Adjuster Pro - Florida Certified Adjuster Glossary Exam Latest
2026 Updated Questions and Verified 100% Solutions
(2026/2027) Grade: A+|Status: Guaranteed Pass
Adhesion - Answers -One of the characteristics of an insurance contract. Means that one party
(the insurer) sets the terms, and the other (the insured) can 'take it or leave it.'
Adjusted Gross Revenue (CropInsurance) - Answers -Narrowest (and least expensive) form of
Crop Revenue Insurance. Insures farm revenue as a whole instead of individual crops.
Guarantees a percentage of the insured farm's average revenue.
Adjuster - Answers -An agent who, for compensation, processes insurance claims. Can represent
either the insured or the insurer.
Adjuster - Emergency - Answers -Adjusters who are temporarily licensed by the insurance
commissioner to handle claims during catastrophes or emergencies that produce an
overwhelming number of claims in a short period of time.
Adjuster - Independent - Answers -Self-employed adjusters who contract with multiple insurers
at the same time. Paid on a commission or fee-plus-expenses basis for each claim. Also called:
Fee Adjuster, Bureau Adjuster
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,Adjuster - Public - Answers -An adjuster who is hired to represent the claimant and help
determine a fair indemnification.Usually specializes in appraisals and negotiation. Paid
commission, usually a percentage of final settlement.
Adjuster - Staff - Answers -Salaried employee of one insurance company who can work locally,
regionally, or nationally. Also called: Company Adjuster
Advance Payment Settlement - Answers -A settlement option that lets the insurer offer some
financial relief to the claimant before the claim has been fully settled. The insurer makes
advance payments to the claimant, which are then subtracted from the final settlement
amount. Often used when a claimant suffers bodily injury and is unable to work.
Accumulated Depreciation - Answers -The total decrease in an item's value over a period of
time. Formula: (Annual Depreciation x Number of years used)
Actual Cash Value (ACV) - Answers -A valuation method used by insurers to reflect an item's
current market value right before being damaged or destroyed. Formula: (Replacement cost -
Accumulated Depreciation)
Agency Authority - Answers -The Agent's authority to act on behalf of someone else, usually an
insurer. This authority is derived from the agent's contract with the insurer.
Agency Authority - express - Answers -Authority that is expressly given to the agent in writing.
Allows agent to act on behalf of the principal.
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,Aency Authority - implied - Answers -Authority that an agent possesses by implication of his
behavior, regardless of whether this authority is expressly granted in writing.
Agency Authority - apparent - Answers -Authority that an agent possesses based on the
appearance of representing an insurer.
Agent - Answers -Someone who has received authority from an insurer to sell or service
insurance policies.
Aggregate Limit - Answers -A type of policy limit found in some health, liability, and property
damage policies. It represents the total amount the insurer will pay for all losses.
Agreement - Answers -One of the four requirements of a legally binding contract. All parties
involved must agree to the terms of the contract. Can also refer to a binder, which is the
preliminary substance of a contract.
Agricultural Producer - Answers -A business that grows, harvests, and sells crops for profit.
Aleatory - Answers -A characteristic of insurance contracts; means depending on an unknown
future event."
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, Answer - Answers -In liability cases, the defendant's response to a complaint. There are three
possible Answers: 1)accept complaint and pay for damages, 2) deny the complaint, or 3) accept
the complaint with a right to insert evidence into the case.
Annual Depreciation - Answers -An item's Replacement cost divided by the number of years in
its expected lifespan.
Appraisal - Answers -A negotiation method which allows the claimant and the insurer each to
select an appraiser.The two appraisers in turn select an Umpire. The appraisers then work
together to determine asettlement amount. If they cannot agree, the Umpire steps in.
Agreement by any two of thethree is binding.
Arbitration - Answers -A negotiation method in which the opposing parties each submit their
evidence to a mutually-agreed-upon and neutral third party, called an arbitrator. The arbitrator
reviews the positions ofeach opposing side, and makes a final and legally binding decision.
Arbitrator - Answers -The mutually-agreed-upon and neutral third party in an arbitration who
reviews the positions ofeach opposing side, and makes a final and legally binding decision.
Auto Policy - Answers -Insurance policy designed to protect the policyholder while owning,
occupying, or operating avehicle. Usually combines liability coverage and property coverage into
one policy.
