This means that it covers both damage to property and liability or legal responsibility for any injuries and property. Start studying property and casualty insurance exam questions and answers part one. Despite the fundamental role property casualty insurance plays in the lives of virtually every american, relatively few. Casualty insurance provides protection against damages to property and losses from legal liability that are not covered under the policies describe above. Propertycasualty insurance basics was developed to provide you a general overview of the propertycasualty industry and offer some basic information on how our business began and how it operates today. What are the four characteristics of an insurance contract. We hope this article on property and casualty insurance glossary was informative. Property and casualty insurance basics flashcards quizlet. It is a contract between the policyholder and the insurance company. Topics include underwriting, property coverages basic, broad and special form, liability coverage including common legal defenses, and common policy provisions.
The property and casualty exam is broken up into two parts, general knowledge and state specific. Insurance basics property insurance basics casualty insurance basics types of personal lines policies types of commercial lines policies policy provisions and endorsements texas state insurance law. Technically, the basic function of property casualty insurance is the transfer of risk. Learn vocabulary, terms, and more with flashcards, games, and other study tools. It does this substituting payment of a small, known feean insurance premiumto a professional insurer in exchange for the assumption of the risk a large loss, and a promise to pay in the event of such a loss. While the products cover a wide variety of areas, they are all designed to protect.
Make property and casualty insurance part of your strategy to protect and grow your business. Mar 15, 2019 interested in getting your property and or casualty insurance license. Policy covers all of your business needs, but a standalone business owners policy may provide needed protection against a covered. Insurance is the way to do that, and today well be testing your knowledge on property and casualty insurance licenses.
By spreading the risk, we are reducing the financial impact of an individual loss. Liability losses are losses that occur as a result of the insured s interactions with others or their property. Auto insurance basics auto insurance protects against financial loss in the event of an accident. Insurance handbook insurance information institute. If you are not adequately insured, you risk losing your business. Conditional what are the three types of forprofit insurers in terms of their home office and state of. Learn insurance industry vocabulary that will help you better understand your insurance. This 9th edition of this guide supplies you with basic knowledge, yet it covers a wide breadth of information. Property casualty insurance guide department of financial services. An insurance contract is aleatory because it is contingent on an uncertain event a loss. An insurance policy is an adhesion contract because one party the insurer has more power. Insurance journal s top 100 independent propertycasualty agencies list.
For example, techniques used to price shorttailed lines of insurance e. Property casualty 360 provides brokers, agents, carrier executives and claims professionals with indepth coverage of the products, practices and strategies necessary to guide their clients through all facets of the insurance. Property and casualty insurance basics 14 ce credits 50 question final is an overview of basic insurance concepts and principles. Propertycasualty insurance basics was developed to provide you a general overview of the propertycasualty industry and offer some basic information on how our business began and how it operates. It is intended to be a single educational text to prepare actuarial candidates practicing around the world for basic. Homeowners insurance helps protect your home and your belongings against covered perils, such as theft or fire. Homeowners insurance is one type of property and casualty product, as is renters insurance, auto insurance, and powersports insurance. Casualty insurance protection against financial loss due to legal liability as a result of bodily injury bi or property damage pd resulting from an accident caused by an insured. Make property and casualty insurance part of your strategy to protect.
Property and casualty insurance license exam study guide. Property and casualty insurance license the basics. Or do you want to learn more about the basics of property and casualty insurance for ce credit. It should be noted that agents work exclusively for the insurance company. Casualty insurance is more difficult to define because it includes a wide variety of basically unrelated insurance products.
Lets say arthur is backing out of his driveway and hits beatrices parked car. Basic ratemaking geoff werner, fcas, maaa and claudine modlin, fcas, maaa willis towers watson this text outlines basic property casualty insurance ratemaking concepts and techniques. Check out our insurance license study options for your state here or our property and casualty principles, 4th edition insurance continuing education course for your state here. It does this substituting payment of a small, known feean insurance premiumto a professional insurer. Commercial property insurance coverage varies, but theyre generally classified by the type of event leading to a loss, and by what things are insured. The ultimate how to insurance guide for agents, brokers, underwriters and adjusters. Insurance is a method for spreading the risk of a financial loss among a large number of people. Insured person means the person who is covered by the insurance policy or the one who avails the benefit of the policy and the insurer is the insurance. Insurance is a contract that transfers the risk of financial loss from an individual or business to an insurance.
It clearly and concisely covers the following test topics. Student selfstudies and receives a ce certificate after passing an onsite home or office exam. Probably the best example of this would be an auto accident. Property and casualty insurance concepts simplified the ultimate how to insurance guide for agents, brokers, underwriters and adjusters chris boggs is a master of honing in on the crucial. Below are some of the possible categories for this exam. Lets talk about some of the basic elements of property and casualty insurance and how they. Your homeowners coverage iii this video from iii covers some of the basics of homeowner coverage. Property casualty insurance basics 14 credits ce course. Oct 22, 2019 in reality, you can never predict what might happen to you, your belongings or the place you live, and so its essential to take preliminary measures, so you havent left up a creek without a panel when tragedy strikes. Propertycasualty and life insurance policies were once sold almost exclusively. One of the most important types of casualty insurance is liability insurance.
