Insurance Concepts Exam
Fast practice, instant feedback. Timer auto-submits when time’s up.
Avg score: 55% • Most missed: “An insurance agent who sells the products of only one insurance company.”

The basic concept of insurance is that one party, the insurer, will guarantee payment for an uncertain future event. Meanwhile, another party, the insured or the policyholder, pays a smaller premium to the insurer in exchange for that protection on that uncertain future occurrence.

Insurance Concepts Exam
Time left 00:00
25 Questions

1. The amount an insured pays on a claim before the insurer pays the remainder.
2. A type of insuring agreement where causes of loss are specified in the insurance policy
3. Coverage that protects policyholders from claims or judgments made against them resulting from their personal activities other than ownership, maintenance, or use of automobiles
4. Coverage that pays for additional living expenses while repairs are made to a home or rental property that is uninhabitable because of a loss
5. A provision in disability insurance that specifies the conditions under which the insured is automatically considered disabled.
6. Life insurance that provides lifetime-long insurance protection
7. The section of an insurance policy specifying the losses that are not covered.
8. A rider that increases benefit amounts to keep pace with inflation.
9. An individual, usually but not always the buyer, covered by an insurance policy
10. Financial protection purchased to indemnify for loss
11. Insurance that compensates a homeowner for damage to a home or its contents.
12. An insurance agent who sells the products of several different companies
13. The section of a property-liability insurance policy defining the insured's and insurer's duties.
14. The section of an insurance policy that defines the terms used throughout the policy.
15. An option enabling a policyholder to automatically renew a term policy
16. The reduction in the value of property as it gets older.
17. A government medical assistance program based on need
18. Auto insurance coverage for physical damage to a car caused by fire, theft, windstorm or hail.
19. Money paid by the insured to the insurer to purchase an insurance policy.
20. An insurance plan under which all employees of the insured are covered by a single contract.
21. In auto insurance, liability coverage that pays for physical injury to people in other vehicles.
22. A form used to amend a property-liability insurance policy that reflects any changes to the standard policy.
23. Auto insurance coverage that pays for physical injuries sustained by the insured and passengers in the insured's auto
24. The theory of probability that is the basis for insurance, and which states that the larger the number of exposure units, the more closely the actual results obtained will approach the probable results expected.
25. Insurance covering the cost of extended care of people who have difficulty with basic daily activities

⚡ Recently practiced quizzes in this topic
Live quiz activity
Insurance Licensing Exam Revision (Colorado) Maryland Life and Health Insurance Licensing Exam Insurance General Level 1 Licensing Exam Insurance Agent (India) Practice Test: Level 2 Insurance Agent (India) Practice Test: Level 1 Insurance Agents (Life) Question Bank (India) Insurance Agents (General) Question Bank (India) Insurance Management Practice Test Insurance Exam (LIFE) Practice Test Health Insurance Agents Exam (India) Question Bank
 
❤ If you liked Fatskills, consider supporting us by checking out The Life Manuals You Never Got.

🌈  Our mission is to help improve your scores in any subject and exam withonline quizzes, practice tests, study guides, & advice for students. Since 2018.
About | Explore | User Guide | Topics | Subjects | Doubt Solver | Career Aptitude Test | Answers | Free Tools | What Should We Know?
Privacy | Terms |
Without work one finishes nothing. - Ralph Waldo Emerson
© 2026 Fatskills.com

All trademarks, logos and brand names are the property of their respective owners. All company, product and service names used in this website are for identification purposes only. Use of these names, trademarks and brands does not imply endorsement.