EXAMFX Commercial General Liability 2

Question 1

Under a CGL policy, which coverage part pays for damage to a third party's property caused by the insured's operations?

Accepted Answer

Coverage A – Bodily Injury and Property Damage Liability

Answer

Coverage B – Personal and Advertising Injury Liability

Answer

Coverage C – Medical Payments

Answer

Coverage D – Premises and Operations

Question 2

A customer trips over a display in a retail store and breaks her wrist. Which CGL insuring agreement would cover her medical bills without requiring a lawsuit?

Accepted Answer

Coverage C – Medical Payments

Answer

Coverage B – Personal and Advertising Injury

Answer

Coverage A – Bodily Injury Liability

Answer

Supplementary Payments

Question 3

The CGL 'occurrence' trigger requires that bodily injury or property damage occur during the policy period. Which scenario would NOT trigger coverage under an occurrence-based CGL?

Accepted Answer

A lawsuit filed during the policy period for an injury that occurred before the policy

Answer

Injury on the premises during the policy period

Answer

Property damage discovered after expiration that began during the policy period

Answer

Continuous damage that began and ended within the policy period

Question 4

Which exclusion in a standard CGL policy eliminates coverage for damage to property the insured is currently working on?

Accepted Answer

Your Work exclusion

Answer

Products-Completed Operations exclusion

Answer

Contractual Liability exclusion

Answer

Care, Custody, or Control exclusion

Question 5

A general contractor assumes the tort liability of a subcontractor in a written contract. The subcontractor causes property damage. Under the CGL, this liability is covered under which provision?

Accepted Answer

Contractual Liability coverage

Answer

Products-Completed Operations coverage

Answer

Supplementary Payments

Answer

Additional Insured endorsement

Question 6

Under a CGL policy, 'personal and advertising injury' coverage (Coverage B) covers which of the following?

Accepted Answer

False arrest, libel, slander, and copyright infringement in advertisements

Answer

Physical injury to a person caused by advertising activities

Answer

Property damage arising from published content

Answer

Medical payments for employees injured while working on advertisements

Question 7

The CGL policy defines 'bodily injury' to include sickness, disease, and death resulting therefrom. Which of the following would be considered bodily injury under the standard CGL definition?

Accepted Answer

A customer's broken arm caused by a falling shelf

Answer

Emotional distress with no accompanying physical harm

Answer

Reputational harm from a false advertisement

Answer

Loss of use of property