42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
1. actual authority anything a principal authorizes the agent to do
2. aleatory contract contract in which the amounts exchanged are not equal
3. conformity to statute a policy provision that says the policy follows a state's law if the
law and policy language are in conflict
4. contract of adhesion contract drawn by one party and offered to another on a "take
it or leave it" basis
5. direct writer agent an agent that is an employee of an insurer, rather than as an
independent holding contracts with an insurer
6. duty of accounting the agent must account for any money entrusted to him by the
principal
7. duty of loyalty owed by an agent to the principal- the agent must not do
anything to harm the principal
8. duty of obedience the agent must obey all lawful instructions from the principal
9. duty of reasonable care the agent must exercise the same degree of care as a reason-
able and prudent person
10. duty to give information the agent must keep the principal informed about any factors
that affect the principal-agent relationship
11. exclusive agent an agent that has a contract with only one insurer. may or may
not be an employee of the insurance company he represents.
12. FAIR plan a government program that offers property and crime insur-
ance in the inner cities
13. fraternal insurers offer coverage only to members of a particular group
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
,42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
14. hazard increases the chance of loss from a peril
15. indemnify to make whole again financially
16. independent adjuster an adjuster who works for several companies on a contract
basis
17. independent agent an agent that has contracts with several insurers. "Owns the
expirations"
18. Inland Marine traditionally provides protection for property in transit over
land, and today, to collections, personal property, and other
coverage for movable property
19. insurable interest the potential for financial loss associated with damage or de-
struction of property
20. insurance policy the indemnity contract between an insured and insurer
21. marine insurance insurance that covers property that is in some way related to
transportation
22. moral hazard arises out of the dishonesty of an insured. Burning down your
own house
23. morale hazard arises out of the indifference to loss because of insurance
coverage
24. ocean marine provides protection for waterborne property
25. peril potential cause for loss
26. premium consideration paid by the insured in exchange for the insurer's
promise to indemnify
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
,42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
27. reciprocal insurers a group of individuals or firms who combine to pay each other's
losses
28. social insurance a minimal level of protection provided by the government.
participation is mandatory
29. workers comp 3a known locations
30. workers comp 3c other locations
31. employers liability basic poli- bodily injury by accident- 100k
cy limits bodily injury by disease- 500k policy limit
bodilty injury by disease- 100k per employee
32. USL&H provides workers comp benefits to employees, other than sea-
men who work in maritime employment and on navigable
waters
33. defense base act extends the USL&H to employees of American contractors per-
forming public works outside the US.
34. jones act entitles a seamen and his beneficiaries to sue his employer for
negligence.
35. Coverage A: General liability Bodily injury and property damage
36. coverage b: general liability personal and advertising injury
37. coverage c: general liability medical expenses (has to be reported within one year of the
accident)
38. Who is an insured under gen- individual (you and your spouse), partnership and joint venture
eral liability? (members, partners, and their spouses), LLC (members and
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
1. actual authority anything a principal authorizes the agent to do
2. aleatory contract contract in which the amounts exchanged are not equal
3. conformity to statute a policy provision that says the policy follows a state's law if the
law and policy language are in conflict
4. contract of adhesion contract drawn by one party and offered to another on a "take
it or leave it" basis
5. direct writer agent an agent that is an employee of an insurer, rather than as an
independent holding contracts with an insurer
6. duty of accounting the agent must account for any money entrusted to him by the
principal
7. duty of loyalty owed by an agent to the principal- the agent must not do
anything to harm the principal
8. duty of obedience the agent must obey all lawful instructions from the principal
9. duty of reasonable care the agent must exercise the same degree of care as a reason-
able and prudent person
10. duty to give information the agent must keep the principal informed about any factors
that affect the principal-agent relationship
11. exclusive agent an agent that has a contract with only one insurer. may or may
not be an employee of the insurance company he represents.
12. FAIR plan a government program that offers property and crime insur-
ance in the inner cities
13. fraternal insurers offer coverage only to members of a particular group
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
,42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
14. hazard increases the chance of loss from a peril
15. indemnify to make whole again financially
16. independent adjuster an adjuster who works for several companies on a contract
basis
17. independent agent an agent that has contracts with several insurers. "Owns the
expirations"
18. Inland Marine traditionally provides protection for property in transit over
land, and today, to collections, personal property, and other
coverage for movable property
19. insurable interest the potential for financial loss associated with damage or de-
struction of property
20. insurance policy the indemnity contract between an insured and insurer
21. marine insurance insurance that covers property that is in some way related to
transportation
22. moral hazard arises out of the dishonesty of an insured. Burning down your
own house
23. morale hazard arises out of the indifference to loss because of insurance
coverage
24. ocean marine provides protection for waterborne property
25. peril potential cause for loss
26. premium consideration paid by the insured in exchange for the insurer's
promise to indemnify
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
,42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
2-20 Insurance License Exam
Study online at https://quizlet.com/_1g65aa
27. reciprocal insurers a group of individuals or firms who combine to pay each other's
losses
28. social insurance a minimal level of protection provided by the government.
participation is mandatory
29. workers comp 3a known locations
30. workers comp 3c other locations
31. employers liability basic poli- bodily injury by accident- 100k
cy limits bodily injury by disease- 500k policy limit
bodilty injury by disease- 100k per employee
32. USL&H provides workers comp benefits to employees, other than sea-
men who work in maritime employment and on navigable
waters
33. defense base act extends the USL&H to employees of American contractors per-
forming public works outside the US.
34. jones act entitles a seamen and his beneficiaries to sue his employer for
negligence.
35. Coverage A: General liability Bodily injury and property damage
36. coverage b: general liability personal and advertising injury
37. coverage c: general liability medical expenses (has to be reported within one year of the
accident)
38. Who is an insured under gen- individual (you and your spouse), partnership and joint venture
eral liability? (members, partners, and their spouses), LLC (members and
42-20
nse Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance
2026-10-142-20
License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$U&*($710/14/2026,
Insurance License Exam.pdf10/14/2026*&#(*^$&@^*$*U(H$*H*H&$)*&$(&^$&*^^$(&))))))))))))))))))))))))))))________________________________$
2:15:04 AM 2
