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Arizona Property & Casualty Study Guide

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Section 1 Specific exam blueprint requirement: DIFI authority — Concept: DIFI authority (Item 1) Preview

Preview: Arizona insurance regulation

Preview includes
  • 4 of 5 lesson topics
  • 1 overview segment
  • 3 core concepts
  • 2 exam tips

Lesson Topics

  • Primary focus: scope of the Director's authority
  • DIFI = regulate, examine, investigate, enforce
  • 20-142 = core authority
  • Regulator ≠ court

Overview

The Arizona Department of Insurance and Financial Institutions (DIFI), through the Director, administers and enforces Arizona insurance law. The exam commonly tests what the Director may investigate or enforce and what DIFI does not do, such as acting as a court to award private damages or guaranteeing payment of a disputed claim.

Core Concepts

  • A.R.S. § 20-142 is a core source of the Director's regulatory authority over insurance matters.
  • DIFI may examine and investigate regulated persons and insurance matters and may use statutory enforcement tools when violations are found.
  • Regulatory authority is different from a court's authority: DIFI does not award private tort damages merely because a consumer files a complaint.

Exam Tips

  • If an answer gives DIFI sweeping judicial powers, be skeptical.
  • Look for statutory verbs such as examine, investigate, enforce, license, suspend, revoke, or penalize.
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Section 2 Specific exam blueprint requirement: producer licensing/renewal/CE — Concept: producer licensing/renewal/CE (Item 2) Pro
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Section 33 Specific exam blueprint requirement: dwelling policy forms and covered perils — Concept: dwelling policy forms and covered perils (Item 33) Pro
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Section 34 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 34) Pro
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Section 35 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 35) Pro
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Section 38 Specific exam blueprint requirement: inland marine and equipment breakdown — Concept: inland marine and equipment breakdown (Item 38) Pro
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Section 40 Specific exam blueprint requirement: valuation: ACV, replacement cost, agreed value and functional replacement — Concept: valuation: ACV, replacement cost, agreed value and functional replacement (Item 40) Pro
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Section 42 Specific exam blueprint requirement: policy conditions, exclusions, duties after loss and appraisal — Concept: policy conditions, exclusions, duties after loss and appraisal (Item 42) Pro
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Section 44 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 44) Pro
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Section 45 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 45) Pro
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Section 51 Specific exam blueprint requirement: coinsurance, deductibles, limits and loss settlement — Concept: coinsurance, deductibles, limits and loss settlement (Item 51) Pro
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Section 54 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 54) Pro
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Section 55 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 55) Pro
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Section 65 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 65) Pro
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Section 81 Specific exam blueprint requirement: coinsurance, deductibles, limits and loss settlement — Concept: coinsurance, deductibles, limits and loss settlement (Item 81) Pro
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Section 82 Specific exam blueprint requirement: policy conditions, exclusions, duties after loss and appraisal — Concept: policy conditions, exclusions, duties after loss and appraisal (Item 82) Pro
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Section 84 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 84) Pro
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Section 85 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 85) Pro
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Section 88 Specific exam blueprint requirement: inland marine and equipment breakdown — Concept: inland marine and equipment breakdown (Item 88) Pro
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Section 89 Specific exam blueprint requirement: flood and earthquake concepts — Concept: flood and earthquake concepts (Item 89) Pro
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Section 90 Specific exam blueprint requirement: valuation: ACV, replacement cost, agreed value and functional replacement — Concept: valuation: ACV, replacement cost, agreed value and functional replacement (Item 90) Pro
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Section 91 Specific exam blueprint requirement: inland marine and equipment breakdown — Concept: inland marine and equipment breakdown (Item 91) Pro
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Section 92 Specific exam blueprint requirement: policy conditions, exclusions, duties after loss and appraisal — Concept: policy conditions, exclusions, duties after loss and appraisal (Item 92) Pro
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Section 93 Specific exam blueprint requirement: dwelling policy forms and covered perils — Concept: dwelling policy forms and covered perils (Item 93) Pro
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Section 94 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 94) Pro
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Section 95 Specific exam blueprint requirement: commercial property and causes-of-loss forms — Concept: commercial property and causes-of-loss forms (Item 95) Pro
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Section 96 Specific exam blueprint requirement: business income and extra expense — Concept: business income and extra expense (Item 96) Pro
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Section 97 Specific exam blueprint requirement: BOP fundamentals — Concept: BOP fundamentals (Item 97) Pro
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Section 98 Specific exam blueprint requirement: inland marine and equipment breakdown — Concept: inland marine and equipment breakdown (Item 98) Pro
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Section 100 Specific exam blueprint requirement: valuation: ACV, replacement cost, agreed value and functional replacement — Concept: valuation: ACV, replacement cost, agreed value and functional replacement (Item 100) Pro
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Section 101 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 101) Pro
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Section 102 Specific exam blueprint requirement: policy conditions, exclusions, duties after loss and appraisal — Concept: policy conditions, exclusions, duties after loss and appraisal (Item 102) Pro
