GA Insurance Adjuster Course Exam Study Guide Questions and Answers | 2026 | Guaranteed Success

GA Insurance Adjuster Course Exam Study Guide Questions and Answers | 2026 | Guaranteed Success Six Special Characteristic of Insurance Contracts - answer-Personal, Adhesion, Utmost Good Faith, Aleatory, Unilateral, Condition Coverage F - answer-Medical Payments Umbrella - answer-An umbrella policy provided liability coverage over and above the normal or base limits of liability in a policy. An umbrella policy is a type of excess policy Risk Transference - answer-Management of severe risk by transferring the risk of another party Risk Avoidance - answer-Eliminates risk by not taking an action that involves risk B.O.P. - answer-Business Owner Package C.P.P - answer-Commercial Package Policies Representation - answer-A statement of a fact Misrepresentation - answer-A false, distorted, or deceitful statement of fact or opinion, even if made unintentionallyPersonal Contract - answer-Protects the policyholder from financial losses. It does not protect property from becoming damaged. Coverage the follows the person, not the property. Adhesion Contract - answer-The insurer is responsible for the term of the contract. The insured has no say in wording. Courts favor the insured in the event of an ambiguity. Utmost Good Faith Contract - answer-Applicants are expected to be completely honest about the risk to the insurer. The insurer must rely on applicants to conceal or misrepresent pertinent facts. Aleatory Contract - answer-Policy holder could pay more in premiums than they ever get for claims, or insurer could pay more in claims than it recieves. 60 - answer-A discovery from commercial crime policy can apply to losses discovered during the policy as well as up to many days after his expiration date. Reciprocal Insurer - answer-An unincorporated organization of subscriber that operates through an attorney in fact to provide insurance benefits for its members Risk Reduction "Risk Mitigation" - answer-Taking measures to reduce the risk involved in an action Risk Retention - answer-Acknowledging the risk and preparing to handle unexpected losses that may occur. Coverage B - answer-Detached Private Structures Coverage D - answer-Loss of use; Fair Rental Value, Additional living expensesConditional Contract - answer-The insurer only has to perform if certain conditions are met. Unilateral Contract - answer-The insurer has an obligation to pay for covered losses. The insured has no obligation. Concealment - answer-Deliberately withholding relevant information Binder - answer-Temporary coverage for an insurance applicant until the policy is issued $500 - answer-Personal Article Floater have the amount of______deductible Morale Hazard - answer-Takes place when insured acts differently because of the comfort that insurance protection provides. Surety - answer-Guarantees to pay obligee if principal defaults Indemnitor - answer-Fourth Party to a surety bond who agrees to reimburse the surety for losses sustained if the principal defaults Suretyship - answer-An arrangement between three parties in which one party promises to perform for another party, and a third party guarantees they will fulfill that premise Doctrine of Reasonable Expectations - answer-The contract should be interpreted as a reasonable person would interpret it Coverage C - answer-personal propertyHO-3 (special form) - answer-covers the dwelling and other structures on a risk-of-directphysical loss basis. All direct physical losses are covered except those losses specifically excluded. Personal property is covered on a named perils basis HO-2 (broad form) - answer-covers the dwelling, other structures, and personal property on a named perils basis HO-4 (contents broad form) - answer-covers a tenant's personal property on a named perils basis HO-5 Comprehensive Form - answer-provides open perils coverage ("all-risks coverage") on the dwelling, other structures and personal property. HO-6 (Condo Form) - answer-covers personal property on a named perils basis. A minimum of $5,000 of insurance is also provided on the condominium unit that covers improvements and additions HO-8 (modified coverage form) - answer-designed for older homes. Dwelling and other structures are based on the amount required to repair or replace using common construction materials and methods How long do you have to file a law suit in GA? - answer-2 years Which statement about the Federal Employers Liability Act is True? - answer-It protects only interstate railroad workers and their families In GA, an individual has_____ to file a lawsuit for libel - answer-One YearIn the personal Auto Policy, Part F- General Provisions Provides: - answer-Rules regarding cancellation or changes to the policy Business Income Coverage - answer-Provides protection for loss of income due to a covered loss collateral - answer-A sum of cash or valuable property put into a reserve controlled by the surety. Standard Form 25 - answer-Financial institution bond is designed for all types of insurance companies Captive Insurance - answer-an insurer owned by a parent firm for the purpose of insuring the parent firm's loss exposures Insurers - answer-Guaranty Associations are funded by? CPP (Commercial Package Policy) - answer-An elective-based policy Which of the following is NOT true regarding the Georgia Fair Plan? - answer-Commercial Properties are not eligible Which of the following is NOT true of Personal Injury Protection? - answer-PIP is usually secondary coverage Actual Cash Value (ACV) - answer-A valuation method that takes into account an item's depreciation. Formula: Replacement Cost minus Depreciation