ILLINOIS PUBLIC ADJUSTER UPDATED ACTUAL FINAL
PAPER QUESTIONS AND ANSWERS MARKED A+
✔✔reclamation bond - ✔✔Guarantee is the land operated on will be returned back to
agreed-upon condition by principal and government agency
✔✔$1,000 & $250 for any tree/shrub/plants - ✔✔Limit for "outdoor property" under
building and personal property
✔✔$15,000 within a 12 month period beginning @ inception date - ✔✔Cause of loss
forms: additional, limit for fungus/wet rot & bacteria
✔✔Primary and excess insurance - ✔✔Method used on policies purchased by different
people cover the same loss or when insurance is not purchased directly by the insured
✔✔Obsolescence - ✔✔When the property becomes obsolete allows the insured to
reduce its payment claim due to the reduced market value
✔✔Warranties in Ocean Marine Insurance - ✔✔Seaworthiness, condition of cargo,
legalty, no deviation in voyage
✔✔1 year - ✔✔Policy period for builders risk coverage form
✔✔ - ✔✔A builder's risk form is most often written as which of the following?
✔✔ Class 4 felony - ✔✔Any person misappropriating or converting any monies
collected as a public adjuster, whether license or not, will be guilty of a -
✔✔Contract between Public Adjuster and Insured - ✔✔Must include:
names and license number of the public adjuster
effective date of use
formatted in no less than 10 font; full name of the person signing the contact, form
number and edition of the form must be on the lower left hand corner for it to be
approved,
home state, business address and phone number,
the title "Public Adjuster Contract" printed at the head of the contract form
Insureds: full name, street address, insurance company name, and policy number
A description of loss & it's location
description of services to be provided to the insured
A place for the signatures of the public adjuster and the insured
The date and time the contract was signed by the adjuster and the insured.
Attestation language stating that the public adjuster is fully bonded as required by state
law
Disclosure of full salary, fee, commission, compensation/ considerations the public
adjuster is to receive for services
, ✔✔Notices that must be included in contract between PA & insured - ✔✔- Any public
adjuster contract will be voidable for 5 business days after execution at the option of the
insured
- any contract with a public adjuster that is executed within the five day period after the
loss producing occurrence is voidable for 10 days after execution
- if the insurer pays or commits in writing to pay the policy limit within five business days
after the date of the loss is reported to the insurance company the public adjuster will
not receive a commission, only compensation for services provided
✔✔right to rescind the contract - ✔✔If the insured exercises the right to resend the
contract anything of value given by the insured under the contract must be returned to
the insured within 15 Business days following the receipt by the public adjuster of the
cancellation notice
✔✔Client disclosure - ✔✔If the client of the public adjuster chooses a company,
contractor or any other vendor in which the public adjuster holds any ownership or
equitable interest then that interest must be disclosed to the client.
✔✔Required disclosures - ✔✔The public adjuster must provide written disclosures
regarding financial interests, the claim process and the "consumer rights notice" before
the insured signs a public adjuster contract.
✔✔the public adjuster will be responsible for costs - ✔✔If the public adjuster refers the
insured to a contractor the public adjuster warrants that all work will be performed in a
workmanlike manner if it is not completed in that manner then the:
✔✔deductible amount, net claim payment - ✔✔A public adjuster commission, charges
or fees must not include the _______, and will only be based on _______ made by the
insurer.
✔✔PA's cannot represent while: - ✔✔- while a loss producing occurrence is continuing
nor while the fire department or its representatives are engaged at the damaged
premises nor between the hours of 7 PM and 8 AM
✔✔Required disclosure - ✔✔Any compensation or anything of value in connection with
the insured's specific loss that will be received by a public adjuster must be disclosed by
the public adjuster to the insured in writing including the source and amount.
✔✔30 calendar days = payment release - ✔✔When proceeds are paid jointly, the
insured must release the portion due to the public adjuster within ____ calendar days, if
not, insured must provide the PA with a written explanation for the delay.