Sharing, or pooling, of risk is the central concept of the business of insurance. In addition, property casualty insurance helps provide and maintain a reliable foundation for our economy. Property and casualty insurance concepts simplified the ultimate how to insurance guide for agents, brokers, underwriters and adjusters. The last four chapters cover casualty insurance basics. It is intended to provide temporary insurance protection to the consumer pending a formal policy being issued by the insurance company.
From mitigating costs during a major storm to protecting your reputation during a lawsuit, property and casualty insurance is a category of insurance. Students learn specific steps to follow when investigating auto liability, workers. Actuaries employ a variety of ratemaking techniques depending on specific circumstances. There will be a state specific portion of the exam as well. The basic distinction between traditional risk management and enterprisewide risk management loss exposures describe the following elements of property, liability, personnel, and net income loss exposures. Liberalization a clause in propertycasualty insurance contracts which states that if policy or endorsement forms are broadened and no additional premium is required, then all existing similar policies or endorsements will be construed to include the. The methods described focus on those used by practitioners, including the dividend. Live class instruction and 5 days to watch the recorded class after it ends is included with this package.
The purpose of an insurance is to provide protection against the risk of any financial loss. Oct 11, 2017 property and casualty insurance explained. Insurance companies hugely rely upon software, which supports them in managing customer data, developing forms etc, hence software testing plays a vital role in the insurance sector. Auto insurance provides property, liability and medical coverage. Captive agents represent a single insurance company.
By spreading the risk, we are reducing the financial impact of an individual. Again, some states split the property exam and the casualty exam, so be sure to understand how your state works. Casualty insurance means that the policy includes liability coverage to help protect you. For property and casualty insurance, the insurable interest must exist at the time the loss occurs. Property insurance protection against financial loss due to loss of or damage to real or personal property due to fire, windstorm, hail, etc. Property and casualty insurance glossary the bottom line. An insurance contract is a personal contract because it insures a person, not property. We intend to add more definitions as we find more terms that might useful to our users and insurance consumers.
Nov 10, 2019 basics of insurance are explained clearly in this insurance domain knowledge tutorial. This book presents the basic procedures and relevant laws for property and casualty claim investigations. Insurance for dummies pdf 2019 edition free download. Insurance essentials is a comprehensive guide that teaches the basics of property and casualty insurance. How to pass the insurance exam tips,tricks, practice tests. Learning objectives for property casualty insurance. Insurance is a contract between the insurer and the insured person or a group.
Property and casualty property casualty insurance news. Property and casualty insurance exam practice questions. Indiana property and casualty examination content outline 160 questions total time limit 2 hours and 40 minutes revised 812018 additional nonscored trial questions may be added to exam. Casualty insurance means that the policy includes liability coverage. General insurance property basics casualty liability basics dwelling policy homeowners policy personal auto policy miscellaneous personal lines coverage commercial property insurance commercial general liability coverage commercial auto coverage commercial crime part miscellaneous commercial policies state law can be up to of your state. Commercial property and casualty insurance is key for ensuring your business success both now and in the future. May 18, 2018 thank you for visiting and please subscribe. Property and casualty insurance concepts simplified the. Property and casualty insurance covers a broad range of products that are designed for personal and commercial clients. C insurance essentials is a comprehensive guide that teaches the basics of property and casualty insurance. Total access ce is our most convenient and economical way to renew your insurance license and continue producing. The idea has the beauty of simplicity combined with practicality. We will use the term liability insurance to describe insurance. Through aias dedicated staff and inhouse policy team, we stand ready to assist your office on the pressing issues facing the.
Start studying property and casualty insurance basics. Property and casualty insurance concepts simplified the ultimate. What is commercial property and casualty insurance. Property and casualty insurance exam questions and answers. This 9th edition of this guide supplies you with basic. Lets talk about some of the basic elements of property and casualty insurance and how they can help you in. The policyholder agrees to pay the premium and the insurance company agrees to pay losses as defined in the policy. A regulators introduction to the insurance industry naic. Learn about property and casualty insurance in this article from.
An insurance policy is an adhesion contract because one party the insurer has more power than the other party in drafting the contract. Property and casualty insurance license exam manual property and casualty insurance. Property and casualty insurance is sold to businesses. Become familiar with professional liability, property, casualty, and other insurance coverages professional services firms should know about. Property insurance helps cover stuff you own like your home or your car. Real property land and attached structures personal property items not attached to land or dwelling, such as clothing, jewelry, etc. Insurance the concept of insurance is really quite simple. Its aim is to reduce financial uncertainty and make accidental loss manageable. Use this informative property and casualty insurance glossary to better understand basic insurance terms and definitions.364 1104 296 1474 679 360 850 832 591 1319 252 997 172 352 839 1218 551 1017 177 1030 906 337 1213 46 110 303 151 163 1069