ALL LINES ADJUSTER EXAM QUESTIONS AND CORRECT ANSWERS

ALL LINES ADJUSTER EXAM QUESTIONS
AND CORRECT ANSWERS

TheA2insuredA2hasA2filedA2aA2claimA2underA2theA2"BusinessA2IncomeA2DepartmentA2Prope
rtiesA2-
A2BroadA2Form"A2becauseA2theA2primaryA2buyerA2ofA2productsA2andA2servicesA2fromA2theA
2businessA2hasA2filedA2forA2bankruptcyA2underA2thisA2formA2theA2primaryA2buyersA2busines
sA2wouldA2beA2knownA2asA2-A2Ans--AA2recipientA2location

recipientA2locationA2-A2Ans--
BusinessesA2whoA2supportA2insuredA2byA2beingA2theA2primaryA2buyerA2forA2theirA2product
s

HO-3A2(specialA2form)A2-A2Ans--
coversA2theA2dwellingA2andA2otherA2structuresA2onA2aA2risk-of-direct-
physicalA2lossA2basis.A2AllA2directA2physicalA2lossesA2areA2coveredA2exceptA2thoseA2losse
sA2specificallyA2excluded.A2PersonalA2propertyA2isA2coveredA2onA2aA2namedA2perilsA2basis

HO-5A2ComprehensiveA2FormA2-A2Ans--providesA2openA2perilsA2coverageA2("all-
risksA2coverage")A2onA2theA2dwelling,A2otherA2structuresA2andA2personalA2property.

HO-2A2(broadA2form)A2-A2Ans--
coversA2theA2dwelling,A2otherA2structures,A2andA2personalA2propertyA2onA2aA2namedA2peril
sA2basis

HO-4A2(contentsA2broadA2form)A2-A2Ans--
OnlyA2coversA2aA2tenant'sA2personalA2propertyA2onA2aA2namedA2perilsA2basis

TheA2dwellingA2isA2insuredA2forA2200,000A2underA2DP-
2A2dwellingA2policyA2howA2muchA2coverageA2appliesA2toA2theA2barn?A2-A2Ans--
NothingA2farmA2propertyA2areA2notA2eligibleA2underA2theA2dwellingA2policy.

AA2CoveredA2AutoA2includesA2thoseA2vehicle(s)A2listedA2onA2theA2Declarations,A2plusA2any
A2trailersA2orA2wagonsA2ownedA2byA2theA2NamedA2Insured,A2anyA2newlyA2acquiredA2vehicl
es,A2andA2anyA2vehicleA2usedA2asA2aA2_________.A2-A2Ans--TemporaryA2SubstituteA2Auto

TheA2coveredA2autoA2isA2definedA2inA2theA2policyA2asA2allA2ofA2theA2followingA2EXCEPT:

A)A2anyA2additionalA2autoA2acquiredA2inA2theA2pastA230A2days.A2
B)A2anyA2autoA2shownA2inA2theA2declarations.A2
C)A2anyA2autoA2usedA2asA2aA2temporaryA2substituteA2whileA2anA2insuredA2autoA2isA2beingA2
repaired.A2
D)A2anyA2trailerA2ownedA2byA2theA2insuredA2orA2spouse.A2-A2Ans--Answer:A2AA2

,AnA2additionalA2autoA2acquiredA2duringA2theA2policyA2periodA2isA2consideredA2aA2coveredA
2auto.A2However,A2someA2restrictionsA2doA2apply.A2ForA2example,A2ifA2theA2newlyA2acquire
dA2autoA2isA2inA2additionA2toA2anyA2vehicleA2shownA2onA2theA2declarations,A2itA2mustA2beA2i
nsuredA2withinA214A2daysA2ofA2theA2purchaseA2date.A2IfA2itA2replacesA2oneA2ofA2theA2cars,A2
theA2insuredA2doesA2notA2needA2toA2addA2itA2duringA2thatA2policyA2period.

CoverageA2FA2onA2homeownersA2policyA2providesA2-A2Ans--
MedicalA2paymentsA2toA2others;A2paysA2allA2necessaryA2medicalA2expensesA2forA2upA2toA2
threeA2yearsA2afterA2anA2accident.

CoverageA2F:A2MedicalA2PaymentsA2toA2OthersA2-A2Ans--
DoesA2notA2applyA2toA2theA2insuredA2orA2membersA2ofA2theA2insured'sA2household
NotA2liabilityA2coverageA2andA2isA2notA2baseA2onA2fault

AnA2insuredA2hasA2takenA2inventoryA2ofA2hisA2merchandiseA2andA2discoversA2aA2substanti
alA2shortageA2ofA2valuableA2stock.A2HeA2submitsA2aA2claimA2toA2hisA2insuranceA2carrierA2th
atA2providesA2hisA2coverageA2underA2aA2BusinessA2OwnersA2Policy.A2WhatA2coverageA2isA
2providedA2byA2theA2BOP?A2-A2Ans--
NoA2coverageA2wouldA2apply,A2thereA2isA2noA2coverageA2forA2missingA2propertyA2whenA2th
ereA2isA2noA2physicalA2evidenceA2toA2showA2causeA2ofA2loss

ArbitrationA2(ADR)A2-A2Ans--
NeutralA2thirdA2partyA2hearsA2aA2disputeA2andA2makesA2aA2decisionA2bothA2partiesA2haveA2
agreedA2toA2follow.

