20-44 Personal Lines Agent PreXam Flashcards ALL SETS Exam Questions And Answers All Verified

20-44 Personal Lines Agent PreXam Flashcards ALL SETS Exam Questions And Answers All Verified the cost to replace an item or property at the time of loss, minus depreciation - ANS Actual Cash Value (ACV) a type of policy limit which limits coverage to a specified total amount for all losses occurring w/in the policy period - ANS Aggregate Limit conviction of a 3rd degree felony, liability for all unpaid claims, suspension or revocation of all insurance licenses - ANS Aiding and Abetting an unauthorized insurer insurer other than a domestic or foreign insurer - ANS Alien "open perils" insurance - protecting the insured from loss arising from any peril other than those perils specifically excluded by name - ANS All Risk Insurance the authority given by an insurer or employer to a licensee to transact insurance or adjust claims on behalf of an insurer or employer - ANS Appointment in the event the insured and the insurer cannot agree on amount of claim settlement, each appoints an appraiser - ANS Appraisal Clause policy transfer from one insured to another - ANS Assignment one authorized by a subsisting certificate of authority issued by the department to transact insurance in this state - ANS Authorized insurer an oral/written statement providing immediate insurance protection, valid for a specified period. Designed to provide temporary coverage until a policy can be issued or denied - ANS Binder single amount of coverage applies to ANY loss of injury up to the single amount - ANS Blanket Insurance a method of determing the true insurable worth of a structure or vehicle according to any measure that will prvoide the most accurate analysis of that property's value - ANS Broad Evidence Rule an originating general lines agent placing business w/ a company w/ which he/she is not appointed - ANS Brokering Agent monitors the conduct of insurers as it realtes to policyholder treatment - ANS Bureau of Market Conduct insurer may cancel only for non payment of premium, material misrepresentation or fraud, or suspension or revocation of the DL or registration of vehicle. - ANS Cancellation after 60 days of new policy or renewal F.S states an insurer can cancel for any reason except discrimination with respect to race, color, national origin, creed, marital status or sex. - ANS Cancellation during the first 60 Days of a new policy a company that provides risk mitigation services for its parent company - ANS Captive Insurance Company specifies what perils are insured against and lists exclusions. Several different versions provide increasingly broad coverage from Basic to Broad to special. - ANS Causes of Loss Form - act as an insurer - transact insurance (directly or indirectly) - solicit insurance applications If does so w/out certificate, commits 3rd degree felony - ANS Certificate of Authority the head of the department of financial services, also known as the treasurer. - ANS Chief Financial Officer Merged together in 2001 from FRPCJUA and FWUA to provide a market for those residential Properties unable to obtain Coverage in Voluntary market - ANS Citizens lower rates for insureds who insure a high percentage of the value of the subject property - ANS Coinsurance requires insured to pay part of loss if coverage is less than the specified percentage of the value of the property at the time of loss FORMULA: Loss x (Limit of Insurance/Value of Property x Coinsurance %) = Loss Settlement - ANS Coinsurance Clause Loss X Limits of insurance/value of property x coinsurance percentage = Loss Settlement - ANS Coinsurance Formula - foreign or alien insurer authorized to do business in this state - during 3 fiscal years - written avg 25%+ direct premiums in this state than in state of domicile - direct premiums are 55%+ of its total premiums written in U.S. during 3 fiscal years - ANS Commercially Domiciled Insurer reduces a plaintiff's damages by the plaintiff's degree of negligence - ANS Comparative Negligence Rule Property and liability insurance Policies are said to be conditional contracts because the obligation OR the insurer to perform may be condition Upon the insured satisfying Certain conditions. - ANS Conditional Contract Parties are of un equal bargain power. and one party (the insured) cannot negotiate the terms. having to take the offer of the other party (the insurer) as made - ANS Contract of Adhesion if one contributed to their own injuries in any way, they could not recover a dime from others - ANS Contributory Negligence Rule when the majority of insurance written is for family members - ANS Controlled Business money amount w/ which liability insurance is concerned. - ANS Damages the section of an insurance contract which shows who is insured, what property or risk is covered, when and where coverage is effective and how much coverage applies - ANS Declarations physical loss to tangible property - ANS Direct Loss physical harm to property due to peril - ANS Direct Loss