CT Adjuster Exam Practice Questions
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
1. Riley's coupe is insured with He must notify the insurer about the newly acquired
a personal auto policy that in- sedan within four days.
cludes liability, uninsured mo-
torists, and other-than-collission Because Riley's coupe does not have collission coverage,
coverages. He buys a new sedan he must report the newly acquired sedan to his insurer
and wants collission coverage on within four days of its acquisition to get collision coverage
it. Which statement is true about for it.
this coverage?
2. Dairy products in Bette's ice cream Bette's loss will not be covered because mechanical
shop would be destroyed if her breakdown is not a covered peril
freezers failed for more than a few
hours. So Bette added the utility For coverage to apply, the service interruption must result
services-direct damage endorse- from damage to utility company property caused by a
ment, scheduling overhead trans- covered cause of loss. Mechanical breakdown is not a
mission lines, to her businessown- covered peril.
ers policy. When the shop losses
electrical power due to a mechan-
ical breakdown of the utility com-
pany's equipment:
3. An imposter pretends to be Bar- it covers this expense if the identity fraud expense cover-
bara, the president of a succesful age endorsement is attached.
company, while engaging in scan-
dalous activities. These activities The identity fraud expense coverage endorsement adds
attract media attention and threat- a $5,000 limit for advertising expenses to restore a busi-
en the firm's reputation. So Bar- ness reputation.
bara spends $5,000 on advertise-
ments to preserve this reputation.
How will Barbara's businessown-
ers policy address this expense?
1 of 16
, CT Adjuster Exam Practice Questions
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
4. Maurice's personal auto policy Maurice, Sondra, and the Charity Organization
(PAP) on the family car lists him
as the named insured. His wife, Sondra is a named insured by virtue of her marriage to
Sondra, is involved in an accident Maurice, who is named in the policy. Charity Orgraniza-
while using the car as a charity or- tion is an insured because it may be held liable for an
ganization volunteer. The injured insured's use of the named insured's covered auto.
paties sue Maurice, Sondra, and
the charity organization. Which is
insured under the policy's liability
coverage?
5. Jeffrey has violated a cease and $50,000 for each violation
desist order of the Commissioner.
After notice and hearing, what is An individual who violates a cease and desist order of
the maximum amount he may be the Commissioner may be fined up to $50,000 dollars for
fined? each violation or may have his or her license suspended
or revoked.
6. What does an insurance company Proof of Loss Statement
require from an insured before it
will determine whether the policy An insured's proof of loss statement is required by an
covers a loss? insurance company before it will determine whether the
policy covers the loss.
7. Which of the following provides The law of large numbers
an insurance company with a fair-
ly accurate means of determining Because it is based on a large number of independent
the likelihood of a particular event occurences of a simlar nature, the law of large numbers
occurring? allows insurers to determine the probability that actual
losses will equal expected losses.
8. Claudette's home is flooded. As-
suming her homeowners policy
2 of 16
, CT Adjuster Exam Practice Questions
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
would cover at least part of the explain to Claudette why her claim is being denied
damage, she submits a claim.
In verifying coverage, Ira-the ad- The adjuster is obligated to explain why a claim is denied.
juster assigned to Claudette's
claim- discovers that she did not
have flood insurance, and here
claim is therefore not covered. Un-
der the circumstances, Ira should
9. Adrian leaves his workbench to The fire damage was caused by Adrian's negligence
help a customer. When he returns,
he discovers that his soldering iron The BOP's property damage liability coverage covers the
has fallen into a wastebasket and insured's tort liability for damage to leased premesis
started a fire. Adrian rents his shop from fire or explosion. This is fire legal liability coverage.
and has a businessowners policy
with only business personal prop-
erty and liability coverage. Why will
his BOP cover the landlord's claim
for damage to the building?
10. Toni teaches art classes in her Permitted incidental occupancies endorsement
home for small groups of neigh-
bors. The classes are infrequent The permitted incidental occupanices endorsement is
and are not regularly scheduled. narrower than the home busienss insurance coverage
Toni earns a few thousand dol- endorsement. It covers incidental types of business
lars from these classes every year. conducted on the residence premesis, such as offices,
Which is most suitable for Toni's schools, and studios.
business?