4|Page
2026 Updated Questions and Verified 100% Solutions
(2026/2027) Grade: A+|Status: Guaranteed Pass
Adhesion - Answers -One of the characteristics of an insurance contract. Means that one party
(the insurer) sets the terms, and the other (the insured) can 'take it or leave it.'
Adjusted Gross Revenue (CropInsurance) - Answers -Narrowest (and least expensive) form of
Crop Revenue Insurance. Insures farm revenue as a whole instead of individual crops.
Guarantees a percentage of the insured farm's average revenue.
Adjuster - Answers -An agent who, for compensation, processes insurance claims. Can represent
either the insured or the insurer.
Adjuster - Emergency - Answers -Adjusters who are temporarily licensed by the insurance
commissioner to handle claims during catastrophes or emergencies that produce an
overwhelming number of claims in a short period of time.
Adjuster - Independent - Answers -Self-employed adjusters who contract with multiple insurers
at the same time. Paid on a commission or fee-plus-expenses basis for each claim. Also called:
Fee Adjuster, Bureau Adjuster
1|Page
,Adjuster - Public - Answers -An adjuster who is hired to represent the claimant and help
determine a fair indemnification.Usually specializes in appraisals and negotiation. Paid
commission, usually a percentage of final settlement.
Adjuster - Staff - Answers -Salaried employee of one insurance company who can work locally,
regionally, or nationally. Also called: Company Adjuster
Advance Payment Settlement - Answers -A settlement option that lets the insurer offer some
financial relief to the claimant before the claim has been fully settled. The insurer makes
advance payments to the claimant, which are then subtracted from the final settlement
amount. Often used when a claimant suffers bodily injury and is unable to work.
Accumulated Depreciation - Answers -The total decrease in an item's value over a period of
time. Formula: (Annual Depreciation x Number of years used)
Actual Cash Value (ACV) - Answers -A valuation method used by insurers to reflect an item's
current market value right before being damaged or destroyed. Formula: (Replacement cost -
Accumulated Depreciation)
Agency Authority - Answers -The Agent's authority to act on behalf of someone else, usually an
insurer. This authority is derived from the agent's contract with the insurer.
Agency Authority - express - Answers -Authority that is expressly given to the agent in writing.
Allows agent to act on behalf of the principal.
2|Page
,Aency Authority - implied - Answers -Authority that an agent possesses by implication of his
behavior, regardless of whether this authority is expressly granted in writing.
Agency Authority - apparent - Answers -Authority that an agent possesses based on the
appearance of representing an insurer.
Agent - Answers -Someone who has received authority from an insurer to sell or service
insurance policies.
Aggregate Limit - Answers -A type of policy limit found in some health, liability, and property
damage policies. It represents the total amount the insurer will pay for all losses.
Agreement - Answers -One of the four requirements of a legally binding contract. All parties
involved must agree to the terms of the contract. Can also refer to a binder, which is the
preliminary substance of a contract.
Agricultural Producer - Answers -A business that grows, harvests, and sells crops for profit.
Aleatory - Answers -A characteristic of insurance contracts; means depending on an unknown
future event."
3|Page
, Answer - Answers -In liability cases, the defendant's response to a complaint. There are three
possible Answers: 1)accept complaint and pay for damages, 2) deny the complaint, or 3) accept
the complaint with a right to insert evidence into the case.
Annual Depreciation - Answers -An item's Replacement cost divided by the number of years in
its expected lifespan.
Appraisal - Answers -A negotiation method which allows the claimant and the insurer each to
select an appraiser.The two appraisers in turn select an Umpire. The appraisers then work
together to determine asettlement amount. If they cannot agree, the Umpire steps in.
Agreement by any two of thethree is binding.
Arbitration - Answers -A negotiation method in which the opposing parties each submit their
evidence to a mutually-agreed-upon and neutral third party, called an arbitrator. The arbitrator
reviews the positions ofeach opposing side, and makes a final and legally binding decision.
Arbitrator - Answers -The mutually-agreed-upon and neutral third party in an arbitration who
reviews the positions ofeach opposing side, and makes a final and legally binding decision.
Auto Policy - Answers -Insurance policy designed to protect the policyholder while owning,
occupying, or operating avehicle. Usually combines liability coverage and property coverage into
one policy.
4|Page
