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Mock paper #5

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
#5of 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 #5

145 questions. 150 minutes.

1

A condominium association sends two $700 assessments for the same qualifying covered property loss. The supplied HO-6 loss-assessment limit is $1,000 for any one loss regardless of the number of assessments. All other conditions are satisfied and no deductible applies. What is the total available?

  1. A$700
  2. B$1,400
  3. C$1,000
  4. D$2,000
2

A commercial package names two related businesses. They privately agree to split the premium, but the second business does not pay its share. Under the supplied IL0017 common condition, who remains responsible to the insurer for all premiums?

  1. AThe first named insured shown in the declarations.
  2. BEach named insured only for the share in their private agreement.
  3. CThe producer personally, regardless of any separate agreement.
  4. DOnly the business that suffers the first insured loss.
3

A covered rotating machine suffers a sudden centrifugal rupture that physically damages its assembly and requires replacement. The supplied equipment-breakdown definition includes that mechanical failure, and no exclusion applies. Which fact distinguishes it from a mere need for servicing or recalibration?

  1. AThe physical failure damaged the equipment and necessitated replacement.
  2. BThe machine was used by a business rather than a homeowner.
  3. CA technician was available to inspect the machine.
  4. DThe owner had previously budgeted for routine maintenance.
4

A business’s cargo is damaged by a covered storm during transit. Its supplied cargo property policy covers the physical loss without requiring carrier negligence. The carrier is found not legally liable. How should the business approach its own policy?

  1. AAbandon the property claim because the carrier was not negligent.
  2. BClaim under truck collision coverage even though the truck was undamaged.
  3. CAssess the cargo claim under its own property terms despite the carrier’s lack of liability.
  4. DTreat the carrier’s liability limit as an automatic cargo settlement.
5

A farm policy automatically covers newly acquired cattle for 30 days. Continued coverage requires reporting them within that period. A farmer buys cattle two months before renewal and proposes waiting until renewal to report them. What should the agent explain?

  1. AThe farmer must report within 30 days to meet the stated continuation condition.
  2. BAutomatic coverage remains in force until renewal regardless of the reporting clause.
  3. CReporting is unnecessary if the herd’s total value remains below the policy limit.
  4. DThe reporting period starts when the first premium after acquisition becomes due.

Worked explanations

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

Q1 C Ch. 6: Homeowners coverage

Answer: C - $1,000

Because Two invoices do not create two losses; the combined amount is capped at $1,000. iso-ho6-2000-oid: HO0006 1000, SectionI AdditionalCoverage 7: loss-assessment limit applies to one loss regardless of number of assessments.

Why the other answers are incorrect

  • A.Both qualifying assessments are considered, subject to the common per-loss limit.
  • B.The combined $1,400 assessment exceeds the one-loss limit.
  • D.The policy does not provide a new $1,000 limit for each invoice from the same loss.
Q2 A Ch. 8: Commercial property and business interruption

Answer: A - The first named insured shown in the declarations.

Because The common condition assigns responsibility for all premiums to the first named insured; an internal split does not itself amend that term. cook-cp0010-2012: IL0017 1198, E.1: first named insured responsible for all premiums. Other-state endorsements not used as Texas law.

Why the other answers are incorrect

  • B.Their private allocation does not replace the policy’s assignment of responsibility to the insurer.
  • C.The cited common condition does not assign that responsibility to the producer.
  • D.Which business has a loss does not determine the premium duty under this clause.
Q3 A Ch. 8: Commercial property and business interruption

Answer: A - The physical failure damaged the equipment and necessitated replacement.

Because The stated physical damage and necessary replacement meet the relevant breakdown feature, unlike adjustment of an undamaged machine. wv-equipment-breakdown: EB0020 0113 F.1: direct physical mechanical failure, including rupture by centrifugal force, requiring repair or replacement. Base form only.

Why the other answers are incorrect

  • B.Commercial use alone does not establish a covered breakdown.
  • C.Technician availability does not determine whether physical failure occurred.
  • D.A maintenance budget neither establishes nor defeats the specific physical failure described.
Q4 C Ch. 10: Property that needs specialist coverage

Answer: C - Assess the cargo claim under its own property terms despite the carrier’s lack of liability.

Because A direct cargo policy and a claim against a legally liable carrier have different triggers; apply the stated property coverage and remaining conditions. travelers-inland-marine: Cargo and business property in transit; distinguish property insurance from carrier responsibility. Question supplies direct physical-loss terms.

Why the other answers are incorrect

  • A.The supplied direct property grant does not depend on proving carrier negligence.
  • B.The cargo is the damaged property; truck physical-damage coverage is a different interest.
  • D.A liability limit does not establish a payment where the carrier has no legal liability.
Q5 A Ch. 10: Property that needs specialist coverage

Answer: A - The farmer must report within 30 days to meet the stated continuation condition.

Because The supplied extension has its own reporting deadline; renewal is later than that deadline. nationwide-livestock: Additional coverages: newly acquired livestock, automatic extension and policy-specific reporting requirements.

Why the other answers are incorrect

  • B.The automatic extension does not erase the express condition for continued coverage.
  • C.Adequate limits do not satisfy a separate reporting requirement.
  • D.The question starts the extension when the cattle are acquired, not at a later premium date.

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.