CA ADJUSTERS LICENSE PSI COMPLETE
STUDY GUIDE 2026 IN-DEPTH TWO
HUNDRED QUESTIONS AND EXPERT
VERIFIED ANSWERS WITH FULL
EXPLANATIONS GRADED A+
⩥ Which of these incidents is NOT an example of negligence on the part
of the business? Answer: . A gas station clerk notices a large puddle in
the middle of the floor, but waits 10 minutes to clean it up, during which
time a customer slips and breaks her arm.
B. A grocery store employee closes an aisle after mopping it, but a
shopper needs something from that aisle, so he steps over the sign and
falls, injuring himself.
C. A pizza delivery driver gets into an accident while adjusting his car
radio.
D. The owner of a crafting store accidentally leaves a lit candle on her
desk when she closes up for the night and the store burns down.
Answer : B
⩥ Jacob accidently veered off the road and ran into the boat his neighbor
Eric has parked in front of his house, causing Eric $3,000 in damage.
Jacob's auto policy has a $500 collision deductible. How much will
Jacob's auto policy pay Eric? Answer: $3,000 under liability coverage
, ⩥ Edna's property was partially damaged by a covered peril. But, she
failed to take any action to protect her property from further damage,
and before the adjuster came out to inspect it, the damage was worsened
by another peril. The adjuster denies her claim and refers Edna to the
_______ section of her policy which lists the requirement she failed to
meet as the reason for the denial. Answer: Conditions
⩥ Which endorsement would George need to add to extend his Personal
Auto policy's coverage to his daughter who lives on her own? Answer:
Joint ownership coverage
⩥ All of the insurance professionals below are in danger of having their
California licenses suspended or revoked, EXCEPT: Answer: Arlene,
who received a $175 traffic ticket after running a stop sign.
⩥ Jane's ruby necklace is stolen out of a safe deposit box in her hotel
room. Which endorsement to the hotel's Commercial Crime policy
would indemnify Jane for this loss?
A. Hotel endorsement
B. Extortion endorsement
C. Guests' Property endorsement
D. Securities Deposited with Others endorsement Answer: D. Guests'
Property endorsement
STUDY GUIDE 2026 IN-DEPTH TWO
HUNDRED QUESTIONS AND EXPERT
VERIFIED ANSWERS WITH FULL
EXPLANATIONS GRADED A+
⩥ Which of these incidents is NOT an example of negligence on the part
of the business? Answer: . A gas station clerk notices a large puddle in
the middle of the floor, but waits 10 minutes to clean it up, during which
time a customer slips and breaks her arm.
B. A grocery store employee closes an aisle after mopping it, but a
shopper needs something from that aisle, so he steps over the sign and
falls, injuring himself.
C. A pizza delivery driver gets into an accident while adjusting his car
radio.
D. The owner of a crafting store accidentally leaves a lit candle on her
desk when she closes up for the night and the store burns down.
Answer : B
⩥ Jacob accidently veered off the road and ran into the boat his neighbor
Eric has parked in front of his house, causing Eric $3,000 in damage.
Jacob's auto policy has a $500 collision deductible. How much will
Jacob's auto policy pay Eric? Answer: $3,000 under liability coverage
, ⩥ Edna's property was partially damaged by a covered peril. But, she
failed to take any action to protect her property from further damage,
and before the adjuster came out to inspect it, the damage was worsened
by another peril. The adjuster denies her claim and refers Edna to the
_______ section of her policy which lists the requirement she failed to
meet as the reason for the denial. Answer: Conditions
⩥ Which endorsement would George need to add to extend his Personal
Auto policy's coverage to his daughter who lives on her own? Answer:
Joint ownership coverage
⩥ All of the insurance professionals below are in danger of having their
California licenses suspended or revoked, EXCEPT: Answer: Arlene,
who received a $175 traffic ticket after running a stop sign.
⩥ Jane's ruby necklace is stolen out of a safe deposit box in her hotel
room. Which endorsement to the hotel's Commercial Crime policy
would indemnify Jane for this loss?
A. Hotel endorsement
B. Extortion endorsement
C. Guests' Property endorsement
D. Securities Deposited with Others endorsement Answer: D. Guests'
Property endorsement
