ILLINOIS PUBLIC ADJUSTER LATEST 2026 PRACTICE EXAM
QUESTIONS AND ANSWERS MARKED A+
✔✔NFIP Deductibles - ✔✔Emergency program = $1500 deductible for coverages of
100K or less & $2000 deductible for over 100K.
Regular program = $1500 for Pre FIRM zones for 100K/less & $2000 for over 100K
$1000 for full risk zones for 100k/less or $1250 for full risk zones of over 100K.
✔✔$2,500 - ✔✔Limit for fire department service charge under B.O.P
✔✔$5000 - ✔✔Limit for Business Income from Dependent properties= ______ & a 72
hr time deductible
✔✔SFP - ✔✔the policy that has no deductible clause
✔✔Prorata Basis - ✔✔Insureds can select available percentages to increase policy
limits on a _____ basis
✔✔Agreed value - ✔✔Suspends the coinsurance requirement
✔✔Replacement cost - ✔✔Changes the valuation condition from ACV to Replacement
cost
✔✔ACV (Actual Cash Value) - ✔✔Under BLD & Personal property, most often, loss is
settled at _____
- tenants improvements & betterments are paid at ACV.
✔✔$10,000 @ location not owned or leased by insured - ✔✔Property off premises limit
for building and personal property coverage form:
✔✔$10,000 for 90 days - ✔✔Limit for business personal Property portable storage units
=
✔✔60 - ✔✔Under Commercial Inland Marine form, signed sworn statement of loss must
be sent to insurer within ____ days
✔✔Controlled form - ✔✔Form under commercial inland marine that uses a standardized
form, filed for uniform use -
✔✔Non controlled line form - ✔✔Form written by individual companies using their own
form and varying it for the individual risk.
✔✔ACV or cost to replace, whichever is LESS. 30 days - ✔✔Settlement basis for
commercial Inland marine:
, Insures must pay within ___ days after settlement agreement
✔✔ Class 4 felony - ✔✔Any person misappropriating or converting any monies
collected as a public adjuster, whether license or not, will be guilty of a -
✔✔Contract between Public Adjuster and Insured - ✔✔Must include:
names and license number of the public adjuster
effective date of use
formatted in no less than 10 font; full name of the person signing the contact, form
number and edition of the form must be on the lower left hand corner for it to be
approved,
home state, business address and phone number,
the title "Public Adjuster Contract" printed at the head of the contract form
Insureds: full name, street address, insurance company name, and policy number
A description of loss & it's location
description of services to be provided to the insured
A place for the signatures of the public adjuster and the insured
The date and time the contract was signed by the adjuster and the insured.
Attestation language stating that the public adjuster is fully bonded as required by state
law
Disclosure of full salary, fee, commission, compensation/ considerations the public
adjuster is to receive for services
✔✔Notices that must be included in contract between PA & insured - ✔✔- Any public
adjuster contract will be voidable for 5 business days after execution at the option of the
insured
- any contract with a public adjuster that is executed within the five day period after the
loss producing occurrence is voidable for 10 days after execution
- if the insurer pays or commits in writing to pay the policy limit within five business days
after the date of the loss is reported to the insurance company the public adjuster will
not receive a commission, only compensation for services provided
✔✔right to rescind the contract - ✔✔If the insured exercises the right to resend the
contract anything of value given by the insured under the contract must be returned to
the insured within 15 Business days following the receipt by the public adjuster of the
cancellation notice
✔✔Client disclosure - ✔✔If the client of the public adjuster chooses a company,
contractor or any other vendor in which the public adjuster holds any ownership or
equitable interest then that interest must be disclosed to the client.
✔✔Required disclosures - ✔✔The public adjuster must provide written disclosures
regarding financial interests, the claim process and the "consumer rights notice" before
the insured signs a public adjuster contract.
QUESTIONS AND ANSWERS MARKED A+
✔✔NFIP Deductibles - ✔✔Emergency program = $1500 deductible for coverages of
100K or less & $2000 deductible for over 100K.
Regular program = $1500 for Pre FIRM zones for 100K/less & $2000 for over 100K
$1000 for full risk zones for 100k/less or $1250 for full risk zones of over 100K.
✔✔$2,500 - ✔✔Limit for fire department service charge under B.O.P
✔✔$5000 - ✔✔Limit for Business Income from Dependent properties= ______ & a 72
hr time deductible
✔✔SFP - ✔✔the policy that has no deductible clause
✔✔Prorata Basis - ✔✔Insureds can select available percentages to increase policy
limits on a _____ basis
✔✔Agreed value - ✔✔Suspends the coinsurance requirement
✔✔Replacement cost - ✔✔Changes the valuation condition from ACV to Replacement
cost
✔✔ACV (Actual Cash Value) - ✔✔Under BLD & Personal property, most often, loss is
settled at _____
- tenants improvements & betterments are paid at ACV.
✔✔$10,000 @ location not owned or leased by insured - ✔✔Property off premises limit
for building and personal property coverage form:
✔✔$10,000 for 90 days - ✔✔Limit for business personal Property portable storage units
=
✔✔60 - ✔✔Under Commercial Inland Marine form, signed sworn statement of loss must
be sent to insurer within ____ days
✔✔Controlled form - ✔✔Form under commercial inland marine that uses a standardized
form, filed for uniform use -
✔✔Non controlled line form - ✔✔Form written by individual companies using their own
form and varying it for the individual risk.
✔✔ACV or cost to replace, whichever is LESS. 30 days - ✔✔Settlement basis for
commercial Inland marine:
, Insures must pay within ___ days after settlement agreement
✔✔ Class 4 felony - ✔✔Any person misappropriating or converting any monies
collected as a public adjuster, whether license or not, will be guilty of a -
✔✔Contract between Public Adjuster and Insured - ✔✔Must include:
names and license number of the public adjuster
effective date of use
formatted in no less than 10 font; full name of the person signing the contact, form
number and edition of the form must be on the lower left hand corner for it to be
approved,
home state, business address and phone number,
the title "Public Adjuster Contract" printed at the head of the contract form
Insureds: full name, street address, insurance company name, and policy number
A description of loss & it's location
description of services to be provided to the insured
A place for the signatures of the public adjuster and the insured
The date and time the contract was signed by the adjuster and the insured.
Attestation language stating that the public adjuster is fully bonded as required by state
law
Disclosure of full salary, fee, commission, compensation/ considerations the public
adjuster is to receive for services
✔✔Notices that must be included in contract between PA & insured - ✔✔- Any public
adjuster contract will be voidable for 5 business days after execution at the option of the
insured
- any contract with a public adjuster that is executed within the five day period after the
loss producing occurrence is voidable for 10 days after execution
- if the insurer pays or commits in writing to pay the policy limit within five business days
after the date of the loss is reported to the insurance company the public adjuster will
not receive a commission, only compensation for services provided
✔✔right to rescind the contract - ✔✔If the insured exercises the right to resend the
contract anything of value given by the insured under the contract must be returned to
the insured within 15 Business days following the receipt by the public adjuster of the
cancellation notice
✔✔Client disclosure - ✔✔If the client of the public adjuster chooses a company,
contractor or any other vendor in which the public adjuster holds any ownership or
equitable interest then that interest must be disclosed to the client.
✔✔Required disclosures - ✔✔The public adjuster must provide written disclosures
regarding financial interests, the claim process and the "consumer rights notice" before
the insured signs a public adjuster contract.
