ADJUSTERS License 6-20 Exam Questions & Answers(GRADED A)
What is an Insurance Policy - ANSWER-An Insurance Policy is a Contract (agreement between 2 parties)
Insurance Policy in the state of Florida must be? - ANSWER-Written in order to constitute a policy
Legal Definition of Insurance - ANSWER-Contract that undertakes to indemnity, or make whole, or pay a certain amount in the event a covered loss occurs.
Consideration - ANSWER-Value for an Insurance contract is the premium paid by insured and the promise given by insurance company
Temporary Insurance is put into effect by BINDERS - ANSWER-Binders include all terms, conditions and exclusions contained in a policy and no notice of cancellation or non renewal is required unless the binder has a term of more then 60 days
Binder for automobile insurance are the EXCEPTION - ANSWER-5days notice is required to cancel binder
Property Insurance - ANSWER-Payment made to the insured or others with interest simular to insured (mortgage holder)
Liability Insurance - ANSWER-Means a payment will be made to a 3rd party injured of damaged by the insured. An Insured can NEVER recover damages from there own Liability Policy
All Property and Liability Insurance Contracts contain 4 fundamental parts: - ANSWER-
1.) Declaration: Contains info regarding the insured, premium, period of coverage and liability.
2.) Insurance Agreement: defines the coverages contained within coverage. 3.) Exclusions: Eliminate coverage
4.) Conditions: Requirements that MUST be made Before payment will be made
1.) Property Adjuster receives notice of homeowners claim is Covered, Denied or being investigated must be provided within? - ANSWER-30 days
2.) An insurer gives which of the following as Consideration for insurance policy? - ANSWER-A Promise
3.) Which of the following is not found on the Declaration page of a policy? - ANSWER-
Conditions: Requirements that Must be made before payment will be made.
4.) Homeowners dog bites the mailman. Policy that pays the mailman is best described as? - ANSWER-Liability Policy
5.) Insurance Company wrote AUTO Insurance Binder for owner who said he had No prior accidents. Immediately they find out this is NOT True. The company now wants to cancel cinder asap. What is true? - ANSWER-5 days notice REQUIRED
6.) For Insurance to pay damages, an insurance interest must exist: - ANSWER-When the Lost takes place
7.) Speeding while driving is best described as a? - ANSWER-HAZARD
8.) A covered loss is $60,000.
Policy A has limit of $50,000.
Policy B has a limit of $150,000.
BOTH ARE PRORATED POLICIES!!
How much will Policy A pay for this loss? - ANSWER-Add Policy A to Policy B and get Total. Then determine the % between the 2 and that is how much Policy A will pay out.
Example: A+B=$200,000. A is a 1/4 of total so it will pay $15,000.
What is an Insurance Policy - ANSWER-An Insurance Policy is a Contract (agreement between 2 parties)
Insurance Policy in the state of Florida must be? - ANSWER-Written in order to constitute a policy
Legal Definition of Insurance - ANSWER-Contract that undertakes to indemnity, or make whole, or pay a certain amount in the event a covered loss occurs.
Consideration - ANSWER-Value for an Insurance contract is the premium paid by insured and the promise given by insurance company
Temporary Insurance is put into effect by BINDERS - ANSWER-Binders include all terms, conditions and exclusions contained in a policy and no notice of cancellation or non renewal is required unless the binder has a term of more then 60 days
Binder for automobile insurance are the EXCEPTION - ANSWER-5days notice is required to cancel binder
Property Insurance - ANSWER-Payment made to the insured or others with interest simular to insured (mortgage holder)
Liability Insurance - ANSWER-Means a payment will be made to a 3rd party injured of damaged by the insured. An Insured can NEVER recover damages from there own Liability Policy
All Property and Liability Insurance Contracts contain 4 fundamental parts: - ANSWER-
1.) Declaration: Contains info regarding the insured, premium, period of coverage and liability.
2.) Insurance Agreement: defines the coverages contained within coverage. 3.) Exclusions: Eliminate coverage
4.) Conditions: Requirements that MUST be made Before payment will be made
1.) Property Adjuster receives notice of homeowners claim is Covered, Denied or being investigated must be provided within? - ANSWER-30 days
2.) An insurer gives which of the following as Consideration for insurance policy? - ANSWER-A Promise
3.) Which of the following is not found on the Declaration page of a policy? - ANSWER-
Conditions: Requirements that Must be made before payment will be made.
4.) Homeowners dog bites the mailman. Policy that pays the mailman is best described as? - ANSWER-Liability Policy
5.) Insurance Company wrote AUTO Insurance Binder for owner who said he had No prior accidents. Immediately they find out this is NOT True. The company now wants to cancel cinder asap. What is true? - ANSWER-5 days notice REQUIRED
6.) For Insurance to pay damages, an insurance interest must exist: - ANSWER-When the Lost takes place
7.) Speeding while driving is best described as a? - ANSWER-HAZARD
8.) A covered loss is $60,000.
Policy A has limit of $50,000.
Policy B has a limit of $150,000.
BOTH ARE PRORATED POLICIES!!
How much will Policy A pay for this loss? - ANSWER-Add Policy A to Policy B and get Total. Then determine the % between the 2 and that is how much Policy A will pay out.
Example: A+B=$200,000. A is a 1/4 of total so it will pay $15,000.
