Washington State Insurance Practice Exam

What is defined by the policy territory?

1. Time period during which the policy provides coverage

2. The location where coverage will be provided

3. Specific out of pocket expenses for medical and miscellaneous costs

4. Individuals or businesses protected by the policy

The correct answer is: The location where coverage will be provided

The policy territory is defined as the location where coverage will be provided. This means that the insurance policy specifies where the coverage is valid and would apply to any events or incidents that occur within that specified geographical area. It is important for policyholders to understand the policy territory to ensure they have proper coverage when needed. The other options are not related to the definition of policy territory: - A. Time period during which the policy provides coverage refers to the policy term. - C. Specific out of pocket expenses for medical and miscellaneous costs relate to deductible or copayment amounts. - D. Individuals or businesses protected by the policy addresses the insured parties under the policy, not the location of coverage.