Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
LM Chapter 6
Introduction to Liability Insurance
| Question | Answer |
|---|---|
| Losses that an individual incurs as a result of his actions towards other people or their property. | Liability losses |
| A civil wrong that violates the rights of another. | Tort |
| A lack of reasonable care required to protect others from the unreasonable chance of harm. | Negligence |
| 4 factors for establishing negligence. | Legal duty owed. Breach of legal duty owed. Proximate cause. Damages. |
| Duty that people owe each other to protect others rights and properties. | Legal duty owed |
| An action that in a natural and continuous sequence produced a loss. | Proximate cause |
| An independent action breaking the chain of causation and setting in motion a new chain of events. | Intervening cause |
| A person contributing to their own damages in any way. | Contributory negligence |
| A finding of liability to be made even when both parties have contributed to the loss with an award based on the extent of each party's negligence. | Comparitive negligence |
| When a person knowingly exposes himself to danger or injury. | Assumption of risk |
| Provides that certain types of lawsuits must be filed within a specified time of the occurence to be valid under the law. | Statute of limitations |
| Imposed by law on those participating in certain activities that are considered especially hazardous. | Absolute liability |
| Being held responsible for the negligent acts of another person. | Vicarious liability |
| Liability losses are known as what in the insurance industry? | Third party losses |
| Reimburses the injured party only for losses that were actually sustained. | Compensatory damages |
| All direct and specific expenses involved in a particular loss, such as medical expences, lost wages, funeral expenses, and the cost to repair or replace damaged property. | Special damages |
| Compensates for such thigns as pain and suffering and disfigurement as well as mental anguish and loss of companionship. | General damages |
| 3 insuring agreement coverages. | Bodily injury (BI). Property Damage (PD). Personal Injury. |
| Means injury, sickness, disease, and or death. | Bodily injury (BI) |
| Means damage to or destruction of property. | Property Damage (PD). |
| Includes things such as slander, libel, false arreest, and invasion of privacy. | Personal Injury |
| The maximum amount the company will pay on behalf of the insured. | Policy limits |
| Policy may stipulate separate limits for BI and PD. | Split limits |
| One limit applied to both BI and PD. | Single or combined single limit |
| When do limits apply? (3) | Per Occurance. Per Accident. Per Person. |
| Liability insurance exludes the following? (6) | Damaged to property owned by the insured. Damaged to proper in the insured's control. Bodily injury to an insured. Workers comp. Nuclear energy. Intentional damages caused by the insured. |
| All insurers pay equal amounts up to the limit of the policy having the smaller limit. | Contribution by equal shares |
Created by:
landonhill
Popular Insurance sets