Georgia Property and Casualty Insurance Exam Study Guide Exam |Ques
tions with Correct Answers 2026 latest update!!
Study online at https://quizlet.com/_jdz3m9
1. Loss Insurance is a contract by which one seeks to protect another
from.
2. Larger For the reported losses of an insured group to become more
likely to equal the statistical probability of loss for that particular
class, the insured group must become
3. Insurance What do individuals use transfer their risk of loss to a larger
group?
4. Law of Large Numbers Which law is the foundation of the statistical prediction of loss
upon which rates for insurance are calculated?
5. Loss Insurance is a contract by which one seeks to protect another
from
6. At the time of loss. Insurable interest in a property policy must be proven
7. Insurable Interest To purchase insurance, the policyowner must have financial
interest in the property being insured. This is known as
8. Speculative Risk Events in which the principal has both the chance of winning or
losing
9. Pure Risk and Speculative Risk The risk of loss may be classified as
10. Risk Insurance is the transfer of
11. The uncertainty or chance of For the purpose of insurance, risk is defined as
loss
12. Pure Risk A situation in which a person can only lose or have no change
represents
1/9
, Georgia Property and Casualty Insurance Exam Study Guide Exam |Ques
tions with Correct Answers 2026 latest update!!
Study online at https://quizlet.com/_jdz3m9
13. Loss The reduction, decrease, or disappearance of value of the per-
son or property insured in a policy, by a peril insured against is
known as
14. Any condition or exposure With respect to the business of insurance, a hazard is
that increases the possibility
of loss.
15. Loss Which of the following is the basis for a claim against an insur-
ance policy?
Hazard
Misrepresentation
Loss
Material change
16. Hazard Events or conditions that increase the chances of an insured loss
occurring are referred to as
17. Indemnity Which insurance principle states that if a policy allows for
greater compensation than the financial loss incurred, the in-
sured may only receive benefits for the amount lost?
18. Subrogation legal process that gives the insurer, after payment of a loss, the
right to seek recovery from a third party that was responsible
for the loss
19. Subrogation The transfer to the insurance company of the insured's right to
collect for damages.
20. Restores an insured person to In case of a loss, the indemnity provision in insurance policies.
the same financial state as be-
fore the loss
2/9
tions with Correct Answers 2026 latest update!!
Study online at https://quizlet.com/_jdz3m9
1. Loss Insurance is a contract by which one seeks to protect another
from.
2. Larger For the reported losses of an insured group to become more
likely to equal the statistical probability of loss for that particular
class, the insured group must become
3. Insurance What do individuals use transfer their risk of loss to a larger
group?
4. Law of Large Numbers Which law is the foundation of the statistical prediction of loss
upon which rates for insurance are calculated?
5. Loss Insurance is a contract by which one seeks to protect another
from
6. At the time of loss. Insurable interest in a property policy must be proven
7. Insurable Interest To purchase insurance, the policyowner must have financial
interest in the property being insured. This is known as
8. Speculative Risk Events in which the principal has both the chance of winning or
losing
9. Pure Risk and Speculative Risk The risk of loss may be classified as
10. Risk Insurance is the transfer of
11. The uncertainty or chance of For the purpose of insurance, risk is defined as
loss
12. Pure Risk A situation in which a person can only lose or have no change
represents
1/9
, Georgia Property and Casualty Insurance Exam Study Guide Exam |Ques
tions with Correct Answers 2026 latest update!!
Study online at https://quizlet.com/_jdz3m9
13. Loss The reduction, decrease, or disappearance of value of the per-
son or property insured in a policy, by a peril insured against is
known as
14. Any condition or exposure With respect to the business of insurance, a hazard is
that increases the possibility
of loss.
15. Loss Which of the following is the basis for a claim against an insur-
ance policy?
Hazard
Misrepresentation
Loss
Material change
16. Hazard Events or conditions that increase the chances of an insured loss
occurring are referred to as
17. Indemnity Which insurance principle states that if a policy allows for
greater compensation than the financial loss incurred, the in-
sured may only receive benefits for the amount lost?
18. Subrogation legal process that gives the insurer, after payment of a loss, the
right to seek recovery from a third party that was responsible
for the loss
19. Subrogation The transfer to the insurance company of the insured's right to
collect for damages.
20. Restores an insured person to In case of a loss, the indemnity provision in insurance policies.
the same financial state as be-
fore the loss
2/9
