Ch 1-2
Agents/Producers can …
Sell,solicit and negotiate insurance contracts
What gives immediate temporary insurance?
Binder
Minimum auto liability in VA
30/60/20
Single limit for a single property
Specific limit
Always excluded on dwelling unless endorsed
Theft
Fines for unintentional vs intentional violations
Unintentional 1000 max 10,000
Intentional 5,000 no max
4 elements that prove negligence
Duty to Act
Breach of duty
Damages
Proximate Cause
Indirectly responsible for someone’s actions (parent/child or employer/employee)
Vicarious liability
Todays price no depreciation
Replacement cost
Extended coverage perils
Wind,hail,aircraft,riot or civil commotion,vehicles,volcanic activity,explosions,smoke
What are the powers of the SCC?
Regulates all VA insurance
Issues rules and regulations
Certificates of authority are issued
Enforces and administers laws
Parts of a policy
Declarations
Insuring Agreement
Conditions
Exclusions
Loss of income on PAP
100 per wk over 52 wks
Homeowner policy provides special peril for real property and broad peril for personal property
HO-3
Boat policy’s do not cover…
Loss of use
Requirements to become a resident producer
Good character
Residency compliant
Application evaluated
Pass state exam
Eighteen or older
Purpose of Virginia P&C Guaranty Association
Pay claims when an insurance company is insolvent
Endorsement to cover two unrelated people who own a vehicle together
Joint ownership policy
When property is insured under more than one policy, what clause determines the liability for each ?
Other insurance clause
Purpose of an umbrella policy
Broader coverage with higher liability limits
Returning the insured back to their pre-loss state
Indemnify
Coverage for damage to someone’s reputation
Personal injury liability
Endorsement must be offered when carrying physical damage coverage on a vehicle
Rental reimbursement
More than one policy is covering the same property, how is the loss shared?
Pro-rata distribution
Property limit on flood insurance
250,000