Florida Licensing Exam Questions and Answers 100% Pass

Florida Licensing Exam Questions and Answers 100% Pass All of the following describe insurable interest EXCEPT: • It must exist at the time of the loss • It must exist for insurance to respond • Shows a similarity between insurance and wagering • The insured would suffer an economic loss - Correct Answer ️️ -• Shows a similarity between insurance and wagering An Insurance Policy is a contract with all the following characteristics, EXCEPT: • It is a personal contract • parties are of unequal power with ambiguities or unclear working resolved in favor of the insured because it is a contract of adhesion • Indemnity is not part of an insurance contract • There are conditions imposed on both the insurer and insured - Correct Answer ️️ -• Indemnity is not part of an insurance contract An insurance contract which may contain a "gray area" or an ambiguity that is generally resolved in favor of the insured because insurance is a contract of: - Correct Answer ️️ -Adhesion If an insured sells his car to another person, the buyer may be prohibited from also receiving the insured's policy. This is because the insurance contract is a contract of: - Correct Answer ️️ -Personal nature Strict or absolute liability - Correct Answer ️️ -Is assigned by law or statute Jack and Connie agree to have Jack burn down Connie's house for $10,000. What element of a valid contract is missing? - Correct Answer ️️ -Legal Purpose Risks that are insurable are - Correct Answer ️️ -Pure risks Insurance that covers the responsibility for loss arising out of negligence that results in payment to a party other than the insured is: - Correct Answer ️️ -Liability Insurance The goal of insurance is to restore the insured to the same economic position as before the covered loss, this is the principle of - Correct Answer ️️ -Indemnity All of the following are ways that liability limits can be expressed except: • PIP Limit • Aggregate Limit • Split Limit • Single Limit - Correct Answer ️️ -PIP Limit An insured has A SPLIT limit liability policy with 10/20/10 limits. He owes the following people liability bodily injuries claims of: Passenger 1 = $12,000, Passenger 2 = $10,000, Passenger 3 = $18,000. How much liability insurance will his policy pay for these claims? - Correct Answer ️️ -$20,000 If a lender has an insurable interest in an auto, because of the money loaned to finance the purchase, the lender would appear on the policy as the: • Lessee • Loss Payee • Mortgagor • Mortgagee - Correct Answer ️️ -Loss Payee To turn partially damaged property over to the insurance company and ask them to pay for a total loss is called - Correct Answer ️️ -Abandonment Firemen caused water damage to a property by spraying water to put out a fire. If the property insurance policy listed fire as the only named peril: - Correct Answer ️️ -The water damage is covered due to the concept of proximate cause XYZ Insurance Corp. filed its corporate charter in Tallahassee and has its home office in Tampa: - Correct Answer ️️ -In Florida, XYZ is a domestic insurer An insured has a home with a replacement cost / value of $100,000, on which he carries an insurance policy for $80,000 with an 80% Coinsurance clause. The insured has a $20,000 partial loss, the insurance company will pay how much for this p