coverage? a) As stated in the Declarations b) $50,000 c) $100,000 d) Unlimited Answer: a) As stated in the Declarations 10. What is the coverage for "loss" due to mischief or vandalism under Garagekeepers coverage? a) Only the loss of property b) Coverage for damage caused by malicious actions c) Excluded from all forms of coverage d) Only for speciﬁc causes Answer: b) Coverage for damage caused by malicious actions 11. Who is responsible for paying the premium for the Garagekeepers policy? a) The insurance company b) The ﬁrst named insured c) Any authorized agent d) The policyholder's employees Answer: b) The ﬁrst named insured 12. What happens if an insured violates the U.S. economic and trade sanctions under the policy's Economic and Trade Sanctions Condition? a) The policy remains in force b) The policy will be void from inception c) Coverage is extended d) Only certain terms are void Answer: b) The policy will be void from inception 13. What is the maximum deductible for "loss" caused by theft or mischief for a single event under Garagekeepers coverage? a) The speciﬁed amount in the Declarations b) $10,000 c) $100 d) $1,000 Answer: a) The speciﬁed amount in the Declarations 14. Which of the following is a duty of the insurer in the event of a claim under the policy? a) Pay all claims immediately b) Investigate and settle claims c) Determine who caused the accident d) Refund premiums Answer: b) Investigate and settle claims 15. What is the responsibility of the insured under the "Examination of Your Books and Records" clause? a) The insured must maintain all records for up to ﬁve years b) The insurer may audit the insured's books and records up to three years after the policy period c) The insured must provide all ﬁnancial records d) There is no responsibility Answer: b) The insurer may audit the insured's books and records up to three years after the policy period 16. What happens if the insurer cancels the policy for non-payment of premium? a) 10 days’ notice is required b) 30 days’ notice is required c) No notice is required d) The policyholder must pay a late fee Answer: a) 10 days’ notice is required 17. What is the policy's coverage for "loss" caused by a covered auto collision with another object? a) Speciﬁed Causes of Loss Coverage b) Comprehensive Coverage c) Collision Coverage d) Garage Operations Coverage Answer: c) Collision Coverage 18. How is the insurance coverage extended for out-of-state vehicles? a) Coverage is restricted to the home state only b) The insurer increases the liability limit to meet state requirements c) The coverage becomes void d) Only collision damage is covered Answer: b) The insurer increases the liability limit to meet state requirements 19. What is the limit of insurance for "Garage Operations" other than covered autos? a) Per vehicle b) The aggregate limit shown in the Declarations c) Unlimited d) $1,000,000 Answer: b) The aggregate limit shown in the Declarations 20. What is the policy’s coverage for "personal injury" liability under "Garage Operations"? a) Excluded from coverage b) Coverage is limited to $500,000 c) Personal injury liability coverage is provided if included by endorsement d) Coverage is provided for all personal injuries Answer: c) Personal injury liability coverage is provided if included by endorsement 21. What is the term used for vehicles owned by the insured in the policy? a) Covered Autos b) Leased Autos c) Non-owned Autos d) Substitute Autos Answer: a) Covered Autos 22. What is the policy’s stance on "loss of use" for property not physically damaged? a) It is covered under all circumstances b) Loss of use due to defective products is excluded c) Only loss of use caused by sudden and accidental damage is covered d) There is no coverage for loss of use Answer: c) Only loss of use caused by sudden and accidental damage is covered 23. What does the policy say about property owned by the insured and damaged? a) It is always covered b) It is covered only if it is used for business c) It is not covered under the Care, Custody or Control exclusion d) Coverage is provided for all property owned by the insured Answer: c) It is not covered under the Care, Custody or Control exclusion 24. Which of the following is excluded from coverage under "Products Recall"? a) Defective parts returned for replacement b) Loss of use due to a product defect c) Costs for repairs or replacements of faulty products d) Coverage for destruction caused by a recall Answer: b) Loss of use due to a product defect 25. Under the policy, what is the coverage for a "temporary substitute vehicle"? a) No coverage is provided b) Coverage