Chapter 1 of Illinois Public Adjuster Exam With
Complete Questions And Answers 100%Correct
Guaranteed Pass
#$%^&
Insurance - (ANSWERS)arrangement between insured and insurer
Insurance Contract - (ANSWERS)2 Parties:
- 1st: Named Insured
- 2nd: Insurer(insurance company agrees to indemnify any risks)
Property Insurance - (ANSWERS)Insurer promises to pay covered cost
Contract - (ANSWERS)A legally bonding agreement that includes 4 elements
- Consideration
- Legality
- Agreement
- Parties
Idemnity - (ANSWERS)Made financially whole
Conditional - (ANSWERS)One parties obligation due to the performance of the other party
Adhesion - (ANSWERS)Written by one party only
Exception for Insurance - (ANSWERS)Doctrine of reasonable expectations
Uninsurability - (ANSWERS)- Losses caused intentionally
- Losses that are inevitable or latent defects
- Controllable losses
Obsolescence - (ANSWERS)Outdated or replaced w/something else
Adverse Selection - (ANSWERS)Abuse of the insurance system
Representations - (ANSWERS)True statements at the time
Mis-Representations - (ANSWERS)MF lies at anytime to insurance
Concealment - (ANSWERS)Covers up/hides facts
Material Misrepresentation and Material Concealment - (ANSWERS)This results in insurance
fraud and insurance coverage is VOID
Hazards - (ANSWERS)A feature of characteristic about subject(existing before loss occurs)
, Chapter 1 of Illinois Public Adjuster Exam With
Complete Questions And Answers 100%Correct
Guaranteed Pass
#$%^&
Physical Hazards - (ANSWERS)Same thing as a Hazard but physical hazards that make loss
more likely
Morale Hazard - (ANSWERS)Lack of concern about having a loss
Insurable Interest - (ANSWERS)Party has economic interest in property
- Lienholder or mortgagee (a bank) holder of interest
- Bailee (a place where they perform service)
Direct Loss - (ANSWERS)Damage caused one or more peril(s) is insured against
Indirect Loss - (ANSWERS)"Loss of use" case by a direct loss
Additional Coverages - (ANSWERS)Provided automatically
Peril - (ANSWERS)A cause of loss which can be an act of nature like windstorm, hail or man-
made like a riot
Named-Peril - (ANSWERS)Actually list or name the perils that is insured against on covered
property
Open-Peril - (ANSWERS)Insures against all perils except those excluded often called "all risk"
or "special form"
Special Form Exclusions - (ANSWERS)Deal w/losses that are controllable, expected inevitable,
or non-accidental
Ex. (gradual deterioration, loss of market value, freezing of pipes when power insured off)
Deductible - (ANSWERS)Deduction of Loss
- normally stated dollar amount, but %-of-limit deductions may appear
- applies only once for each occurrence that causes direct loss, but never apply to indirect loss
Conditions - (ANSWERS)Rules governing covered loses
Replacement Cost - (ANSWERS)$ to replace new property like kind and quality
Actual Cash Value - (ANSWERS)RC - DEP = ACV
Coinsurance - (ANSWERS)Setting policy limits too low
Complete Questions And Answers 100%Correct
Guaranteed Pass
#$%^&
Insurance - (ANSWERS)arrangement between insured and insurer
Insurance Contract - (ANSWERS)2 Parties:
- 1st: Named Insured
- 2nd: Insurer(insurance company agrees to indemnify any risks)
Property Insurance - (ANSWERS)Insurer promises to pay covered cost
Contract - (ANSWERS)A legally bonding agreement that includes 4 elements
- Consideration
- Legality
- Agreement
- Parties
Idemnity - (ANSWERS)Made financially whole
Conditional - (ANSWERS)One parties obligation due to the performance of the other party
Adhesion - (ANSWERS)Written by one party only
Exception for Insurance - (ANSWERS)Doctrine of reasonable expectations
Uninsurability - (ANSWERS)- Losses caused intentionally
- Losses that are inevitable or latent defects
- Controllable losses
Obsolescence - (ANSWERS)Outdated or replaced w/something else
Adverse Selection - (ANSWERS)Abuse of the insurance system
Representations - (ANSWERS)True statements at the time
Mis-Representations - (ANSWERS)MF lies at anytime to insurance
Concealment - (ANSWERS)Covers up/hides facts
Material Misrepresentation and Material Concealment - (ANSWERS)This results in insurance
fraud and insurance coverage is VOID
Hazards - (ANSWERS)A feature of characteristic about subject(existing before loss occurs)
, Chapter 1 of Illinois Public Adjuster Exam With
Complete Questions And Answers 100%Correct
Guaranteed Pass
#$%^&
Physical Hazards - (ANSWERS)Same thing as a Hazard but physical hazards that make loss
more likely
Morale Hazard - (ANSWERS)Lack of concern about having a loss
Insurable Interest - (ANSWERS)Party has economic interest in property
- Lienholder or mortgagee (a bank) holder of interest
- Bailee (a place where they perform service)
Direct Loss - (ANSWERS)Damage caused one or more peril(s) is insured against
Indirect Loss - (ANSWERS)"Loss of use" case by a direct loss
Additional Coverages - (ANSWERS)Provided automatically
Peril - (ANSWERS)A cause of loss which can be an act of nature like windstorm, hail or man-
made like a riot
Named-Peril - (ANSWERS)Actually list or name the perils that is insured against on covered
property
Open-Peril - (ANSWERS)Insures against all perils except those excluded often called "all risk"
or "special form"
Special Form Exclusions - (ANSWERS)Deal w/losses that are controllable, expected inevitable,
or non-accidental
Ex. (gradual deterioration, loss of market value, freezing of pipes when power insured off)
Deductible - (ANSWERS)Deduction of Loss
- normally stated dollar amount, but %-of-limit deductions may appear
- applies only once for each occurrence that causes direct loss, but never apply to indirect loss
Conditions - (ANSWERS)Rules governing covered loses
Replacement Cost - (ANSWERS)$ to replace new property like kind and quality
Actual Cash Value - (ANSWERS)RC - DEP = ACV
Coinsurance - (ANSWERS)Setting policy limits too low
