Utah Property and Casualty Insurance exam 2024 with 100% correct answers

Absolute Liability Answer - Liability that arises from an extremely dangerous situation. Absolute liability is often found in cases involving explosives. Also known as "strict" liability. For ex you are absolutely liable if you keep a wild animal as a pet. Accident Answer - A sudden and unexpected event, occurring at a specific time and place. Actual Cash Value (ACV) Answer - The cost to replace an item of property at the time of loss, less an allowance for depreciation. Often used to determine amount of reimbursement for a loss (Replacement Cost minus Depreciation.) Additional Insured Answer - A person, firm, or corporation other than the Named Insured on a policy, or a lender named in a mortgage clause, who is protected against loss by the terms of the policy. Additional Living Expenses Answer - A coverage designed to reimburse the insured for an increase in living expenses necessitated by a loss to the dwelling. This Indirect Loss must be the result of Direct Loss by a covered Peril. Adjuster Answer - Represents the insurance company and acts for the company in working on agreements as to the amount of a loss and the liability of the company. Admitted Company Answer - A company that meets the state insurance department's standards and is authorized by the Director to do business in the state. Agent/Producer Answer - An individual appointed by an insurance company to solicit, negotiate, effect, or countersign insurance contracts on its behalf.