USAA LICENSING EXAM/QUESTIONS WITH COMPLETE DETAILED SOLUTIONS/ANSWERED 2024

USAA LICENSING EXAM/QUESTIONS WITH COMPLETE DETAILED SOLUTIONS/ANSWERED 2024 Insurance Answer - Transfer of risk from one person or organization to an insurance company Indemnity Answer - The principle to restore the insured to the pre-loss economic or financial condition. Law of Large numbers Answer - Mathematical principle used by insurers to predict losses to charge the appropriate premiums Insurable Interest Answer - Proof that someone stands to lose financially if a loss occurs; must exist at the time of the loss in property and casualty insurance Binder Answer - Temporary insurance contract; commits the company to act as if a policy has been issued Peril Answer - Cause of loss Direct Loss Answer - Immediate actual physical damage to tangible property Indirect loss Answer - Inability to use property as a resu