Texas All Lines Adjuster Exam B Questions & Answers (Guaranteed Pass!) 2024 Update

Texas All Lines Adjuster Exam B Questions & Answers (Guaranteed Pass!) 2024 UpdateTexas All Lines Adjuster Exam B Questions & Answers (Guaranteed Pass!) 2024 Update Accumulated Depreciation correct answers The total decrease in an item's value over a period of time. Formula: (Annual Depreciation x Number of years used) Acreage Reporting Date correct answers The deadline for providing the insurer with an acreage report, which is used to determine the amount of coverage needed and the premium charged for a particular crop. Actual Cash Value (ACV) correct answers A valuation method used by insurers to reflect an item's current market value right before being damaged or destroyed. Formula: (Replacement cost - Accumulated Depreciation) Actual Production History correct answers A history of a farmer's crop yields over a multi-year period, which is used to determine the normal production level of a farm. Adhesion correct answers Characteristic of an insurance contract. Means that one party (the insurer) sets the terms, and the other (the policyholder) can "take it or leave it." Adjusted Gross Revenue (Crop Insurance) correct answers Narrowest (and least expensive) form of Crop Revenue Insurance. Insures farm revenue as a whole instead of individual crops. Guarantees a percentage of the insured farm's average revenue. Adjuster correct answers An agent who, for compensation, processes insurance claims. Can represent either the insured or the insurer. Adjuster - Emergency correct answers Adjusters who are temporarily licensed by the insurance commissioner to handle claims during catastrophes or emergencies that produce an overwhelming number of claims in a short period of time. Adjuster - Independent correct answers Self-employed adjusters who contract with multiple insurers at the same time. Paid on a commission or fee-plus-expenses basis for each claim. Also called: Fee Adjuster, Bureau Adjuster Adjuster - Public correct answers An adjuster who is hired to represent the claimant and help determine a fair indemnification. Usually specializes in appraisals and negotiation. Paid commission, usually a percentage of final settlement. Adjuster - Staff correct answers Salaried employee of one insurance company who can work locally, regionally, or nationally. Also called: Company Adjuster Advance Payment Settlement correct answers A settlement option that lets the insurer offer some financial relief to the claimant before the claim has been fully settled. The insurer makes advance payments to the claimant, which are then subtracted from the final settlement amount. Often used when a claimant suffers bodily injury and is unable to work. Agency Authority correct answers The Agent's authority to act on behalf of someone else, usually an insurer. This authority is derived from the agent's contract with the insurer. Agency Authority - express correct answers Authority that is expressly given to the agent in writing. Allows agent to act on behalf of the principal. Agency Authority - implied correct answers Authority that an agent possesses by implication of her behavior, regardless of whether this authority is granted in writing. Agency Authority - apparent correct answers Authority that an agent possesses based on the appearance of representing the insurer. Agent correct answers Someone who has received authority from an insurer to sell or service insurance policies. Aggregate Limit correct answers A type of policy limit found in some health, liability, and property damage policies. It represents the total amount the insurer will pay for all losses (as opposed to an occurrence limit, which denotes the total amount the insurer will pay per occurrence). Agreement correct answers One of the four requirements of a legally binding contract. All parties involved must agree to the terms of the contract. Can also refer to a binder, which is the preliminary substance of a contract. Agricultural Producer correct answers A business that grows, harvests, and sells crops for profit. Aleatory correct answers A characteristic of an insurance contract. Means "depending on an unknown future event." An insurance contract will only pay IF and WHEN covered damages occur. Neither party knows how much the contract will end up paying when they enter into the contract. Answer correct answers In liability cases, the defendant's response to a complaint. There are three possible answers: 1) accept complaint and pay for damages, 2) deny the complaint, or 3) accept the complaint with a right to insert evidence into the case. Annual Depreciation correct answers An item's Replacement cost divided by the number of years in its expected lifespan. Appraisal correct answers A negotiation method which allows the claimant and the insurer each to select an appraiser. The two appraisers in turn select an Umpire. The appraisers then work