11. An employer that is unable to pur- The state's residual market facility
chase workers compensation in-
surance in the state's voluntary Employers that are unable to purchase workers compen-
sation insurance in the voluntary private market can buy
3 of 16
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
1. Riley's coupe is insured with He must notify the insurer about the newly acquired
a personal auto policy that in- sedan within four days.
cludes liability, uninsured mo-
torists, and other-than-collission Because Riley's coupe does not have collission coverage,
coverages. He buys a new sedan he must report the newly acquired sedan to his insurer
and wants collission coverage on within four days of its acquisition to get collision coverage
it. Which statement is true about for it.
this coverage?
2. Dairy products in Bette's ice cream Bette's loss will not be covered because mechanical
shop would be destroyed if her breakdown is not a covered peril
freezers failed for more than a few
hours. So Bette added the utility For coverage to apply, the service interruption must result
services-direct damage endorse- from damage to utility company property caused by a
ment, scheduling overhead trans- covered cause of loss. Mechanical breakdown is not a
mission lines, to her businessown- covered peril.
ers policy. When the shop losses
electrical power due to a mechan-
ical breakdown of the utility com-
pany's equipment:
3. An imposter pretends to be Bar- it covers this expense if the identity fraud expense cover-
bara, the president of a succesful age endorsement is attached.
company, while engaging in scan-
dalous activities. These activities The identity fraud expense coverage endorsement adds
attract media attention and threat- a $5,000 limit for advertising expenses to restore a busi-
en the firm's reputation. So Bar- ness reputation.
bara spends $5,000 on advertise-
ments to preserve this reputation.
How will Barbara's businessown-
ers policy address this expense?
1 of 16
, CT Adjuster Exam Practice Questions
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
4. Maurice's personal auto policy Maurice, Sondra, and the Charity Organization
(PAP) on the family car lists him
as the named insured. His wife, Sondra is a named insured by virtue of her marriage to
Sondra, is involved in an accident Maurice, who is named in the policy. Charity Orgraniza-
while using the car as a charity or- tion is an insured because it may be held liable for an
ganization volunteer. The injured insured's use of the named insured's covered auto.
paties sue Maurice, Sondra, and
the charity organization. Which is
insured under the policy's liability
coverage?
5. Jeffrey has violated a cease and $50,000 for each violation
desist order of the Commissioner.
After notice and hearing, what is An individual who violates a cease and desist order of
the maximum amount he may be the Commissioner may be fined up to $50,000 dollars for
fined? each violation or may have his or her license suspended
or revoked.
6. What does an insurance company Proof of Loss Statement
require from an insured before it
will determine whether the policy An insured's proof of loss statement is required by an
covers a loss? insurance company before it will determine whether the
policy covers the loss.
7. Which of the following provides The law of large numbers
an insurance company with a fair-
ly accurate means of determining Because it is based on a large number of independent
the likelihood of a particular event occurences of a simlar nature, the law of large numbers
occurring? allows insurers to determine the probability that actual
losses will equal expected losses.
8. Claudette's home is flooded. As-
suming her homeowners policy
2 of 16
, CT Adjuster Exam Practice Questions
CT Adjuster Exam Practice Questions
Study online at https://quizlet.com/_b1zdzt
would cover at least part of the explain to Claudette why her claim is being denied
damage, she submits a claim.
In verifying coverage, Ira-the ad- The adjuster is obligated to explain why a claim is denied.
juster assigned to Claudette's
claim- discovers that she did not
have flood insurance, and here
claim is therefore not covered. Un-
der the circumstances, Ira should
9. Adrian leaves his workbench to The fire damage was caused by Adrian's negligence
help a customer. When he returns,
he discovers that his soldering iron The BOP's property damage liability coverage covers the
has fallen into a wastebasket and insured's tort liability for damage to leased premesis
started a fire. Adrian rents his shop from fire or explosion. This is fire legal liability coverage.
and has a businessowners policy
with only business personal prop-
erty and liability coverage. Why will
his BOP cover the landlord's claim
for damage to the building?
10. Toni teaches art classes in her Permitted incidental occupancies endorsement
home for small groups of neigh-
bors. The classes are infrequent The permitted incidental occupanices endorsement is
and are not regularly scheduled. narrower than the home busienss insurance coverage
Toni earns a few thousand dol- endorsement. It covers incidental types of business
lars from these classes every year. conducted on the residence premesis, such as offices,
Which is most suitable for Toni's schools, and studios.
business?
11. An employer that is unable to pur- The state's residual market facility
chase workers compensation in-
surance in the state's voluntary Employers that are unable to purchase workers compen-
sation insurance in the voluntary private market can buy
3 of 16
