Florida 3-20 Public Adjusters State Exam
(Set 1) Q&A 100% Guaranteed Success |
Rated A+
The insurer and insured agree to a specific value of insured item - ✔✔Agreed
Value Policies
Someone who has care, custody or control of another's property - ✔✔Bailee
Claim filed by policy holder against his _ - ✔✔First Party Claim
When a person who entrusts another with an object and it results in injury to
someone can be held liable for the injury to someone. Can be held liable for the
injury i.e. Firearm or DWI - ✔✔Negligent Entrustment
Hazard that results from a conscious decision made by an insured to participate
in a manner or behavior more likely to result in a loss because they have
insurance - ✔✔Moral Hazard
Used to provide temporary insurance coverage until an insurance policy can be
written - ✔✔Binder
Required by lenders to guarantee that outstanding loans against a job are paid
upon completion - ✔✔Completion Bonds
1|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
,The section of an insurance policy identifying the insured, endorsements,
coverages, limits, and premiums - ✔✔Declarations
Policyholder cannot transfer the policy to someone else without written
permission from their insurance company - ✔✔Assignment
An instance, behavior or environment that increases the likelihood of a loss on
an insured item - ✔✔Hazard
Actual cause or source of an incidence of destruction, injury, or loss - ✔✔Peril
An insurance company organized and domiciled outside the US - ✔✔Alien
When there is an unbroken chain of events between an occurrence and a loss,
then the loss is part of the original occurrence - ✔✔Proximate Cause
Is proximate cause of all subsequent damages - ✔✔Original Occurance
An individual who contracts with an adjusting firm as an independent
contractor and handles claims for the insurance companies - ✔✔Independent
Adjuster
Action or practice of the insured party is permitted to continue because any
defense against a continuation of said action or practice has been waived by the
insurer - ✔✔Estoppel
2|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
, Operate for profit, collect premiums, reserve a portion of premiums to pay
claims - ✔✔Commercial Insurers
Any person who investigates or adjusts losses on behalf of either an insurer or a
self-insured - ✔✔Independent Adjuster
The result of an insured's tort or wrongdoing. Consequences of a loss or amount
or type of losses suffered - ✔✔Damages
Requires the insured to insure the named property for a specific amount of
insurance as required by the insurance company - ✔✔Agreed Value
Physical harm to tangible property caused by peril (loss to property or person in
which a covered peril is the proximate cause of damage or destruction) -
✔✔Direct loss
The entity that is the "recipient" to the Principal - ✔✔Obligee
Insurance contracts are written on a take it or leave it basis to the policy owner.
- ✔✔Adhesion
Event or circumstance that causes damage - ✔✔Occurance
Coverage provides for payment of losses if civil authority denies access to the
insured premises due to a covered peril - ✔✔Civil Authority
Voluntary relinquishment of a known legal right - ✔✔Waiver
3|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
(Set 1) Q&A 100% Guaranteed Success |
Rated A+
The insurer and insured agree to a specific value of insured item - ✔✔Agreed
Value Policies
Someone who has care, custody or control of another's property - ✔✔Bailee
Claim filed by policy holder against his _ - ✔✔First Party Claim
When a person who entrusts another with an object and it results in injury to
someone can be held liable for the injury to someone. Can be held liable for the
injury i.e. Firearm or DWI - ✔✔Negligent Entrustment
Hazard that results from a conscious decision made by an insured to participate
in a manner or behavior more likely to result in a loss because they have
insurance - ✔✔Moral Hazard
Used to provide temporary insurance coverage until an insurance policy can be
written - ✔✔Binder
Required by lenders to guarantee that outstanding loans against a job are paid
upon completion - ✔✔Completion Bonds
1|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
,The section of an insurance policy identifying the insured, endorsements,
coverages, limits, and premiums - ✔✔Declarations
Policyholder cannot transfer the policy to someone else without written
permission from their insurance company - ✔✔Assignment
An instance, behavior or environment that increases the likelihood of a loss on
an insured item - ✔✔Hazard
Actual cause or source of an incidence of destruction, injury, or loss - ✔✔Peril
An insurance company organized and domiciled outside the US - ✔✔Alien
When there is an unbroken chain of events between an occurrence and a loss,
then the loss is part of the original occurrence - ✔✔Proximate Cause
Is proximate cause of all subsequent damages - ✔✔Original Occurance
An individual who contracts with an adjusting firm as an independent
contractor and handles claims for the insurance companies - ✔✔Independent
Adjuster
Action or practice of the insured party is permitted to continue because any
defense against a continuation of said action or practice has been waived by the
insurer - ✔✔Estoppel
2|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
, Operate for profit, collect premiums, reserve a portion of premiums to pay
claims - ✔✔Commercial Insurers
Any person who investigates or adjusts losses on behalf of either an insurer or a
self-insured - ✔✔Independent Adjuster
The result of an insured's tort or wrongdoing. Consequences of a loss or amount
or type of losses suffered - ✔✔Damages
Requires the insured to insure the named property for a specific amount of
insurance as required by the insurance company - ✔✔Agreed Value
Physical harm to tangible property caused by peril (loss to property or person in
which a covered peril is the proximate cause of damage or destruction) -
✔✔Direct loss
The entity that is the "recipient" to the Principal - ✔✔Obligee
Insurance contracts are written on a take it or leave it basis to the policy owner.
- ✔✔Adhesion
Event or circumstance that causes damage - ✔✔Occurance
Coverage provides for payment of losses if civil authority denies access to the
insured premises due to a covered peril - ✔✔Civil Authority
Voluntary relinquishment of a known legal right - ✔✔Waiver
3|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
