TX Adjuster Vocab (100% Accurate)

Absolute Liability correct answers Where the law imposes liability without regard to fault or negligence. Monoline Policy correct answers A policy that provides only one type of insurance on the policy: only property insurance. Compensatory Damages correct answers Monies paid to make an injured person whole again. Contributory Negligence correct answers Holds that if the injured party contributed to the injury in any way through his own negligence, he has no right to recover damages. Inflation Guard correct answers This coverage provides for automatic periodic increases in the amount of insurance on buildings to keep an appropriate limit to value, considering the effect of inflation on building replacement costs. Denial of Liability correct answers When the claims investigation of all of the facts and circumstances of the case reveals that the insured is not the liable party. Arbitration correct answers Used to resolve differences in opinion about the coverage between the insured and the insurance company, the insurance company and a third party, or two or more insurance companies. Time and Materials Estimate correct answers With this method, the cost of labor and materials is added together to determine the cost of a project. Liability Auto Coverage correct answers Provides coverage for bodily injury and property damage for which any insured becomes legally responsible to a third party because of an auto accident. Aggregate Limit correct answers The maximum amount of coverage available during the policy period. Comparative Negligence correct answers Reduces the amount of damages awarded to a plaintiff (i.e., the injured party seeking to recover damages) by the extent to which his own negligence contributed to his loss. Criminal Liability correct answers Wrongs against society. Property Insurance correct answers Protects against loss of and damage to real property (i.e., structures or property attached to structures) and personal property (i.e., property that is not attached to a structure). Civil Liability correct answers Wrongs against individuals.