Claims Adjuster's Exam (FL)Questions and Answers(SCORED A+)

-Insurable Interest must exist at the time of the loss. -Insurance Interest must exist for insurance to respond. *Show a similarity between insurance and wagering* -The insured would suffer an economic loss. - ANSWER-All of the following describe insurable interest EXCEPT -It is a personal contract. -Parties are of unequal power with ambiguities or unclear wording resolved in favor of the insured because it is a contract of adhesion. *Indemnity is not part of an insurance contract* -There are conditions imposed upon both the insurer and insured. - ANSWER-An Insurance Policy is a contract with all of the following characteristics, EXCEPT -Indemnity -Cohesion *Adhesion* -Conditions - ANSWER-An insurance contract may contain a "gray area" or an ambiguity, that is generally resolved in favor of the insured because insurance policies are contracts of: *Personal nature* -Indemnity -Adhesion -Actual cash value - ANSWER-If an insured sells his car to another person, the buyer may be prohibited from also receiving the insured's policy. This is because the insurance contract is a contract of: -applies to school systems. -must have failure to use "due care."