is limited to property damage only c) Coverage is provided for all damages while the covered vehicle is out of service d) Only liability coverage is extended Answer: c) Coverage is provided for all damages while the covered vehicle is out of service 26. What is excluded under the policy’s "Pollution Exclusion"? a) Bodily injury caused by pollutants b) Damage to the insured’s property c) Damage caused by pollutants during an accident d) All of the above Answer: a) Bodily injury caused by pollutants 27. What is the maximum deductible for property damage under the policy? a) As speciﬁed in the Declarations b) $500 c) $1,000 d) $100 Answer: a) As speciﬁed in the Declarations 28. What is covered under "Supplementary Payments"? a) All expenses the insured incurs b) Cost of bail bonds up to $2,000 c) Court costs taxed against the insured d) All of the above Answer: d) All of the above 29. What does the policy say about claims involving war or insurrection? a) All claims related to war are covered b) Coverage is limited for claims arising from war c) War-related claims are excluded from coverage d) Only claims caused by natural disasters during war are covered Answer: c) War-related claims are excluded from coverage 30. What happens if the deductible is paid by the insurer in part? a) The insured must reimburse the insurer for the deductible b) The deductible is waived c) The deductible amount is refunded to the insured d) The insurer deducts it from the next premium Answer: a) The insured must reimburse the insurer for the deductible 31. What is the coverage for a customer’s auto while left with the insured for service, repair, or safekeeping? a) No coverage is provided b) Comprehensive, Speciﬁed Causes of Loss, and Collision Coverage c) Only ﬁre damage is covered d) Only theft is covered Answer: b) Comprehensive, Speciﬁed Causes of Loss, and Collision Coverage 32. What is the coverage limit for damages to a customer’s vehicle? a) As speciﬁed in the Declarations b) $50,000 c) $100,000 d) $1,000,000 Answer: a) As speciﬁed in the Declarations 33. Under what circumstance is the insurer obligated to defend the insured? a) Only if the claim is approved b) Only when liability limits are exceeded c) For claims involving bodily injury and property damage under garage operations d) No defense obligation is provided Answer: c) For claims involving bodily injury and property damage under garage operations 34. What is the maximum coverage limit for "loss" to customer’s auto in a single event? a) $100,000 b) As speciﬁed in the Declarations c) $50,000 d) Unlimited Answer: b) As speciﬁed in the Declarations 35. What is the insurance coverage for “property damage” due to faulty work? a) Fully covered b) Excluded under the policy c) Covered only for external damages d) Covered if reported within 30 days Answer: b) Excluded under the policy 36. What does the "Non-Renewal" provision state? a) The insurer is required to renew the policy automatically b) The insurer must provide at least 30 days' notice before non-renewal c) No notice is required for non-renewal d) The policy is always renewed unless canceled by the insured Answer: b) The insurer must provide at least 30 days' notice before non-renewal 37. What is the deductible for physical damage caused to a covered auto under the policy? a) As speciﬁed in the Declarations b) $1,000 c) $500 d) No deductible is applied Answer: a) As speciﬁed in the Declarations 38. What happens in the event of a claim for "loss" to the vehicle due to vandalism? a) The policy does not cover vandalism b) Coverage is provided if the loss meets the terms outlined under Comprehensive Coverage c) Only theft-related claims are covered d) The insured must pay the entire deductible amount Answer: b) Coverage is provided if the loss meets the terms outlined under Comprehensive Coverage 39. What is covered under "Medical Payments" in the policy? a) Medical expenses for bodily injuries sustained by the insured b) Medical expenses for bodily injury resulting from auto accidents c) Medical expenses related to garage operations d) Medical expenses for customer injuries only Answer: b) Medical expenses for bodily injury resulting from auto accidents 40. What is the policy’s stance on claims for "products recall"? a) The policy covers the full cost of recalling products b) Loss due to product recall is excluded c) Limited coverage is provided for product recalls d) Coverage is provided only if the recall is mandated by a government agency Answer: b) Loss due to product recall is excluded

Garagekeepers Coverage Quiz PDF

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