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Section 103 Specific exam blueprint requirement: dwelling policy forms and covered perils — Concept: dwelling policy forms and covered perils (Item 103) Pro
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Section 104 Specific exam blueprint requirement: homeowners forms, Section I property and Section II liability — Concept: homeowners forms, Section I property and Section II liability (Item 104) Pro
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Section 105 Specific exam blueprint requirement: negligence, liability, damages and defenses — Concept: negligence, liability, damages and defenses (Item 105) Pro
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Section 106 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 106) Pro
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Section 107 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 107) Pro
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Section 108 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 108) Pro
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Section 109 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 109) Pro
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Section 110 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 110) Pro
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Section 111 Specific exam blueprint requirement: workers compensation and employers liability — Concept: workers compensation and employers liability (Item 111) Pro
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Section 112 Specific exam blueprint requirement: umbrella and excess liability — Concept: umbrella and excess liability (Item 112) Pro
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Section 113 Specific exam blueprint requirement: crime, fidelity and surety concepts — Concept: crime, fidelity and surety concepts (Item 113) Pro
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Section 114 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 114) Pro
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Section 115 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 115) Pro
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Section 116 Specific exam blueprint requirement: negligence, liability, damages and defenses — Concept: negligence, liability, damages and defenses (Item 116) Pro
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Section 117 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 117) Pro
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Section 118 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 118) Pro
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Section 119 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 119) Pro
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Section 120 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 120) Pro
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Section 121 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 121) Pro
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Section 122 Specific exam blueprint requirement: workers compensation and employers liability — Concept: workers compensation and employers liability (Item 122) Pro
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Section 123 Specific exam blueprint requirement: umbrella and excess liability — Concept: umbrella and excess liability (Item 123) Pro
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Section 124 Specific exam blueprint requirement: crime, fidelity and surety concepts — Concept: crime, fidelity and surety concepts (Item 124) Pro
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Section 125 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 125) Pro
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Section 126 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 126) Pro
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Section 127 Specific exam blueprint requirement: negligence, liability, damages and defenses — Concept: negligence, liability, damages and defenses (Item 127) Pro
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Section 128 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 128) Pro
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Section 129 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 129) Pro
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Section 130 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 130) Pro
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Section 131 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 131) Pro
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Section 132 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 132) Pro
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Section 134 Specific exam blueprint requirement: umbrella and excess liability — Concept: umbrella and excess liability (Item 134) Pro
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Section 136 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 136) Pro
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Section 137 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 137) Pro
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Section 139 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 139) Pro
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Section 140 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 140) Pro
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Section 141 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 141) Pro
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Section 142 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 142) Pro
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Section 143 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 143) Pro
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Section 147 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 147) Pro
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Section 148 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 148) Pro
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Section 150 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 150) Pro
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Section 151 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 151) Pro
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Section 152 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 152) Pro
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Section 153 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 153) Pro
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Section 154 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 154) Pro
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Section 156 Specific exam blueprint requirement: umbrella and excess liability — Concept: umbrella and excess liability (Item 156) Pro
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Section 158 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 158) Pro
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Section 159 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 159) Pro
