DC Auto Insurance Policies 3

Question 1

Under DC's no-fault auto insurance framework, Personal Injury Protection (PIP) covers which of the following?

Accepted Answer

Medical expenses and lost wages for the insured regardless of fault

Answer

Property damage to third parties

Answer

Liability claims by injured third parties

Answer

Physical damage to the insured vehicle

Question 2

An insured's auto policy lapses due to non-payment. What is the minimum advance notice an insurer must give before cancellation in DC?

Accepted Answer

10 days

Answer

5 days

Answer

15 days

Answer

30 days

Question 3

Which coverage pays for damages when the at-fault driver carries insufficient liability limits?

Accepted Answer

Underinsured motorist (UIM) coverage

Answer

Collision coverage

Answer

Medical payments coverage

Answer

Comprehensive coverage

Question 4

What is the purpose of an SR-22 filing in DC?

Accepted Answer

Certificate verifying the driver carries required auto liability insurance

Answer

Proof of homeowners insurance

Answer

Application for a commercial vehicle permit

Answer

Proof of health insurance for DMV records

Question 5

What type of auto endorsement would cover a rented vehicle used for business purposes?

Accepted Answer

Hired auto endorsement

Answer

Drive other cars endorsement

Answer

Named non-owner endorsement

Answer

Extended non-owned coverage endorsement

Question 6

Which term describes the total loss settlement method where the insurer pays the actual cash value of the destroyed vehicle?

Accepted Answer

Actual cash value (ACV) settlement

Answer

Agreed value settlement

Answer

Replacement cost settlement

Answer

Stated value settlement