The sale of surplus lines insurance is:

a. Done through surplus lines brokers working with eligible nonadmitted insurers

b. Another name for insurance sold through unauthorized insurers

c. Allowed when insurance is cheaper through a non-admitted carrier

d. Done through any agent with a property and casualty license

Answer: b. Another name for insurance sold through unauthorized insurers

Arkansas State Law

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay? a) $0 b) $30,000 c) $32,000 d) $40,000 Answer: B

In insurance,

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