ACA FINAL EXAM QUESTIONS AND
DETAILED CORRECT ANSWERS; A+ GRADE
STUDY RESOURCE 2026-2027
A builder contracted for framing on a new section of a
hospital. There is a surety bond purchased to guarantee
completion of the project. Which of the following best
describes the hospital position in the surety bond?
The hospital is the obligee
The hospital is the principalThe hospital is the suretyThe
hospital is the indemnitor - correct answer- The
hospital is the obligee
A claimant ate some undercooked fish and got violently ill
at the restaurant. Which of the following would pay for
this occurrence?
A products and completed operations form
A premises and operations form
,An owner's and contractor's protective liability form
A liquor liability form - correct answer- A
premises and operations form
A furniture manufacturing business wanted to serve free
beer at its company picnic. What is required for this
business to have liability coverage for liquor consumption
at the picnic?
The business CGL policy will cover this exposure
The business CGL requires the liquor liability form in this
case
The business CGL should have the "extension of coverage"
endorsementThere is no way liability for alcoholic
beverages can be included under CGL - correct
answer- The business CGL policy will cover this
exposure
A health insurance policy was issued containing the
provision that the insurance company must renew the
policy to a particular age and could NOT adjust the
premiums. What is this policy called?
, A non-cancelable policy
A major medical policy
An optionally renewable policy
A guaranteed renewable policy - correct answer-
A non-cancelable policy
Adjuster Jane moved from one city in Florida to another.
What length of time does she have to notify the Insurance
Department of the address change?
10 Days30 Days60 Days90 Days - correct answer-
30 days
All of the following activities are illegal for an adjuster,
EXCEPT:
Give advice which is of a legal natureUse only company
forms to prepare releasesEncourage a claimant to make a
quick decision on an offer to settleFail to make claimant
aware of potential litigation for claimant's actions -
correct answer- Use only company forms to
prepare releases
DETAILED CORRECT ANSWERS; A+ GRADE
STUDY RESOURCE 2026-2027
A builder contracted for framing on a new section of a
hospital. There is a surety bond purchased to guarantee
completion of the project. Which of the following best
describes the hospital position in the surety bond?
The hospital is the obligee
The hospital is the principalThe hospital is the suretyThe
hospital is the indemnitor - correct answer- The
hospital is the obligee
A claimant ate some undercooked fish and got violently ill
at the restaurant. Which of the following would pay for
this occurrence?
A products and completed operations form
A premises and operations form
,An owner's and contractor's protective liability form
A liquor liability form - correct answer- A
premises and operations form
A furniture manufacturing business wanted to serve free
beer at its company picnic. What is required for this
business to have liability coverage for liquor consumption
at the picnic?
The business CGL policy will cover this exposure
The business CGL requires the liquor liability form in this
case
The business CGL should have the "extension of coverage"
endorsementThere is no way liability for alcoholic
beverages can be included under CGL - correct
answer- The business CGL policy will cover this
exposure
A health insurance policy was issued containing the
provision that the insurance company must renew the
policy to a particular age and could NOT adjust the
premiums. What is this policy called?
, A non-cancelable policy
A major medical policy
An optionally renewable policy
A guaranteed renewable policy - correct answer-
A non-cancelable policy
Adjuster Jane moved from one city in Florida to another.
What length of time does she have to notify the Insurance
Department of the address change?
10 Days30 Days60 Days90 Days - correct answer-
30 days
All of the following activities are illegal for an adjuster,
EXCEPT:
Give advice which is of a legal natureUse only company
forms to prepare releasesEncourage a claimant to make a
quick decision on an offer to settleFail to make claimant
aware of potential litigation for claimant's actions -
correct answer- Use only company forms to
prepare releases
