Deck 15: Managing Insurance

Question 1

Dram shop insurance provides coverage relating to the sale or consumption of beverages containing alcohol.

Answer 1

True

Question 2

To assume agreed-upon maximum levels of liability in the event of a loss or damage is known as _____.

A) underwriting
B) annuity protection
C) AA ratings
D) Face sheet protection.

Answer 2

A

Question 3

The Affordable Care and Patient Protection Act is also known as ____.

A) America's Health Care Act
B) Obamacare
C) COBRA
D) Single Payer Health Care Act

Answer 3

B

Question 4

Cyber extortion coverage may be purchased as part of the cyber insurance policy.

Question 5

Earthquakes and floods are examples of "Acts of God."

Question 6

Financial protection, which comes from property-liability insurance, is also known as indemnification.

Question 7

If an insurance company is not financially sound, then your property is not necessarily covered, even if there is a written contract between the insurer and the insured.

Question 8

Cyber risk insurance is also known as ____.

A) Business interruption coverage
B) Cyber insurance coverage
C) Data Breach coverage
D) Enterprise Risk coverage

Question 9

Workers' Compensation:

A) Provides injury-related insurance to those workers who were hurt while on the job
B) Provides insurance to workers who have been laid off due to cutbacks
C) Provides insurance to workers who have been terminated for an offense
D) None of the above.

Question 10

A "premium" is the amount paid for insurance coverage‒whether one lump sum or over time.

Question 11

An accountant is a mathematician or statistician who computes insurance risks and establishes premium rates.

Question 12

Which of the following is one of the three primary categories of insurance policy types?

A) Life insurance
B) Health insurance
C) Property-casualty insurance
D) Rental insurance

Question 13

An "umbrella" as it relates to insurance:

A) Is the maximum amount that can be paid for all claims during a policy period
B) Is insurance coverage purchased to supplement primary coverage
C) Is the maximum amount that will be paid in the event of a single claim
D) Is the amount of insurance provided by a traditional insurance policy

Question 14

Once a hospitality company complies with the Payment Card Industry Data Security Standard, they are protected from liability due to a breach of their data system.

Question 15

EPLI insurance provides coverage for all of the following types of claims except _____.

A) Sexual harassment by a manager
B) Discrimination by a supervisor
C) Wrongful termination of a key employee
D) Property damage caused by fire
E) Retaliation by the housekeeping department

Question 16

Insurance, or, protection from risk, makes good financial sense but is never required by law.

Question 17

Data breach insurance coverage will sometimes be included in a business' ______.

A) errors and omissions insurance
B) workers compensation
C) general liability coverage
D) restoration protection coverage

Question 18

Liability insurance ordinarily provides coverage when a guest slips and falls.

Question 19

International insurance claims are generally less than U.S. claims due to:

A) no punitive damages
B) fewer claims
C) international countries are less litigious
D) All of the above
E) None of the above