PROPERTY INSURANCE CONCEPTS (FLA 220)Correct 100%

PERIL - ANSWER cause of loss (ex: fire, windstorm, vandalism) HAZARD - ANSWER introduces or increases the chance of loss from peril PHYSICAL HAZARD - ANSWER a characteritstic of an object that increases the severity of loss by covered peril MORAL - ANSWER intentional loss - conscious mental attitude of the insured MORALE - ANSWER accident proneness - unconscious mental attitude of the insured PROXIMITY CAUSE DOCTRINE - ANSWER unbroken connection between the occurrence and the damage from the occurrence DIRECT LOSS - ANSWER physical harm to tangible property INDIRECT LOSS - ANSWER economic loss as a consequence of direct loss PRINCIPAL OF INDEMNITY - ANSWER one should not profit. A principle which provides that when a loss occurs, the insured should be restored to the approximate financial condition occupied before the loss occurred, no better, no worse. ACTUAL CASH VALUE - ACV - ANSWER replacement cost minus depreciation REPLACEMENT COST - ANSWER new for old, required to replace FLORIDA VALUE POLICY LAW - ANSWER if a total loss - company must pay the policy limit regardless of the property value