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Mock paper #2

Texas General Lines - Property and Casualty

A full paper drawn to the blueprint. Answers and worked explanations are at the back of this file.

Questions
145
Time
150minutes
Scaled pass
70not a raw %
Paper
#2of 5

Single-user licence. You may print this file and write on it. You may not redistribute, resell or post it. © Sitonce 2026.

Before you start

Sit this the way you will sit the real one. A mock done in pieces over three evenings measures your notes, not your recall.

Questions
145
Minutes
150
Per question
62s
Started at
 
  1. Set a timer for 150 minutes and do not stop it. Running over is the commonest way a prepared candidate fails, and the only place you can find that out safely is here.
  2. Mark one answer for each question on the answer sheet.
  3. Answer every question. 130 questions count toward your practice score; 15 additional questions simulate unscored pretest pacing. They are identified only in the answer key. A blank is a guaranteed zero and a guess is not.
  4. Flag anything you are unsure of as you go. When you mark the paper, a question you flagged and got right is worth as much of your attention as one you got wrong - you do not yet know it, you guessed it.
  5. When the timer runs out, turn to the Answers section at the back of this file. Mark the paper against the quick-reference key first, fill in the score table, and only then read the worked explanations.

What this paper covers

AreaQuestionsShare
G-IV. Casualty policies and bonds2618%
G-I. Property policies2417%
TX-I. Texas regulation and producer responsibilities2114%
G-II. Property insurance concepts1611%
G-V. Casualty insurance concepts1611%
G-III. Property provisions and contract law1410%
G-VI. Casualty policy provisions1410%
TX-II. Texas property and casualty requirements1410%
Total145100%

Paper #2

145 questions. 150 minutes.

1

Under the supplied HO-3 terms, theft of jewelry is limited to $1,500 per loss. An insured suffers a covered $6,000 jewelry theft and has a $60,000 contents limit, with no relevant endorsement. Ignoring the deductible, what limit controls the maximum for this jewelry loss?

  1. A$1,500
  2. B$6,000
  3. C$30,000
  4. D$60,000
2

A landlord buys only the unendorsed DP-1 property form with dwelling and fair-rental-value coverage. A tenant later seeks damages for an injury allegedly caused by the landlord’s negligence. Which review is necessary before promising liability protection?

  1. AUse the dwelling limit because the accident happened at the insured house.
  2. BUse fair rental value because the claimant is a tenant.
  3. CUse contents coverage because an injury is not damage to the building.
  4. DDetermine whether separate liability coverage was arranged.
3

A commercial property form lists currency as Property Not Covered. Fire is a covered cause, but no money endorsement or other exception applies. A shop’s cash is destroyed in a fire. Why does selecting a covered fire cause not resolve the claim in the shop’s favor?

  1. AEvery fire loss must first be paid by the liability coverage.
  2. BThe money still falls outside the property covered by this form.
  3. CCurrency becomes covered automatically if stored inside the building.
  4. DThe shop can transfer an unused building limit to the cash without an endorsement.
4

A supplied builders-risk endorsement covers windows while stored at a scheduled warehouse, but expressly provides no transit coverage. The windows are damaged on a truck between that warehouse and the building site. What gap should have been addressed before shipment?

  1. AAn increase in the limit for materials while at the scheduled warehouse.
  2. BCoverage for the materials while in transit.
  3. CA delivery receipt treating departure as continued warehouse storage.
  4. DA project extension covering delays after the printed expiration date.
5

An earthquake cracks the brick veneer on an insured home. The damage is confined to the veneer. The earthquake policy expressly excludes masonry veneer, although the dwelling is listed and its limit exceeds the repair cost. What controls this claim?

  1. AThe dwelling listing makes every attached component covered.
  2. BThe repair is covered because its cost is below the dwelling limit.
  3. CThe veneer exclusion prevents payment for the stated damage.
  4. DThe veneer becomes contents because the earthquake detached it.

Worked explanations

The paper carries one for every question, at the back. These are the 5 above.

Q1 A Ch. 6: Homeowners coverage

Answer: A - $1,500

Because The special theft limit controls this category despite the larger overall contents limit. iso-ho3-2011-maine: HO0003 0511, SectionI A/B property categories and Coverage C special theft limit for jewelry. Identified base form, not all Texas contracts.

Why the other answers are incorrect

  • B.The amount stolen does not remove the applicable category sublimit.
  • C.There is no stated half-of-contents formula for this jewelry theft.
  • D.The overall limit does not override the supplied special limit.
Q2 D Ch. 7: Dwelling coverage

Answer: D - Determine whether separate liability coverage was arranged.

Because The base dwelling property form does not include the homeowners liability package; that exposure needs separate coverage review. iso-dp1-2014-missouri: DP0001 0714, property coverages A - D; base dwelling property form has no homeowners SectionII liability package.

Why the other answers are incorrect

  • A.A dwelling property limit does not supply a liability insuring agreement.
  • B.Fair rental value addresses eligible rent loss, not legal damages for bodily injury.
  • C.Personal-property coverage is not the fallback for every nonbuilding loss.
Q3 B Ch. 8: Commercial property and business interruption

Answer: B - The money still falls outside the property covered by this form.

Because Both property eligibility and the cause-of-loss grant matter; a covered cause does not change currency into covered property. cook-cp0010-2012: CP0010 1012, A.1.a(2): fixtures including outdoor fixtures; A.2.a: money/currency not covered property.

Why the other answers are incorrect

  • A.Liability insurance is not a mandatory first payer for the insured’s own fire loss.
  • C.The stated property restriction is not removed merely by placing the money inside.
  • D.An unused limit does not amend the definition of insured property.
Q4 B Ch. 8: Commercial property and business interruption

Answer: B - Coverage for the materials while in transit.

Because The supplied warehouse grant stops short of the journey; transit protection needed to be addressed before shipping. hartford-builders-risk: Builders-risk review of materials at project, off-site and in transit; contract-specific scope. Question supplies storage-only wording.

Why the other answers are incorrect

  • A.More storage capacity does not change the express absence of transit protection.
  • C.The materials are traveling, and a delivery record does not change the policy’s location terms.
  • D.A time extension does not add the omitted transit exposure to this contract.
Q5 C Ch. 10: Property that needs specialist coverage

Answer: C - The veneer exclusion prevents payment for the stated damage.

Because The only damaged component is expressly excluded. Some earthquake policies treat veneer differently, so the supplied wording matters. naic-earthquake-guide: What earthquake insurance does not cover: masonry veneer may be excluded. The question expressly supplies that exclusion; it is not universal.

Why the other answers are incorrect

  • A.Listing the dwelling does not remove an express exclusion for a component.
  • B.A sufficient limit does not establish coverage for an excluded loss.
  • D.Damage does not reclassify exterior building veneer as household contents.

The rest of this mock paper comes with the course

Texas Property and Casualty: the whole syllabus taught, the questions that test it, 5 timed mocks, and all 6 PDFs to print.