Adjuster Pro. Indiana Adjuster's License
- Practice Exam
On January 27, 2008, Ryan was using an exercise bike purchased from NusquamCycle
when the chain broke, causing him to fall and severely bruise his knee. It seemed to
heal just fine, but three years later, on January 25, 2011, Ryan's knee gave out while
jogging. His doctor told him that he'll need surgery and that this deterioration resulted
from the earlier accident with the exercise bike. Which of the following CGL policies may
cover Ryan's claim filed January 25, 2011?
A. An occurrence policy from Jan 31 2011-Jan 31 2013
B. An occurrence policy from Feb 28 2008-Feb 28 2010
C. A claims-made policy from Jan 31 2008-Jan 31 2010
D. A claims-made policy from Jan 31 2009-Jan 31 2011 - answerD
Which of the following statements about Indiana's approach to Workers' Comp
insurance is true?
A. WC is compulsory, and Indiana has no state WC fund.
B. WC is elective, and Indiana has no state WC fund.
C. WC is elective, and Indiana has a competitive state WC fund.
D. WC is compulsory, and Indiana has a monopolistic state WC fund. - answerA
Who is NOT eligible for a homeowners policy?
A. An owner of a home under construction
B. A person who owns and lives in his house
C. A tenant who rents a home or apartment
D. An owner of a house in which he does not live, but rents to a tenant - answerD
Frank owns a bakery specializing in authentic French bread. He uses two specialty
ovens for his daily production of French bread. If one of these giant ovens were to break
down, it would cost Frank's bakery a lot of money to repair, not to mention the loss of
revenue caused by lower production. On his Equipment Breakdown Protection Form,
each of Frank's ovens would be considered:
A. a "peril."
B. an "object."
C. a "machine."
D. a "liability." - answerB
A dwelling policy would NOT be appropriate for:
A. a duplex owned by an individual.
B. a single-family home wholly rented out.
C. a four-plex owned by a corporation.
D. a motorhome owned by an individual. - answerD
, *Jane has a $150,000 homeowners policy with a 3% percentage deductible. One night,
an oven fire destroys her kitchen, causing $50,000 in damage. How much of the
damage falls under Jane's responsibility?
A. $4,500
B. $15,000
C. $3,600
D. $1,500 - answerA
All of the following pieces of information can be found in the Conditions section of an
insurance policy, EXCEPT:
A. anything the insured must do for coverage to remain in effect.
B. what the insured must do in the event of a lawsuit.
C. the insured's duties after a loss.
D. causes of loss that are not covered. - answerD
A few weeks ago Christopher's garage was destroyed by an out-of-control motorist.
Fortunately, the motorist had sufficient liability insurance to cover the damages.
However, the insurer insists that Christopher's garage is worth far less than the
appraisals he has received from contractors. Christopher and the insurer have gone
back and forth in negotiations for weeks, making little headway. Christopher decides it's
time to:
A. issue an answer for the policyholder.
B. issue a judgment.
C. issue a complaint against the policyholder.
D. issue a reservation of rights. - answerC
Which of the following may be covered under an Equipment Breakdown Protection
Coverage Form?
A. Self-propelled equipment
B. Dragline, excavation, and construction equipment
C. Equipment built to operate under internal pressure or vacuum
D. Equipment used solely for therapeutic or surgical purposes - answerC
Jim drops his car off at ABC Garage to have his exhaust system repaired and takes the
train to work. When he returns, he finds that his car has been vandalized. Jim has
comprehensive coverage, but feels the garage is responsible for the damage since Jim
entrusted the car to ABC Garage. Which coverage type under ABC's garagekeepers
policy would cover any part of the loss that Jim's policy does not cover?
A. Direct Primary Coverage
B. Excess Comprehensive Coverage
C. Direct Excess Coverage
D. General Liability Coverage - answerC
- Practice Exam
On January 27, 2008, Ryan was using an exercise bike purchased from NusquamCycle
when the chain broke, causing him to fall and severely bruise his knee. It seemed to
heal just fine, but three years later, on January 25, 2011, Ryan's knee gave out while
jogging. His doctor told him that he'll need surgery and that this deterioration resulted
from the earlier accident with the exercise bike. Which of the following CGL policies may
cover Ryan's claim filed January 25, 2011?
A. An occurrence policy from Jan 31 2011-Jan 31 2013
B. An occurrence policy from Feb 28 2008-Feb 28 2010
C. A claims-made policy from Jan 31 2008-Jan 31 2010
D. A claims-made policy from Jan 31 2009-Jan 31 2011 - answerD
Which of the following statements about Indiana's approach to Workers' Comp
insurance is true?
A. WC is compulsory, and Indiana has no state WC fund.
B. WC is elective, and Indiana has no state WC fund.
C. WC is elective, and Indiana has a competitive state WC fund.
D. WC is compulsory, and Indiana has a monopolistic state WC fund. - answerA
Who is NOT eligible for a homeowners policy?
A. An owner of a home under construction
B. A person who owns and lives in his house
C. A tenant who rents a home or apartment
D. An owner of a house in which he does not live, but rents to a tenant - answerD
Frank owns a bakery specializing in authentic French bread. He uses two specialty
ovens for his daily production of French bread. If one of these giant ovens were to break
down, it would cost Frank's bakery a lot of money to repair, not to mention the loss of
revenue caused by lower production. On his Equipment Breakdown Protection Form,
each of Frank's ovens would be considered:
A. a "peril."
B. an "object."
C. a "machine."
D. a "liability." - answerB
A dwelling policy would NOT be appropriate for:
A. a duplex owned by an individual.
B. a single-family home wholly rented out.
C. a four-plex owned by a corporation.
D. a motorhome owned by an individual. - answerD
, *Jane has a $150,000 homeowners policy with a 3% percentage deductible. One night,
an oven fire destroys her kitchen, causing $50,000 in damage. How much of the
damage falls under Jane's responsibility?
A. $4,500
B. $15,000
C. $3,600
D. $1,500 - answerA
All of the following pieces of information can be found in the Conditions section of an
insurance policy, EXCEPT:
A. anything the insured must do for coverage to remain in effect.
B. what the insured must do in the event of a lawsuit.
C. the insured's duties after a loss.
D. causes of loss that are not covered. - answerD
A few weeks ago Christopher's garage was destroyed by an out-of-control motorist.
Fortunately, the motorist had sufficient liability insurance to cover the damages.
However, the insurer insists that Christopher's garage is worth far less than the
appraisals he has received from contractors. Christopher and the insurer have gone
back and forth in negotiations for weeks, making little headway. Christopher decides it's
time to:
A. issue an answer for the policyholder.
B. issue a judgment.
C. issue a complaint against the policyholder.
D. issue a reservation of rights. - answerC
Which of the following may be covered under an Equipment Breakdown Protection
Coverage Form?
A. Self-propelled equipment
B. Dragline, excavation, and construction equipment
C. Equipment built to operate under internal pressure or vacuum
D. Equipment used solely for therapeutic or surgical purposes - answerC
Jim drops his car off at ABC Garage to have his exhaust system repaired and takes the
train to work. When he returns, he finds that his car has been vandalized. Jim has
comprehensive coverage, but feels the garage is responsible for the damage since Jim
entrusted the car to ABC Garage. Which coverage type under ABC's garagekeepers
policy would cover any part of the loss that Jim's policy does not cover?
A. Direct Primary Coverage
B. Excess Comprehensive Coverage
C. Direct Excess Coverage
D. General Liability Coverage - answerC
