DC General Liability Insurance 1

Question 1

What does a Commercial General Liability (CGL) policy primarily cover?

Accepted Answer

Bodily injury and property damage liability to third parties

Answer

A CGL policy covers bodily injury and property damage for which the insured becomes legally liable to third parties, not the insured's own losses.

Question 2

Under an occurrence-based CGL policy, coverage is triggered when:

Accepted Answer

The bodily injury or property damage actually occurs during the policy period

Answer

Under an occurrence form, coverage is triggered when the bodily injury or property damage occurs during the policy period, regardless of when the claim is later filed.

Question 3

Products-completed operations coverage under a CGL policy applies to:

Accepted Answer

Products or completed work after they have left the insured's control

Answer

Products-completed operations coverage applies to bodily injury or property damage arising from the insured's products or finished work after they have been sold, delivered, or the job has been completed.

Question 4

The 'per occurrence' limit in a CGL policy is best described as:

Accepted Answer

The maximum the insurer will pay for any single occurrence regardless of the number of claimants

Answer

The per occurrence limit caps the insurer's payment for all claims arising from one single occurrence, no matter how many claimants are involved.

Question 5

Personal and advertising injury coverage under a CGL policy protects against:

Accepted Answer

Offenses such as libel, slander, copyright infringement, and false advertising

Answer

Personal and advertising injury coverage addresses non-physical harms like libel, slander, malicious prosecution, copyright infringement, and false advertising claims.

DC - District of Columbia Insurance Practice Test

DC - District of Columbia Insurance Practice Test

DC General Liability Insurance 1