Florida Claims Adjuster UPDATED
ACTUAL Exam Questions and CORRECT
Answers
Peril - CORRECT ANSWER - Somthing that causes a loss.
Hazard - CORRECT ANSWER - Something that increases the probability that a loss will
occur.
Warranty - CORRECT ANSWER - A policy condition, either based on information in the
insureds application or inserted by the insurer. It is a guarantee of a fact.
Misrepresentation - CORRECT ANSWER - An untrue statement by the insured, made in
an application for insurance but which does not become a part of the policy.
Concealment - CORRECT ANSWER - The failure of the insured to reveal relevant facts
known to the insured in applying for insurance.
Abandonment - CORRECT ANSWER - Property insurance policies usually contain an
abandonment clause, stating the insured cannot dump damaged property on the insurer and
demand its full value.
Severability - CORRECT ANSWER - The insurance applies separately to each insured as
if other insureds did not exist.
Proximate Cause - CORRECT ANSWER - A fundamental doctrine in property insurance
holds that when there is an unbroken connection between an occurrence and damage that grows
out of the occurrence, then the resultant damage is all a part of the occurrence.
Direct Loss - CORRECT ANSWER - Physical harm to tangible property.
,Indirect Loss - CORRECT ANSWER - Economic loss which flows as a result of direct
loss.
Actual Cash Value(ACV) - CORRECT ANSWER - Replacement Cost minus Depreciation
Coinsurance - CORRECT ANSWER - Is a method of providing equity in premiums by
granting lower rates to those indureds who accept the responsibility of insuring for amounts
which reflect a high percentage of the value of the subject property.
Personal Contract - CORRECT ANSWER - Policies cover people who own and operate
things, such as automobiles.
Conditional Contract - CORRECT ANSWER - The parties are of unequal bargaining
power, and the insured cannot negotiate the terms, having to take the offer of the insurer as
made.
Contract of Indemnity - CORRECT ANSWER - One should return to their same position
as they were before the loss occurred. This limits the number of people intentionally causing
losses because it was to their economic advantage.
Insurable Interest - CORRECT ANSWER - Any actual, lawful and substantial economic
interest in the safety or preservation of the subject of the insurance free from loss, destruction, or
pecuniary damage or impairment.
Waiver - CORRECT ANSWER - Generally defined as the voluntary relinquishment or
surrender of some rightor privilege.
Express Waiver - CORRECT ANSWER - Occurs when the insurer or its representative
knowingly gives up a known right under the insurance contract.
, Implied Waiver - CORRECT ANSWER - May result from some act of neglect on the part
of the adjuster.
Damages - CORRECT ANSWER - Money Amounts.
Subrogation - CORRECT ANSWER - When an insured has a right to collect damages
from another party, but instead elects to claim the damages under his insurance policy, his rights
against the other party are transferred to the insurer.
Changes - CORRECT ANSWER - All policies provide that any changes to the policy be
made by the insurer, in writing.
Policy Period - CORRECT ANSWER - The condition states that coverage applies only to
losses or occurrences that take place during the policy period. (Prior to the stated date and time
of termination).
Policy Territory - CORRECT ANSWER - Condition limiting coverage to occurrences or
losses that take place only within a stated geographical region.
Other Insurance - CORRECT ANSWER - The principle of indemnity dictates against
duplicate recovery for the same loss.
Cancellation - CORRECT ANSWER - The insured may cancel at any time, for any reason,
without advance notice. If the conpany wishes to cancel, it must provide some degree of advance
notice so the insured will have time to replace the coverage.
Appraisal - CORRECT ANSWER - A written contract of or written agreement for or
effecting insurance, or the certificate thereof, by whatever name called, and includes all clauses,
riders, endorsements and papers which are a part thereof.
ACTUAL Exam Questions and CORRECT
Answers
Peril - CORRECT ANSWER - Somthing that causes a loss.
Hazard - CORRECT ANSWER - Something that increases the probability that a loss will
occur.
Warranty - CORRECT ANSWER - A policy condition, either based on information in the
insureds application or inserted by the insurer. It is a guarantee of a fact.
Misrepresentation - CORRECT ANSWER - An untrue statement by the insured, made in
an application for insurance but which does not become a part of the policy.
Concealment - CORRECT ANSWER - The failure of the insured to reveal relevant facts
known to the insured in applying for insurance.
Abandonment - CORRECT ANSWER - Property insurance policies usually contain an
abandonment clause, stating the insured cannot dump damaged property on the insurer and
demand its full value.
Severability - CORRECT ANSWER - The insurance applies separately to each insured as
if other insureds did not exist.
Proximate Cause - CORRECT ANSWER - A fundamental doctrine in property insurance
holds that when there is an unbroken connection between an occurrence and damage that grows
out of the occurrence, then the resultant damage is all a part of the occurrence.
Direct Loss - CORRECT ANSWER - Physical harm to tangible property.
,Indirect Loss - CORRECT ANSWER - Economic loss which flows as a result of direct
loss.
Actual Cash Value(ACV) - CORRECT ANSWER - Replacement Cost minus Depreciation
Coinsurance - CORRECT ANSWER - Is a method of providing equity in premiums by
granting lower rates to those indureds who accept the responsibility of insuring for amounts
which reflect a high percentage of the value of the subject property.
Personal Contract - CORRECT ANSWER - Policies cover people who own and operate
things, such as automobiles.
Conditional Contract - CORRECT ANSWER - The parties are of unequal bargaining
power, and the insured cannot negotiate the terms, having to take the offer of the insurer as
made.
Contract of Indemnity - CORRECT ANSWER - One should return to their same position
as they were before the loss occurred. This limits the number of people intentionally causing
losses because it was to their economic advantage.
Insurable Interest - CORRECT ANSWER - Any actual, lawful and substantial economic
interest in the safety or preservation of the subject of the insurance free from loss, destruction, or
pecuniary damage or impairment.
Waiver - CORRECT ANSWER - Generally defined as the voluntary relinquishment or
surrender of some rightor privilege.
Express Waiver - CORRECT ANSWER - Occurs when the insurer or its representative
knowingly gives up a known right under the insurance contract.
, Implied Waiver - CORRECT ANSWER - May result from some act of neglect on the part
of the adjuster.
Damages - CORRECT ANSWER - Money Amounts.
Subrogation - CORRECT ANSWER - When an insured has a right to collect damages
from another party, but instead elects to claim the damages under his insurance policy, his rights
against the other party are transferred to the insurer.
Changes - CORRECT ANSWER - All policies provide that any changes to the policy be
made by the insurer, in writing.
Policy Period - CORRECT ANSWER - The condition states that coverage applies only to
losses or occurrences that take place during the policy period. (Prior to the stated date and time
of termination).
Policy Territory - CORRECT ANSWER - Condition limiting coverage to occurrences or
losses that take place only within a stated geographical region.
Other Insurance - CORRECT ANSWER - The principle of indemnity dictates against
duplicate recovery for the same loss.
Cancellation - CORRECT ANSWER - The insured may cancel at any time, for any reason,
without advance notice. If the conpany wishes to cancel, it must provide some degree of advance
notice so the insured will have time to replace the coverage.
Appraisal - CORRECT ANSWER - A written contract of or written agreement for or
effecting insurance, or the certificate thereof, by whatever name called, and includes all clauses,
riders, endorsements and papers which are a part thereof.