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Section 160 Specific exam blueprint requirement: negligence, liability, damages and defenses — Concept: negligence, liability, damages and defenses (Item 160) Pro
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Section 161 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 161) Pro
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Section 162 Specific exam blueprint requirement: occurrence versus claims-made — Concept: occurrence versus claims-made (Item 162) Pro
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Section 163 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 163) Pro
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Section 164 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 164) Pro
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Section 165 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 165) Pro
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Section 167 Specific exam blueprint requirement: umbrella and excess liability — Concept: umbrella and excess liability (Item 167) Pro
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Section 169 Specific exam blueprint requirement: professional/errors-and-omissions and specialty liability — Concept: professional/errors-and-omissions and specialty liability (Item 169) Pro
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Section 170 Specific exam blueprint requirement: policy conditions, other insurance, subrogation and claims duties — Concept: policy conditions, other insurance, subrogation and claims duties (Item 170) Pro
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Section 172 Specific exam blueprint requirement: CGL Coverage A, B and C — Concept: CGL Coverage A, B and C (Item 172) Pro
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Section 174 Specific exam blueprint requirement: products-completed operations and premises/operations — Concept: products-completed operations and premises/operations (Item 174) Pro
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Section 175 Specific exam blueprint requirement: personal auto liability, medical payments, UM/UIM and physical damage — Concept: personal auto liability, medical payments, UM/UIM and physical damage (Item 175) Pro
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Section 176 Specific exam blueprint requirement: business auto coverage — Concept: business auto coverage (Item 176) Pro
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Section 177 Specific exam blueprint requirement: Arizona automobile liability and financial responsibility — Concept: Arizona automobile liability and financial responsibility (Item 177) Pro
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Section 178 Specific exam blueprint requirement: UM/UIM requirements — Concept: UM/UIM requirements (Item 178) Pro
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Section 179 Specific exam blueprint requirement: workers compensation — Concept: workers compensation (Item 179) Pro
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Section 180 Specific exam blueprint requirement: cancellation/nonrenewal — Concept: cancellation/nonrenewal (Item 180) Pro
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Section 181 Specific exam blueprint requirement: state-specific property policy provisions — Concept: state-specific property policy provisions (Item 181) Pro
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Section 182 Specific exam blueprint requirement: claims handling and residual-market concepts where tested — Concept: claims handling and residual-market concepts where tested (Item 182) Pro
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Section 183 Specific exam blueprint requirement: Arizona automobile liability and financial responsibility — Concept: Arizona automobile liability and financial responsibility (Item 183) Pro
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Section 184 Specific exam blueprint requirement: UM/UIM requirements — Concept: UM/UIM requirements (Item 184) Pro
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Section 185 Specific exam blueprint requirement: workers compensation — Concept: workers compensation (Item 185) Pro
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Section 186 Specific exam blueprint requirement: cancellation/nonrenewal — Concept: cancellation/nonrenewal (Item 186) Pro
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Section 187 Specific exam blueprint requirement: state-specific property policy provisions — Concept: state-specific property policy provisions (Item 187) Pro
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Section 188 Specific exam blueprint requirement: claims handling and residual-market concepts where tested — Concept: claims handling and residual-market concepts where tested (Item 188) Pro
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Section 189 Specific exam blueprint requirement: UM/UIM requirements — Concept: UM/UIM requirements (Item 189) Pro
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Section 190 Specific exam blueprint requirement: UM/UIM requirements — Concept: UM/UIM requirements (Item 190) Pro
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Section 191 Specific exam blueprint requirement: workers compensation — Concept: workers compensation (Item 191) Pro
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Section 192 Specific exam blueprint requirement: cancellation/nonrenewal — Concept: cancellation/nonrenewal (Item 192) Pro
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Section 193 Specific exam blueprint requirement: state-specific property policy provisions — Concept: state-specific property policy provisions (Item 193) Pro
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Section 194 Specific exam blueprint requirement: claims handling and residual-market concepts where tested — Concept: claims handling and residual-market concepts where tested (Item 194) Pro
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Section 195 Specific exam blueprint requirement: Arizona automobile liability and financial responsibility — Concept: Arizona automobile liability and financial responsibility (Item 195) Pro
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Section 196 Specific exam blueprint requirement: UM/UIM requirements — Concept: UM/UIM requirements (Item 196) Pro
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Section 197 Specific exam blueprint requirement: workers compensation — Concept: workers compensation (Item 197) Pro
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Section 198 Specific exam blueprint requirement: cancellation/nonrenewal — Concept: cancellation/nonrenewal (Item 198) Pro
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Section 199 Specific exam blueprint requirement: state-specific property policy provisions — Concept: state-specific property policy provisions (Item 199) Pro
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Section 200 Specific exam blueprint requirement: claims handling and residual-market concepts where tested — Concept: claims handling and residual-market concepts where tested (Item 200) Pro
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