Florida 20-44 Personal Lines Agent Pre-
Exam Flashcards 2026: Complete Study
Sets with Key Terms & Exam Concepts
1. the cost to replace an item or property at the time of loss, minus
depreciation - answer-Actual Cash Value (ACV)
2. a type of policy limit which limits coverage to a specified total
amount for all losses occuring w/in the policy period - answer-
Aggregate Limit
3. conviction of a 3rd degree felony, liability for all unpaid claims,
suspencion or revocation of all insurance licenses - answer-Aiding
and Abetting an unathorized insurer
4. insurer other than a domestic or foreign insurer - answer-Alien
5. "open perils" insurance - protecting the insured from loss arising
from any peril other than those perils specifically excluded by
name - answer-All Risk Insurance
6. the authority given by an insurer or employer to a licensee to
transact insurance or adjust claims on behalf of an insurer or
employer - answer-Appointment
,7. in the event the insured and the insurer cannot agree on amount
of claim settlement, each appoints an appraiser - answer-
Appraisal Clause
8. policy transfer from one insured to another - answer-Assignment
9. one authorized by a subsisting certificate of authority issued by
the department to transact insurance in this state - answer-
Authorized insurer
10. an oral/written statement providing immediate insurance
protection, valid for a specified period. Designed to provide
temporary coverage until a policy can be issued or denied -
answer-Binder
11. single amount of coverage applies to ANY loss of injury up to
the single amount - answer-Blanket Insurance
12. a method of determing the true insurable worth of a
structure or vehicle according to any measure that will prvoide
the most accurate analysis of that property's value - answer-Broad
Evidence Rule
13. an originating general lines agent placing business w/ a
company w/ which he/she is not appointed - answer-Brokering
Agent
,14. monitors the conduct of insurers as it realtes to policyholder
treatment - answer-Bureau of Market Conduct
15. insurer may cancel only for non payment of premium,
material misrepresentation or fraud, or suspension or revocation
of the DL or registration of vehicle. - answer-Cancellation after 60
days of new policy or renewal
16. F.S states an insurer can cancel for any reason except
discrimination with respect to race, color, national origin, creed,
marital status or sex. - answer-Cancellation during the first 60
Days of a new policy
17. a company that provides risk mitigation services for its
parent company - answer-Captive Insurance Company
18. specifies what perils are insured against and lists exclusions.
Several different versions provide increasingly broad coverage
from Basic to Broad to special. - answer-Causes of Loss Form
- act as an insurer - transact insurance (directly or indirectly) -
solicit insurance applications If does so w/out certificate,
commits 3rd degree felony - answer-Certificate of Authority
, 19. the head of the department of financial services, also known
as the treasurer. - answer-Chief Financial Officer
20. Merged together in 2001 from FRPCJUA and FWUA to
provide a market for those residential Properties unable to obtain
Coverage in Voluntary market - answer-Citizens
21. lower rates for insureds who insure a high percentage of the
value of the subject property - answer-Coinsurance
22. requires insured to pay part of loss if coverage is less than
the specified percentage of the value of the property at the time
of loss FORMULA: Loss x (Limit of Insurance/Value of Property x
Coinsurance %) = Loss Settlement - answer-Coinsurance Clause
23. Loss X Limits of insurance/value of property x coinsurance
percentage = Loss Settlement - answer-Coinsurance Formula
- foreign or alien insurer authorized to do business in this
state - during 3 fiscal years - written avg 25%+ direct
premiums in this state than in state of domicile - direct
premiums are 55%+ of its total premiums written in U.S.
during 3 fiscal years - answer-Commercially Domiciled
Insurer
Exam Flashcards 2026: Complete Study
Sets with Key Terms & Exam Concepts
1. the cost to replace an item or property at the time of loss, minus
depreciation - answer-Actual Cash Value (ACV)
2. a type of policy limit which limits coverage to a specified total
amount for all losses occuring w/in the policy period - answer-
Aggregate Limit
3. conviction of a 3rd degree felony, liability for all unpaid claims,
suspencion or revocation of all insurance licenses - answer-Aiding
and Abetting an unathorized insurer
4. insurer other than a domestic or foreign insurer - answer-Alien
5. "open perils" insurance - protecting the insured from loss arising
from any peril other than those perils specifically excluded by
name - answer-All Risk Insurance
6. the authority given by an insurer or employer to a licensee to
transact insurance or adjust claims on behalf of an insurer or
employer - answer-Appointment
,7. in the event the insured and the insurer cannot agree on amount
of claim settlement, each appoints an appraiser - answer-
Appraisal Clause
8. policy transfer from one insured to another - answer-Assignment
9. one authorized by a subsisting certificate of authority issued by
the department to transact insurance in this state - answer-
Authorized insurer
10. an oral/written statement providing immediate insurance
protection, valid for a specified period. Designed to provide
temporary coverage until a policy can be issued or denied -
answer-Binder
11. single amount of coverage applies to ANY loss of injury up to
the single amount - answer-Blanket Insurance
12. a method of determing the true insurable worth of a
structure or vehicle according to any measure that will prvoide
the most accurate analysis of that property's value - answer-Broad
Evidence Rule
13. an originating general lines agent placing business w/ a
company w/ which he/she is not appointed - answer-Brokering
Agent
,14. monitors the conduct of insurers as it realtes to policyholder
treatment - answer-Bureau of Market Conduct
15. insurer may cancel only for non payment of premium,
material misrepresentation or fraud, or suspension or revocation
of the DL or registration of vehicle. - answer-Cancellation after 60
days of new policy or renewal
16. F.S states an insurer can cancel for any reason except
discrimination with respect to race, color, national origin, creed,
marital status or sex. - answer-Cancellation during the first 60
Days of a new policy
17. a company that provides risk mitigation services for its
parent company - answer-Captive Insurance Company
18. specifies what perils are insured against and lists exclusions.
Several different versions provide increasingly broad coverage
from Basic to Broad to special. - answer-Causes of Loss Form
- act as an insurer - transact insurance (directly or indirectly) -
solicit insurance applications If does so w/out certificate,
commits 3rd degree felony - answer-Certificate of Authority
, 19. the head of the department of financial services, also known
as the treasurer. - answer-Chief Financial Officer
20. Merged together in 2001 from FRPCJUA and FWUA to
provide a market for those residential Properties unable to obtain
Coverage in Voluntary market - answer-Citizens
21. lower rates for insureds who insure a high percentage of the
value of the subject property - answer-Coinsurance
22. requires insured to pay part of loss if coverage is less than
the specified percentage of the value of the property at the time
of loss FORMULA: Loss x (Limit of Insurance/Value of Property x
Coinsurance %) = Loss Settlement - answer-Coinsurance Clause
23. Loss X Limits of insurance/value of property x coinsurance
percentage = Loss Settlement - answer-Coinsurance Formula
- foreign or alien insurer authorized to do business in this
state - during 3 fiscal years - written avg 25%+ direct
premiums in this state than in state of domicile - direct
premiums are 55%+ of its total premiums written in U.S.
during 3 fiscal years - answer-Commercially Domiciled
Insurer
