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Florida 2-20 General Lines (Property & Casualty)
Agent Exam | Latest Verified Questions and
Detailed Answers
OVERVIEW DESCRIPTION:
This comprehensive set of 175 unique, multiple-choice questions is specifically designed
for the Florida 2-20 General Lines (Property & Casualty) Agent exam. The questions
thoroughly cover all major exam domains, including Florida statutes and regulations,
property and liability insurance basics, personal auto, homeowners, dwelling, commercial
lines (BOP, CPP, CGL), workers’ compensation, flood, inland marine, and professional
liability. Each question is presented in a standardized format with the correct answer and a
concise expert rationale.
QUESTION 1
An insurance agent in Florida is required to report any administrative action taken
against their license in another state within how many days?
A) 10 days
B) 15 days
C) 30 days
D) 45 days
CORRECT ANSWER: C) 30 days
EXPERT RATIONALE: Florida law requires licensees to report any disciplinary action
taken in another jurisdiction within 30 days. Failure to do so can result in license
suspension or revocation.
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QUESTION 2
Which of the following is NOT a required provision in a Florida personal auto policy?
A) Insuring agreement
B) Duties after an accident or loss
C) Right to appraisal
D) Guaranteed renewal for life
CORRECT ANSWER: D) Guaranteed renewal for life
EXPERT RATIONALE: Auto policies do not guarantee renewal for life; insurers may non-
renew with proper notice. The other provisions are standard and required.
QUESTION 3
Under Florida’s workers’ compensation law, an employer must obtain coverage if they
employ at least how many employees?
A) 1 or more
B) 4 or more
C) 5 or more
D) 10 or more
CORRECT ANSWER: B) 4 or more
EXPERT RATIONALE: Florida requires workers’ compensation for construction industry
employers with one or more employees, and for non-construction employers with four
or more employees. This question reflects the general non-construction threshold.
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QUESTION 4
A Commercial General Liability (CGL) policy’s “Products-Completed Operations Hazard”
covers bodily injury occurring:
A) While the product is still in the insured’s possession
B) After the insured has completed operations and the product is out of their control
C) Only during the manufacturing process
D) Exclusively on the insured’s premises
CORRECT ANSWER: B) After the insured has completed operations and the product is
out of their control
EXPERT RATIONALE: This hazard covers injury or damage arising from the insured’s
product or work after operations are complete. It does not cover ongoing operations.
QUESTION 5
In Florida, which type of homeowner policy provides “open peril” coverage on both the
dwelling and personal property?
A) HO-2
B) HO-3
C) HO-4
D) HO-8
CORRECT ANSWER: B) HO-3
EXPERT RATIONALE: HO-3 covers the dwelling on an open perils basis (all risks except
those excluded) and personal property on a named perils basis. HO-5 covers both open
perils, but HO-3 is the most common standard.
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QUESTION 6
When a Florida agent commingles premium funds with personal funds, this is known as:
A) Rebating
B) Twisting
C) Conversion
D) Defalcation
CORRECT ANSWER: C) Conversion
EXPERT RATIONALE: Conversion occurs when an agent improperly uses premium
funds for personal purposes. Commingling alone is also a violation, but conversion
specifically refers to wrongful appropriation.
QUESTION 7
Under the Florida Motor Vehicle No-Fault Law, Personal Injury Protection (PIP) pays
what percentage of medical expenses?
A) 50%
B) 60%
C) 80%
D) 100%
CORRECT ANSWER: C) 80%
EXPERT RATIONALE: Florida PIP pays 80% of reasonable medical expenses, subject to
deductibles and limits. It also pays 60% of lost wages.
Florida 2-20 General Lines (Property & Casualty)
Agent Exam | Latest Verified Questions and
Detailed Answers
OVERVIEW DESCRIPTION:
This comprehensive set of 175 unique, multiple-choice questions is specifically designed
for the Florida 2-20 General Lines (Property & Casualty) Agent exam. The questions
thoroughly cover all major exam domains, including Florida statutes and regulations,
property and liability insurance basics, personal auto, homeowners, dwelling, commercial
lines (BOP, CPP, CGL), workers’ compensation, flood, inland marine, and professional
liability. Each question is presented in a standardized format with the correct answer and a
concise expert rationale.
QUESTION 1
An insurance agent in Florida is required to report any administrative action taken
against their license in another state within how many days?
A) 10 days
B) 15 days
C) 30 days
D) 45 days
CORRECT ANSWER: C) 30 days
EXPERT RATIONALE: Florida law requires licensees to report any disciplinary action
taken in another jurisdiction within 30 days. Failure to do so can result in license
suspension or revocation.
,2|Page
QUESTION 2
Which of the following is NOT a required provision in a Florida personal auto policy?
A) Insuring agreement
B) Duties after an accident or loss
C) Right to appraisal
D) Guaranteed renewal for life
CORRECT ANSWER: D) Guaranteed renewal for life
EXPERT RATIONALE: Auto policies do not guarantee renewal for life; insurers may non-
renew with proper notice. The other provisions are standard and required.
QUESTION 3
Under Florida’s workers’ compensation law, an employer must obtain coverage if they
employ at least how many employees?
A) 1 or more
B) 4 or more
C) 5 or more
D) 10 or more
CORRECT ANSWER: B) 4 or more
EXPERT RATIONALE: Florida requires workers’ compensation for construction industry
employers with one or more employees, and for non-construction employers with four
or more employees. This question reflects the general non-construction threshold.
,3|Page
QUESTION 4
A Commercial General Liability (CGL) policy’s “Products-Completed Operations Hazard”
covers bodily injury occurring:
A) While the product is still in the insured’s possession
B) After the insured has completed operations and the product is out of their control
C) Only during the manufacturing process
D) Exclusively on the insured’s premises
CORRECT ANSWER: B) After the insured has completed operations and the product is
out of their control
EXPERT RATIONALE: This hazard covers injury or damage arising from the insured’s
product or work after operations are complete. It does not cover ongoing operations.
QUESTION 5
In Florida, which type of homeowner policy provides “open peril” coverage on both the
dwelling and personal property?
A) HO-2
B) HO-3
C) HO-4
D) HO-8
CORRECT ANSWER: B) HO-3
EXPERT RATIONALE: HO-3 covers the dwelling on an open perils basis (all risks except
those excluded) and personal property on a named perils basis. HO-5 covers both open
perils, but HO-3 is the most common standard.
, 4|Page
QUESTION 6
When a Florida agent commingles premium funds with personal funds, this is known as:
A) Rebating
B) Twisting
C) Conversion
D) Defalcation
CORRECT ANSWER: C) Conversion
EXPERT RATIONALE: Conversion occurs when an agent improperly uses premium
funds for personal purposes. Commingling alone is also a violation, but conversion
specifically refers to wrongful appropriation.
QUESTION 7
Under the Florida Motor Vehicle No-Fault Law, Personal Injury Protection (PIP) pays
what percentage of medical expenses?
A) 50%
B) 60%
C) 80%
D) 100%
CORRECT ANSWER: C) 80%
EXPERT RATIONALE: Florida PIP pays 80% of reasonable medical expenses, subject to
deductibles and limits. It also pays 60% of lost wages.
