Florida 3-20 Public Adjuster State Exam Set 1, Florida Department of Financial Services, 2026 — practice questions with best solutions

Florida 3-20 Public Adjusters State Exam
(Set 1) BEST SOLUTIONS.
Florida 3-20 Public Adjusters State Exam
(Set 1) BEST SOLUTIONS.
The insurer and insured agree to a specific value of insured item - CORRECT ANSWER
Agreed Value Policies

Someone who has care, custody or control of another's property - CORRECT ANSWER
Bailee

Claim filed by policy holder against his _ - CORRECT ANSWER First Party Claim

When a person who entrusts another with an object and it results in injury to someone
can be held liable for the injury to someone. Can be held liable for the injury i.e. Firearm
or DWI - CORRECT ANSWER Negligent Entrustment

Hazard that results from a conscious decision made by an insured to participate in a
manner or behavior more likely to result in a loss because they have insurance -
CORRECT ANSWER Moral Hazard

Used to provide temporary insurance coverage until an insurance policy can be written -
CORRECT ANSWER Binder

Required by lenders to guarantee that outstanding loans against a job are paid upon
completion - CORRECT ANSWER Completion Bonds

The section of an insurance policy identifying the insured, endorsements, coverages,
limits, and premiums - CORRECT ANSWER Declarations

Policyholder cannot transfer the policy to someone else without written permission from
their insurance company - CORRECT ANSWER Assignment

An instance, behavior or environment that increases the likelihood of a loss on an
insured item - CORRECT ANSWER Hazard

Actual cause or source of an incidence of destruction, injury, or loss - CORRECT
ANSWER Peril

An insurance company organized and domiciled outside the US - CORRECT ANSWER
Alien

When there is an unbroken chain of events between an occurrence and a loss, then the
loss is part of the original occurrence - CORRECT ANSWER Proximate Cause

, Florida 3-20 Public Adjusters State Exam
(Set 1) BEST SOLUTIONS.
Is proximate cause of all subsequent damages - CORRECT ANSWER Original
Occurance

An individual who contracts with an adjusting firm as an independent contractor and
handles claims for the insurance companies - CORRECT ANSWER Independent
Adjuster

Action or practice of the insured party is permitted to continue because any defense
against a continuation of said action or practice has been waived by the insurer -
CORRECT ANSWER Estoppel

Operate for profit, collect premiums, reserve a portion of premiums to pay claims -
CORRECT ANSWER Commercial Insurers

Any person who investigates or adjusts losses on behalf of either an insurer or a self-
insured - CORRECT ANSWER Independent Adjuster

The result of an insured's tort or wrongdoing. Consequences of a loss or amount or type
of losses suffered - CORRECT ANSWER Damages

Requires the insured to insure the named property for a specific amount of insurance as
required by the insurance company - CORRECT ANSWER Agreed Value

Physical harm to tangible property caused by peril (loss to property or person in which a
covered peril is the proximate cause of damage or destruction) - CORRECT ANSWER
Direct loss

The entity that is the "recipient" to the Principal - CORRECT ANSWER Obligee

Insurance contracts are written on a take it or leave it basis to the policy owner. -
CORRECT ANSWER Adhesion

Event or circumstance that causes damage - CORRECT ANSWER Occurance

Coverage provides for payment of losses if civil authority denies access to the insured
premises due to a covered peril - CORRECT ANSWER Civil Authority

Voluntary relinquishment of a known legal right - CORRECT ANSWER Waiver

An insurer domiciled outside the state where it writes insurance - CORRECT ANSWER
Foreign