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47 Cards in this Set
- Front
- Back
wht are 2 sources of automobile insurance in canada |
- private insurers - government insureres |
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what does s.p.f stand for |
standard policy form |
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what does s.e.f stand for |
standard endorsement form |
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which 3 common law provinces currently have government automobile schemes |
-bc -saskatchewan -manitobia |
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identify the minium amount of TPL required in common law provinces |
$200,000 |
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s.e.f. 44 family protection endorsement provides valuable coverage for insureds. when will this endorsement respond to bodily injury losses of insureds |
this endorsement will respond when insureds are injured or killed by an under-insured motorist on uninsured motorist |
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how does the SEF 44 operate |
this endorsement will raise the tpl limits of the at fault opperator to the amount of the insureds tpl limits |
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indicate how coverage amounts are determined using this sef 44 |
the sef 44 family protection endorsement will provide the difference between the insureds tpl limit and the tpl limit of the at fault driver |
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your insured has $1,000,000 tpl coverage with the sef 44. she is injured by an inderinured driver who only carries $200,000 in tpl coverage. your insured successfully sues the responsible party and recieves a judgment in the amount of $1,000,000 indicate the amounts paid by the following policies : A)responsible drivers B)insureds policy |
A) $200,000 B)$800,000 |
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accident benefits are paid to injured parties on a no fault basis. what does this mean |
accident benefits are available regardless of who is at fault |
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what coverage options are available to insured when they wish to insure their own automobile |
-all perils -collision or upset -comprehensive -specified perils |
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what are the 2 conditions of coverage found in loss of use by theft which is included automatically in all automobile policies insuring the peril of theft
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- coverage is provided for 25-30$ per day - coverage is provided for up to 30 days |
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how does the s.e.f. no 20 loss of use endorsement differ from the loss of use by theft coverage? |
s.e.f no 20 loss of use endorsement will provide coverage for loss of use expenses when insured automobiles are damages from any insured perils, not just left |
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what are 2 expenses covered by the s.e.f no 20 loss of use endorsement |
-costs to rent substitute automobile -costs to use taxicabs or public means of transportation |
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what are the 3 triggers of coverage in the s.e.f. no 20 loss of use endorsement |
-when insured automobile cannot be operated under its own power, coverage begins immediately -when insures automobile is stolen coverage begins day following report to police or insurer -in all other cases when insured automobile is dropped off for repairs coverage begins |
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your client rents their automobiles on a long term basis (usually under 2 weeks) what endorsement is needed to provide coverage on these rented auto mobiles |
s.e.f no 5c permission to rent of lease endorsement |
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your client leases their automobiles on a long term basis ( usually 2-3 years ) what endorsement is needed to provide coverage on these leased automobiles |
s.e.f no 5 permission to rent or lease endorsement |
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identify and explain other 2 coverage's that should be purchased by businesses leasing automobiles on long term leases |
-s.p.f no 8 standard lessors contingent automobile policy (this policy will provide coverage on automobiles when lessee fails to maintain coverage on automobile required on lease agreement) -s.e.f. no 5d conversion coverage endorsement ( this endorsement provides coverage when automobile is lost or damaged resulting from dishonest acts of lessee) |
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when renting automobiles on the short term basis in their name, insureds with an s.p.f no1 owners form have 2 coverages which will automatically apply to the short term rental automobiles. what are these 2 coverages |
-third party liability -accident benefits |
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physical coverage on s.p.f no 1 will NOT extend to cover short term rented automobiles. what options are available to insureds to receive this coverage |
-purchase coverage from the rental car company - purchase and endorsement on their s.p.f. no 1 owners form |
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which s.e.f. will provide physical damage coverage to certain short term rented automobiles |
s.e.f. no 27 legal liability for damage to non-owned automobile endorsement |
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what are the 5 conditions of coverage found in the s.e.f. no 27 legal liability for damage to non owned automobile endorsement |
-coverage is restricted to insured and spouse -coverage is for the same perils as are insured on the clients own policy -no more than 1 automobile may be rented or leased by clients or spouses and any time -coverage is restricted to certain types of automobiles -coverage is restricted as to amount |
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identify 2 ways in which insureds may purchase coverage provided by an s.p.f. no6 standard non owned automobile policy |
