MN Property & Casualty study guide
MN Property & Casualty · Work through your exam, one topic at a time.
The Minnesota Property & Casualty Insurance Producer Examination is the licensing test a candidate must pass to become eligible for a Minnesota insurance producer license covering property and casualty lines. It is aimed at people entering insurance sales - new agents, agency customer-service and sales staff, and producers adding a property/casualty line of authority - who will work with homeowners, dwelling, commercial property, inland marine, personal and commercial auto, general liability, and workers' compensation coverage. The MN Property & Casualty study guide has 5 sections and about 1,714 words.
01Minnesota Insurance Laws, Regulations, and Producer Responsibilities
Minnesota insurance is supervised by the Department of Commerce , headed by the Commissioner. Distractors love "Department of Insurance" and "Department of Revenue" - neither regulates Minnesota producers.
355 words, about 2 min02General Insurance Concepts and Contract Law
Risk is uncertainty about loss; a peril is the cause of loss (fire, wind, theft); a hazard increases the chance or severity of loss. Physical hazard is tangible (oily rags), moral hazard is dishonest intent (arson, a faked claim), morale hazard is carelessness (keys left in the car), and legal hazard comes from laws and jury awards.
363 words, about 2 min03Property Insurance Principles, Policies, and Coverages
Know Coverage A (dwelling), B (other structures), C (personal property), D (loss of use), E (personal liability), F (medical payments), and the homeowners forms: HO-3 (open peril on the dwelling, named peril on contents), HO-5 (open peril on both), HO-2 (broad named peril), HO-4 (tenants), HO-6 (condo), HO-8 (older homes, functional replacement). On the commercial side: building, business personal property, business income with a period of restoration, and blanket vs specific limits.
348 words, about 2 min04Casualty Insurance Principles, Policies, and Coverages
The commercial general liability policy has Coverage A (bodily injury and property damage), Coverage B (personal and advertising injury), and Coverage C (medical payments). Know the limit structure: each occurrence, general aggregate, products-completed operations aggregate, damage to premises rented, and medical expense per person.
334 words, about 2 min05Policy Provisions, Exclusions, Conditions, and Endorsements
Every policy has Declarations (who, what, how much, when), an Insuring agreement (the promise), Conditions (duties), and Exclusions , plus definitions that control interpretation. Duties after loss (notice, proof of loss, cooperation, protect property), other insurance (pro rata, excess, or primary), subrogation, salvage, abandonment (never allowed without insurer consent), appraisal (a valuation dispute - not arbitration and not a coverage dispute), suit against the insurer (time limit), cancellation and nonrenewal notice, premium audit, and the mortgage/loss payable clause.
314 words, about 2 min