TEXAS ALL LINES ADJUSTER Exam NEW VERSION UPDATE 2025
PRACTICE QUESTIONS AND CORRECT VERIFIED ANSWERS
(completesolutions)ASSURED SUCCESS/GRADED A+!!!
AdjustedGrossRevenue(Crop Insurance)- CORRECT ANSWER-Narrowest(and least
expensive) form of Crop Revenue Insurance. Insures farm revenue as a whole
insteadof
individual crops.Guaranteesa percentageof theinsuredfarm's average revenue.
Adjuster- CORRECT ANSWER-An agentwho,for compensation,
processesinsurance
claims. Can represent either the insured or the insurer.
Adjuster- Emergency- CORRECT ANSWER-Adjusterswhoaretemporarily licensed by
the insurance commissioner to handle claims during catastrophes or emergencies
that
producean overwhelmingnumberof claims in a shortperiodof time.
Adjuster- Independent- CORRECT ANSWER-Self-employedadjusterswhocontract
with multipleinsurersat thesametime.Paid on a commissionor fee- plus-expenses
basis for each claim. Also called: Fee Adjuster, Bureau Adjuster
Adjuster- Public- CORRECT ANSWER-An adjusterwhois hiredto representthe
claimant and help determine a fair indemnification. Usually specializes in
,appraisalsand negotiation.Paid commission,usuallya percentageof final settlement.
Adjuster- Staff- CORRECT ANSWER-Salariedemployeeof oneinsurance companywho
can work locally,regionally,or nationally.Also called:Company Adjuster
- CORRECT ANSWER-A settlement
AdvancePaymentSettlement optionthatletsthe
insurer offer some financial relief to the claimant before the claim has been fully settled.
The insurer makes advance payments to the claimant, whichthen
are subtracted from
the final settlement amount. Often used when a claimant suffers bodily injury and is
unable to work.
AccumulatedDepreciation- CORRECT ANSWER-The totaldecreasein an item'svalue over
a period of time. Formula: (Annual Depreciation x Number of years
used)
AcreageReportingDate- CORRECT ANSWER-The deadlinefor providingtheinsurer with
an acreage report, which is used to determine the amount of coverage needed and the
premium charged for a particular crop.
ActualCash Value (ACV) - CORRECT ANSWER-A valuationmethodusedby insurersto
reflectan item'scurrentmarketvalueright beforebeingdamagedor destroyed. Formula:
(Replacement cost- Accumulated Depreciation)
,ActualProductionHistory - CORRECT ANSWER-A historyof a farmer'scrop yieldsover
a multi-yearperiod,which is usedto determinethenormalproduction level of a farm.
Adhesion- CORRECT ANSWER-Characteristicof an insurancecontract.Meansthatone
party (the insurer) setsthe terms,and the other(the policyholder)can "take it or leave
it."
AgencyAuthority- CORRECT ANSWER-The Agent'sauthorityto acton behalfof
someone else, usually an insurer. This authority is derived from the agent's contract with
the insurer.
AgencyAuthority- express- CORRECT ANSWER-Authoritythatis expresslygiven to
the agent in writing. Allows agent to act on behalf of the principal.
AgencyAuthority- implied- CORRECT ANSWER-Authoritythatan agent possesses
by
implicationof her behavior,regardlessof whetherthis authorityis granted in writing.
AgencyAuthority- apparent- CORRECT ANSWER-Authoritythatan agentpossesses
based on the appearance of representing the insurer.
Agent- CORRECT ANSWER-Someonewhohasreceivedauthorityfroman insurer to
sell or service insurance policies.
, AggregateLimit - CORRECT ANSWER-A typeof policylimit foundin somehealth,
liability, and property damage policies. It represents the total amount the insurer will pay
for all losses (as opposed to an occurrence limit, which denotes the total amount the
insurer will pay per occurrence).
Agreement- CORRECT ANSWER-One of thefourrequirementsof a legally binding
contract.All partiesinvolvedmustagreeto thetermsof thecontract.Can also refer to a
binder, which is the preliminary substance of a contract.
AgriculturalProducer- CORRECT ANSWER-A businessthatgrows,harvests,andsells
crops for profit.
Aleatory - CORRECT ANSWER-A characteristic of an insurance contract. Means
"dependingon an unknown futureevent." Aninsurance contractwill only pay IF and
WHEN covereddamagesoccur. Neither party knows how much the contract will end
up paying when they enter into the contract.
Answer- CORRECT ANSWER-In liabilitycases,thedefendant'sresponseto a complaint.
There are three possible answers: 1) accept complaint and pay for damages,
2) denythe
complaint,or 3) acceptthecomplaintwith a right to insert evidence into the case.
Annual Depreciation- CORRECT ANSWER-An item'sReplacementcostdividedby the
number of years in its expected lifespan.