-clients may purchase an stand alone s.p.f. no 6 - clients may purchase an endorsement to their cgl |
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which method to obtain coverage under an s.p.f. no 6 is the most popuar |
endorsing to their cgls |
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identify 3 types of non- owned automobiles covered by an s.p.f. no 6 standard non owned automobile policy
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-automobiles owned by employees -hired automobiles -automobiles operated under contract for clients |
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what legal standard requires employers to purchase this coverage |
employers are responsible for actions of employees while acting in normal course of their employment ( driving to bank to make employers deposit using their own automobile) |
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state 3 businesses that are candidates for and s.p.f. no 4 standard garage automobile policy |
-automobile dealers -repair garages - service stations |
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what is the purpose of an s.p.f. no 4 standard garage automobile policy |
this policy provides coverage for automobile exposures of business involved in automobile businesses |
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state 5 sections in an s.p.f. no 4 standard garage automobile policy |
-section a -third party liability -section b - accident benefits -section c - loss of or damage to owned automobiles -section d - uninsured motorist coverage - section e - legal liability for damage to a customers automobile in the care custody or control of the insured |
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what are the 2 kinds of automobiles insured by section a - third party liability |
-owned automobiles -customers automobiles |
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indicate 3 types of owned automobiles covered by section a - third party liability |
-tow trucks -service loaners - automobiles held for sale. |
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non-owned automobile exposures exist for most repair garages. state the major source for this exposure |
customer's automobiles |
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identify 2 situations where non-owned automobiles could cause a third party liability loss |
-while test driving customers automobile to determine problems with engine of customers car, clients mechanic runs into pedestrian -while driving to customers home to drop off repaired vehicle, employee runs over pedesrian |
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what is the usual minimum deductible used in section c - loss of or damage to owned automobiles |
$250 |
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how are deductibles applied to the following types of losses 1) collision or upset 2) other losses |
1) deductible applies to each automobile damaged by collision or upset 2) deductible is applied on an occurrence basis |
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what 3 types of losses will no deductible apply |
-fire -lightening -theft of entire automobile |
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describe how premium is determined when insureds cover their owned automobiles using a monthly average basis |
provisional premiums are charged based on clients estimate of maximum value of owned automobiles during policy year |
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your insured suffered a severe hail loss to owned automobiles being held for sale. his policy limit was $500,000 on a monthly average basis. determine amount payable in the following situations 1) last report files was 4 months ago indicated inventory levels at $300,000 2) no report was ever filed and loss occurred in the 3rd month of polocy |
1) $300,000 2) $ 375,000 ( 75% of amount of insurance) |
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what are the requirements needed to satisfy coverage written on a co insurance basis |
clients are required to insure at least 80% of the value of owned automobiles |
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when will co-insurance be waived when losses occur |
co-insurance will be waived when losses are confined to 1 automobile |
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as bailees what level of care are garages required o provide their customers |
bailees are required to exercise ordinary care |
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when ordinary care is not provided from bailees, what could occur |
when bailees do not exercise ordinary care they could be found legally liable |
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in section e- legal liability for damage to a customers automobile while in the care custody and control of the insured when will coverage respond |
this section will provide coverage when clients have been deemed to be legally liable for damage to customers automobile |
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what are 2 coverage options available in section e - legal liability for damage to a customers automobile while in the care custody or control of the insured |
-collision or upset -specified perils(excluding open lot theft) |
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what endorsement is available to enhance coverage in section e - legal liability for damage to a customers automobile while in the care custody or control of the insured |
s.e.f. no 77 legal liability for comprehensive damage to customers automobiles endorsement (including open lot theft) |
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what endorsement may be purchased to provide payment for damages to customers automobiles regardless legal liability |
waiver of legal liability endorsement |
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how does the waiver of legal liability endorsement help maintain happy customers |
this endorsement helps maintain goodwill by providing coverage for damage to customers automobiles regardless of legal liability |