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WEBCE COMMERCIAL LINES 101 EXAM
NEWEST 2025 ACTUAL EXAM COMPLETE 150
QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY
GRADED A+
Ark Inc. purchases a CGL policy to protect the company against lawsuits for which they might be found legally liable. Which would NOT be covered by their CGL? - ANSWER-An employee drives a forklift into a wall of Ark Inc's owned factory, causing it to collapse
In a Commercial General Liability policy, the basic extended reporting period is also known as a(n) - ANSWER-Tail
John purchased some business property a few years ago. In the past two years, the property value was grown 4% each year.John maintains the 80% coinsurance requirement on his business policy, but wants a more automated coverage so he doesn't have to constantly check the appraised value of his property. Which optional coverage can John purchase to help ensure that he 1 / 4
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always has the right amount of coverage - ANSWER-inflation Guard
When Bill's business is interrupted because of a fire, he must provide a profit and loss statement to his insurer so they can determine an accurate amount of indemnification. Which three core elements from the profit and loss statement are used to calculate the net income?
- ANSWER-Total revenue, cost of goods sold, operating
expenses
In a BOP, the purpose of Supplementary Payments in
conjunction with liability coverage is to: - ANSWER-Cover
Cost associated with defending and investigating a claim against the insured
Which of the following would NOT be covered under Errors and Omissions insurance - ANSWER-Bodily Injury Claim
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In order for a statement to qualify as libel or Slander, Which of the following conditions must be met - ANSWER-The Statement must be made about a third-party
In a Commercial property policy, Business Income Coverage would pay for which of the following expenses - ANSWER- Rent
For occurrence that are reported during the supplemental extended reporting period, what is the time limit in which a claim must be made in order to be covered by a claims-made CGL policy - ANSWER-None
Rise & Shine Light Bulb Co. has a claims made & reported policy that is about to expire, but a customer just filed a liability claim against the company. if Rise & Shine wants to have insurance pay for the damages, it must do which of the following - ANSWER-Rise & Shine must report the claim before its policy expires
The Consent to Settle clause in the Professional Liability policy is best described as - ANSWER-a clause that requires the insurance company to get approval from the insured before settling a claim 3 / 4
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What is the primary difference between the pollution Liability coverage-Broad Form & the Pollution Liability Limited Coverage Form - ANSWER-The Broad Form pays for pollution clean up cost, while the Limited Form does not
An overhead projector is taken to a conference room at a local hotel for a week. Sometime during the week, the projector falls off its stand and is destroyed. Assuming it is a covered loss, what commercial property coverage might cover the projector - ANSWER-Property of Premises
While working on a customer's industrial copier in the repair facility, an employee at RZI Electronics Repair accidentally destroys the copier, causing $3000 in damage. What commercial property coverage might apply - ANSWER-Legal Liability coverage
In the Business & Personal Property Form of a commercial property policy, Coverage Business Personal Property coverage applies to all of the following EXCEPT - ANSWER- Commercial Flooring
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