Florida Claims Adjuster Exam | 206
Questions with 100% Correct Answers | 33
Pages
* Question #1
Frank owned a home destroyed by a hurricane. Both ABC and XYZ Banks were listed as
additional interests on his homeowner policy. The insurance company will make a payment
to:
A. The first mortgagee, ABC
B. The Insured
C. Jointly to ABC and XYZ
D. All listed interests
Correct Answer: D. All listed interests
Rationale:
The insurer is not responsible for knowing the degrees of interest among multiple parties. In the
event of a loss, one payment is made by the insurer, and it is up to the additional interests to
work out their respective shares. This rational principle prevents the insurer from being drawn
into disputes between interested parties.
, Question #2
Insurance applies separately to each insured as if other insureds did not exist. This is defined
as:
A. Severability
B. Conditional
C. Warranty
D. None of the above
Correct Answer: A. Severability
Rationale:
Severability protects each insured individually. If one insured commits fraud or violates policy
terms, the clause prevents tainting the coverage of other innocent insureds. This rational
safeguard ensures fairness and upholds the principle that each insured's rights stand
independently.
Question #3
Property insurance policies usually contain a __________ clause, stating the insured cannot
dump damaged property on the insurer and demand its full value:
A. Pro Rata
B. Abandonment
C. Liberalization
D. All of the above
Correct Answer: B. Abandonment
Rationale:
The Abandonment Clause protects insurers from being forced to accept damaged property and
pay the full policy limit. It preserves the insurer's right to choose whether to take possession.
Questions with 100% Correct Answers | 33
Pages
* Question #1
Frank owned a home destroyed by a hurricane. Both ABC and XYZ Banks were listed as
additional interests on his homeowner policy. The insurance company will make a payment
to:
A. The first mortgagee, ABC
B. The Insured
C. Jointly to ABC and XYZ
D. All listed interests
Correct Answer: D. All listed interests
Rationale:
The insurer is not responsible for knowing the degrees of interest among multiple parties. In the
event of a loss, one payment is made by the insurer, and it is up to the additional interests to
work out their respective shares. This rational principle prevents the insurer from being drawn
into disputes between interested parties.
, Question #2
Insurance applies separately to each insured as if other insureds did not exist. This is defined
as:
A. Severability
B. Conditional
C. Warranty
D. None of the above
Correct Answer: A. Severability
Rationale:
Severability protects each insured individually. If one insured commits fraud or violates policy
terms, the clause prevents tainting the coverage of other innocent insureds. This rational
safeguard ensures fairness and upholds the principle that each insured's rights stand
independently.
Question #3
Property insurance policies usually contain a __________ clause, stating the insured cannot
dump damaged property on the insurer and demand its full value:
A. Pro Rata
B. Abandonment
C. Liberalization
D. All of the above
Correct Answer: B. Abandonment
Rationale:
The Abandonment Clause protects insurers from being forced to accept damaged property and
pay the full policy limit. It preserves the insurer's right to choose whether to take possession.
