USAA P&C Insurance Adjuster Exam Questions and Answers

USAA P&C Insurance Adjuster Exam Questions and Answers Perils - Answer-Causes of loss identified in the policy (Fire, lightening, internal explosion ,Wind, Hail, Collision) Hazard - Answer-Condition that create or increases the chance or loss or contributes to the loss Physical Hazard - Answer-Visible ( operational features of a risk) Moral Hazard - Answer-Intentional dishonesty or illegal actions of a person (arson) Morale Hazard - Answer-Carelessness or indifference ( attitude). Takes additional risks (negligence) Pure Risk - Answer-Chance of loss. Insurable Law of Large Numbers - Answer-Law of average. Helps predict future losses accurately (sets pricing for insurance) Speculative Risk - Answer-Chance of gain/loss. NOT Insurable (gambling) The 4 Parts of an Insurance Contract - Answer-D.I.C.E Declarations, Insuring Agreement, Conditions, Exclusions Declarations - Answer-Who is insured (dec sheet) Contains: Policy Number, Premium, Term (Period of Coverage), Policy Limits, Person/Property Risk - Answer-The chance of loss or uncertainty of loss Direct Loss - Answer-Immediate actual physical damage to tangible property Indirect Loss - Answer-Inability to use property as a result of direct Loss ( loss of use) Conditions - Answer-Duties or responsibility of both the insured & insurer Primary Policy - Answer-This policy pays FIRST.