PRACTICE QUESTIONS AND CORRECT VERIFIED ANSWERS
(completesolutions)ASSURED SUCCESS/GRADED A+!!!
AdjustedGrossRevenue(Crop Insurance)- CORRECT ANSWER-Narrowest(and least
expensive) form of Crop Revenue Insurance. Insures farm revenue as a whole
insteadof
individual crops.Guaranteesa percentageof theinsuredfarm's average revenue.
Adjuster- CORRECT ANSWER-An agentwho,for compensation,
processesinsurance
claims. Can represent either the insured or the insurer.
Adjuster- Emergency- CORRECT ANSWER-Adjusterswhoaretemporarily licensed by
the insurance commissioner to handle claims during catastrophes or emergencies
that
producean overwhelmingnumberof claims in a shortperiodof time.
Adjuster- Independent- CORRECT ANSWER-Self-employedadjusterswhocontract
with multipleinsurersat thesametime.Paid on a commissionor fee- plus-expenses
basis for each claim. Also called: Fee Adjuster, Bureau Adjuster
Adjuster- Public- CORRECT ANSWER-An adjusterwhois hiredto representthe
claimant and help determine a fair indemnification. Usually specializes in
,appraisalsand negotiation.Paid commission,usuallya percentageof final settlement.
Adjuster- Staff- CORRECT ANSWER-Salariedemployeeof oneinsurance companywho
can work locally,regionally,or nationally.Also called:Company Adjuster
- CORRECT ANSWER-A settlement
AdvancePaymentSettlement optionthatletsthe
insurer offer some financial relief to the claimant before the claim has been fully settled.
The insurer makes advance payments to the claimant, whichthen
are subtracted from
the final settlement amount. Often used when a claimant suffers bodily injury and is
unable to work.
AccumulatedDepreciation- CORRECT ANSWER-The totaldecreasein an item'svalue over
a period of time. Formula: (Annual Depreciation x Number of years
used)
AcreageReportingDate- CORRECT ANSWER-The deadlinefor providingtheinsurer with
an acreage report, which is used to determine the amount of coverage needed and the
premium charged for a particular crop.
ActualCash Value (ACV) - CORRECT ANSWER-A valuationmethodusedby insurersto
reflectan item'scurrentmarketvalueright beforebeingdamagedor destroyed. Formula:
(Replacement cost- Accumulated Depreciation)
,ActualProductionHistory - CORRECT ANSWER-A historyof a farmer'scrop yieldsover
a multi-yearperiod,which is usedto determinethenormalproduction level of a farm.
Adhesion- CORRECT ANSWER-Characteristicof an insurancecontract.Meansthatone
party (the insurer) setsthe terms,and the other(the policyholder)can "take it or leave
it."
AgencyAuthority- CORRECT ANSWER-The Agent'sauthorityto acton behalfof
someone else, usually an insurer. This authority is derived from the agent's contract with
the insurer.
AgencyAuthority- express- CORRECT ANSWER-Authoritythatis expresslygiven to
the agent in writing. Allows agent to act on behalf of the principal.
AgencyAuthority- implied- CORRECT ANSWER-Authoritythatan agent possesses
by
implicationof her behavior,regardlessof whetherthis authorityis granted in writing.
AgencyAuthority- apparent- CORRECT ANSWER-Authoritythatan agentpossesses
based on the appearance of representing the insurer.
Agent- CORRECT ANSWER-Someonewhohasreceivedauthorityfroman insurer to
sell or service insurance policies.
, AggregateLimit - CORRECT ANSWER-A typeof policylimit foundin somehealth,
liability, and property damage policies. It represents the total amount the insurer will pay
for all losses (as opposed to an occurrence limit, which denotes the total amount the
insurer will pay per occurrence).
Agreement- CORRECT ANSWER-One of thefourrequirementsof a legally binding
contract.All partiesinvolvedmustagreeto thetermsof thecontract.Can also refer to a
binder, which is the preliminary substance of a contract.
AgriculturalProducer- CORRECT ANSWER-A businessthatgrows,harvests,andsells
crops for profit.
Aleatory - CORRECT ANSWER-A characteristic of an insurance contract. Means
"dependingon an unknown futureevent." Aninsurance contractwill only pay IF and
WHEN covereddamagesoccur. Neither party knows how much the contract will end
up paying when they enter into the contract.
Answer- CORRECT ANSWER-In liabilitycases,thedefendant'sresponseto a complaint.
There are three possible answers: 1) accept complaint and pay for damages,
2) denythe
complaint,or 3) acceptthecomplaintwith a right to insert evidence into the case.
Annual Depreciation- CORRECT ANSWER-An item'sReplacementcostdividedby the
number of years in its expected lifespan.
