Florida insurance 20-44 License Questions With Correct Answers Already Passed!!

Risk - Change of a financial loss/uncertainty of a loss to happen/uncertainty of future outcome Assumed Risk - Amount of risk the insured is willing to absorb Pure Risk - A situation that present the opportunity for loss, but for no gain; Insurable risk Speculative Risk - Uncertainty about an event under consideration that could produce either a profit or loss/Business venture/Non-insurable risk Insurance - Contract where one indemnifies or pays another a specific amount Law of Large Numbers -Statistical theory stating the larger the number of similar exposure united the more predictable and accurate the estimate of expected loss Policy - Written contract/agreement for or effecting insurance including clauses, riders and endorsement Declaration Page - Includes Named Insured and Address, policy period, premium, limits and loss payee/mortgagee Insuring Agreement - Portion of the insurance policy in which the Insurer(Insurance Company) promises to make payment for covered perils to or on behalf of the insured Conditional Contract - Obligation of the insurer (Insurance Company) may be based on insured satisfying certain conditions Exclusions - Section of policy which lists property, perils, losses, persons or situations which are not coveredEndorsement - Written form attached to an insurance policy that alters the policy's coverage, terms, or conditions