PAPER QUESTIONS AND ANSWERS MARKED A+
✔✔reclamation bond - ✔✔Guarantee is the land operated on will be returned back to
agreed-upon condition by principal and government agency
✔✔$1,000 & $250 for any tree/shrub/plants - ✔✔Limit for "outdoor property" under
building and personal property
✔✔$15,000 within a 12 month period beginning @ inception date - ✔✔Cause of loss
forms: additional, limit for fungus/wet rot & bacteria
✔✔Primary and excess insurance - ✔✔Method used on policies purchased by different
people cover the same loss or when insurance is not purchased directly by the insured
✔✔Obsolescence - ✔✔When the property becomes obsolete allows the insured to
reduce its payment claim due to the reduced market value
✔✔Warranties in Ocean Marine Insurance - ✔✔Seaworthiness, condition of cargo,
legalty, no deviation in voyage
✔✔1 year - ✔✔Policy period for builders risk coverage form
✔✔ - ✔✔A builder's risk form is most often written as which of the following?
✔✔ Class 4 felony - ✔✔Any person misappropriating or converting any monies
collected as a public adjuster, whether license or not, will be guilty of a -
✔✔Contract between Public Adjuster and Insured - ✔✔Must include:
names and license number of the public adjuster
effective date of use
formatted in no less than 10 font; full name of the person signing the contact, form
number and edition of the form must be on the lower left hand corner for it to be
approved,
home state, business address and phone number,
the title "Public Adjuster Contract" printed at the head of the contract form
Insureds: full name, street address, insurance company name, and policy number
A description of loss & it's location
description of services to be provided to the insured
A place for the signatures of the public adjuster and the insured
The date and time the contract was signed by the adjuster and the insured.
Attestation language stating that the public adjuster is fully bonded as required by state
law
Disclosure of full salary, fee, commission, compensation/ considerations the public
adjuster is to receive for services
, ✔✔Notices that must be included in contract between PA & insured - ✔✔- Any public
adjuster contract will be voidable for 5 business days after execution at the option of the
insured
- any contract with a public adjuster that is executed within the five day period after the
loss producing occurrence is voidable for 10 days after execution
- if the insurer pays or commits in writing to pay the policy limit within five business days
after the date of the loss is reported to the insurance company the public adjuster will
not receive a commission, only compensation for services provided
✔✔right to rescind the contract - ✔✔If the insured exercises the right to resend the
contract anything of value given by the insured under the contract must be returned to
the insured within 15 Business days following the receipt by the public adjuster of the
cancellation notice
✔✔Client disclosure - ✔✔If the client of the public adjuster chooses a company,
contractor or any other vendor in which the public adjuster holds any ownership or
equitable interest then that interest must be disclosed to the client.
✔✔Required disclosures - ✔✔The public adjuster must provide written disclosures
regarding financial interests, the claim process and the "consumer rights notice" before
the insured signs a public adjuster contract.
✔✔the public adjuster will be responsible for costs - ✔✔If the public adjuster refers the
insured to a contractor the public adjuster warrants that all work will be performed in a
workmanlike manner if it is not completed in that manner then the:
✔✔deductible amount, net claim payment - ✔✔A public adjuster commission, charges
or fees must not include the _______, and will only be based on _______ made by the
insurer.
✔✔PA's cannot represent while: - ✔✔- while a loss producing occurrence is continuing
nor while the fire department or its representatives are engaged at the damaged
premises nor between the hours of 7 PM and 8 AM
✔✔Required disclosure - ✔✔Any compensation or anything of value in connection with
the insured's specific loss that will be received by a public adjuster must be disclosed by
the public adjuster to the insured in writing including the source and amount.
✔✔30 calendar days = payment release - ✔✔When proceeds are paid jointly, the
insured must release the portion due to the public adjuster within ____ calendar days, if
not, insured must provide the PA with a written explanation for the delay.
