1) Which of the following is a feature of collision insurance coverage?

• a.) The policy pays for the repair of the policyholder's vehicle if the damage is caused by an accident.
• b.) The policy covers the funeral expenses of the individuals who die in an accident while traveling in the insured vehicle.
• c.) The policy pays the repair bills of all the vehicles involved in an accident.
• d.) The policy covers the medical expenses of all injured people in the insured vehicle at the time of the accident

2) Which of the following results in a lower premium on a homeowner's insurance policy (HO policy)?

• a.) The premium decreases if a policyholder is willing to pay more out of their pocket should a peril occur.
• b.) The premium decreases if the policy carries a large liability coverage in the event of a peril.
• c.) The premium decreases if thepolicyholder has a low credit score.
• d.) The premium decreases if the policyholder isinsuring an old ancestralproperty.

3) William is a 55-year-old retired officer. He plans to invest in a long-term care insurance policy.

How can William decrease the premium on his long-term care insurance policy?

• a.) William should decrease the deductible amount in his policy.
• b.) William should wait until he is 70 years old to purchase the insurance policy.
• c.) William should make frequent claims against the policy.
• d.) William should increase his elimination period on the policy.