DC DC Commercial Insurance

Question 1

In the District of Columbia, a Business Owners Policy (BOP) typically combines which two key coverages?

Accepted Answer

Commercial property and commercial general liability

Answer

A BOP bundles commercial property insurance and commercial general liability (CGL) into a single, cost-effective policy for small to midsize businesses.

Question 2

Which DC commercial insurance policy protects a business against claims of bodily injury or property damage caused by its operations, products, or completed work?

Accepted Answer

Commercial general liability (CGL) insurance

Answer

Commercial general liability insurance covers third-party claims for bodily injury and property damage arising from business operations, products, and completed work.

Question 3

A DC restaurant's liquor liability policy would respond to claims arising from:

Accepted Answer

Injuries caused by an intoxicated patron served at the restaurant

Answer

Liquor liability (dram shop) coverage pays for claims resulting from bodily injury or property damage caused by an intoxicated person who was served alcohol by the insured.

Question 4

What does a DC commercial umbrella policy primarily provide?

Accepted Answer

Excess liability coverage above the limits of underlying policies

Answer

A commercial umbrella policy provides an extra layer of liability coverage that kicks in once the limits of underlying policies are exhausted.

Question 5

A DC technology firm wants coverage for losses from a data breach exposing customer records. Which policy should it purchase?

Accepted Answer

Cyber liability insurance

Answer

Cyber liability insurance covers costs associated with data breaches, including notification, credit monitoring, legal defense, and regulatory fines.

DC - District of Columbia Insurance Practice Test

DC - District of Columbia Insurance Practice Test

DC DC Commercial Insurance