MediationA2-A2Ans--
AA2methodA2ofA2settlingA2disputesA2outsideA2ofA2courtA2byA2usingA2theA2servicesA2ofA2aA2n
eutralA2thirdA2party,A2calledA2aA2mediator.A2TheA2mediatorA2actsA2asA2aA2communicatingA2
agentA2betweenA2theA2partiesA2andA2suggestsA2waysA2inA2whichA2theA2partiesA2canA2resol
veA2theirA2dispute.A2NotA2binding.

DifferenceA2betweenA2ArbitrationA2andA2Meditation?A2-A2Ans--
MediationA2isA2notA2binding,A2ArbitrationA2is.

Mediation-ArbitrationA2-A2Ans--
IfA2theA2partiesA2cannotA2reachA2aA2settlementA2throughA2mediation,A2anA2arbitratorA2willA2
resolveA2theA2dispute.

TheA2buildingA2andA2personalA2propertyA2coverageA2formA2providesA2coverageA2forA2outd
oorA2signsA2-A2Ans--
WhetherA2attachedA2toA2theA2buildingA2orA2notA2forA2upA2toA22,500A2ifA2damagedA2byA2aA2p
erilA2insuredA2against.

BuildingA2andA2PersonalA2PropertyA2CoverageA2FormA2-A2Ans--
CommercialA2PropertyA2coverageA2formA2thatA2coversA2buildings,A2theA2insured'sA2busine

, ssA2personalA2property,A2andA2theA2personalA2propertyA2ofA2othersA2locatedA2atA2theA2busi
nessA2premises

ForeseeabilityA2TestA2-A2Ans--
ToA2determineA2ifA2theA2defendant'sA2conductA2wasA2theA2proximateA2causeA2ofA2theA2plai
ntiff'sA2injury,A2theA2courtA2applies

ForeseeabilityA2-A2Ans--
excludesA2liabilityA2forA2harmsA2thatA2wereA2sufficientlyA2unforeseeableA2atA2theA2timeA2ofA
2theA2defendant'sA2tortiousA2conduct.


PurposeA2ofA2freightA2insuranceA2-A2Ans--CoversA2shipperA2fees

FreightA2InsuranceA2-A2Ans--
indemnifiesA2theA2shipA2ownerA2forA2theA2lossA2ofA2earningsA2ifA2theA2goodsA2areA2damage
dA2orA2lostA2andA2areA2notA2delivered.A2ShipperA2Fees.

FreightA2InsuranceA2-A2Ans--
insuresA2thatA2shipownerA2willA2receiveA2paymentA2forA2transportationA2charges.

WhatA2perilsA2areA2coveredA2onA2theA2basicA2formA2perilA2ofA2theA2HomeownersA2PolicyA2-
A2Ans--
fire,A2lightning,A2smoke,A2windstorm,A2hurricane,A2hail,A2explosion,A2aircraftA2andA2vehicle
s,A2vandalism,A2riotA2andA2civilA2commotion,A2theft,A2andA2premisesA2liability.

WhatA2perilsA2areA2coveredA2underA2theA2broadA2fromA2HomeownersA2PolicyA2-A2Ans--
includeA2basicA2perilsA2plusA2fallingA2objects;A2weightA2ofA2ice,A2sleet,A2orA2snow;A2freezin
gA2pipes;A2andA2someA2coverageA2forA2suddenA2andA2accidentalA2waterA2discharge.

ExclusionsA2toA2HomeownersA2policyA2-A2Ans--earthquakes;A2
termites,A2rats;A2
freezingA2pipesA2whileA2yourA2houseA2isA2unoccupied;A2
lossesA2ifA2yourA2houseA2isA2vacantA2forA2theA2numberA2ofA2daysA2specifiedA2byA2yourA2pol
icy;A2
wearA2andA2tearA2orA2maintenance;A2windA2orA2hailA2damageA2toA2treesA2andA2shrubs;A2m
old,A2exceptA2necessaryA2costsA2toA2repairA2orA2replaceA2propertyA2damageA2causedA2byA
2aA2coveredA2waterA2loss;
andA2waterA2damageA2resultingA2fromA2continuousA2andA2repeatedA2leakageA2orA2seepag
e.

Landlord'sA2furnishingA2-A2Ans--
IsA2notA2additionalA2coverageA2andA2doesn'tA2insuranceA2theA2limitsA2ofA2theA2policy

PowerA2toA2bindA2meansA2-A2Ans--
TheA2principalA2isA2boundA2toA2theA2decisionsA2ofA2theA2adjuster