Ga Property Casualty Insurance Study Guide with Complete

Ga Property & Casualty Insurance Study Guide with Complete Solutions 100% Verified Personal Automobile Policy - Correct Answer • Accounts for 40% of all premiums • Vehicles registered to individuals and operated primarily for personal activities

• Driving to work is a personal activity
• Policy allows use of vehicle for incidental business activities

Financial Responsibility State - Correct Answer • Georgia is a financial responsibility state

• To legally operate an automobile in the state of Georgia, a person must show that they are able to

financially compensate the person(s) that they may injure or where they damage the other person's property

Financial Responsibility - Correct Answer may be show by the following:

• Personal automobile insurance - Liability coverage
• Motor vehicle bond

3.Cash or security deposit Compulsory Insurance Laws - Correct Answer 25/50/25 state minimum limits (split) $25,000 bodily injury per person $50,000 bodily injury per occurrence $25,000 property damage Or $75,000 - Combined single limits Policy Terms - Correct Answer either 6 months or 1 year Personal umbrella - Correct Answer separate policy for catastrophic liability claims, in excess of primary coverage; must have primary coverage in force and raise the limits of liability Eligible Vehicles - Correct Answer o Private passenger automobiles 1 / 3

• Trucks <10,000 lbs.
• Vans <10,000 lbs.

Owned or Leased No business activities covered for trucks and vans GA Assigned Risk - Correct Answer when someone cannot qualify for insurance, high premium Ineligible Vehicles - Correct Answer o Vehicles owned by businesses

• Taxis
• Motorcycles
• Trucks/Vans >10,000 lbs.
• Vehicles used for government purposes
• Vehicles furnished for the regular use of an insured by an employer
• Trailer - cannot propel itself when the trailer and the vehicle are connected, both are one in the same

for liability claims Territorial Limits - Correct Answer o United States

• Canada
• United States Territories & Possessions

Puerto Rico Guam United States Virgin Islands American Samoa

• Coverage will not transfer to Mexico, can be purchased on a daily basis

Insured - Correct Answer -Named Insured -Spouse, residing in household (automatically insured, even if not listed) • If the spouse leaves the Named Insured and takes a listed vehicle with them and sets up their own household, the vehicle is covered up to 90 days 2 / 3

Family members residing in household Anyone driving with permission Occupying - Correct Answer while in, on, upon, entering onto or exiting from "Your covered automobile" - Correct Answer all of the vehicles that you may be driving for the coverages in the policy and need coverage listed on the declarations page includes automobiles covered for newly acquired vehicles, additional and replacement ... - Correct Answer newly acquired additional has 14 days to add to the policy newly acquired replacement - Correct Answer physical damage coverage up to 14 days, all other coverage until the end of the policy term Coverage A - Correct Answer Liability- paid to other person because the insured is liable meets the financial responsibility standard in GA there must be proof that the insured caused the accident Mandatory in GA Third party coverage Negligence must apply

Intentional acts are excluded, ex: Road Rage

• Bodily Injury
• Property Damage

Payment is made only if the insured is negligent

• Supplementary Payments

Defense Bail Bond reimbursement - up to $250, for an incident involving an auto

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