INSURANCE CUSTOMER SERVICE REP 440
Loss Settlement Contract - Answers-The following are basic characteristics of a
property or liability insurance contract, except:
Actual Cash Value - Answers-The Loss Settlement Valuation that subtracts an
allowance for depreciation is defined as?
Liberalization - Answers-States that if the insurer adopts a revision which would
broaden coverage without additional premium within some period of time prior to the
policy period or during the policy period, the insured receives the benefit of such
broadened coverage.
ABC and XYZ are responsible for claiming their own interest - Answers-Frank owned a
home that was destroyed by a hurricane. Both ABC and XYZ Banks were listed as
additional interests on his homeowner s policy. The insurance company will make a
payment to which bank?
Insurable Interest - Answers-A(n) __________ is one wherein economic loss would be
suffered from an adverse happening to the subject:
Warranty - Answers-A policy condition, either based on information in the insured s
application or inserted by the insurer, is defined as:
Severability - Answers-Insurance applies separately to each insured as if other insureds
did not exist. This is defined as:
Jane? Jane's will pay $4,000 Jane's PIP will pay $5,000 x 80% = $4,000
Sue? Sue's will pay $9,600 Sue's PIP will pay $12,000 x 80% = $9,600
Jim? Jim's will pay $10,000 Jim's PIP will pay $20,000 x 80% = $16,000, BUT the PIP
limit is $10,000 - Answers-Jane and Sue are riding with Jim in Jim's car (All 3 are FL
residents who own cars and carry basic PIP with no deductible). Jane has $5,000 in
medical bills, Sue has $12,000 in medical bills, and Jim has $20,000 in medical bills.
Whose PIP will pay and how much will it pay for:
The at-fault driver will have to pay $2,800 for Jeremy's injuries.
$10,000 minus $1,000 Deductible = $9,000
$9,000 x 80% = $7,200 paid by PIP (20% not paid by PIP)
$1,800 (amount not paid by Jeremy s PIP ) + $1,000 (Jeremy Deductible) = $2,800 due
from At-Fault drive - Answers-Jeremy was driving his car in FL when he is hit by an at-
Conditional Contract - Answers-The Insurer s responsibility to pay for a property loss
, may be conditioned on the insured having used reasonable means to avoid the loss, to
protect the property against further loss, and to give the insurer proof of the loss is
defined as?
Doctrine of Proximate Cause - Answers-The __________ states that when there is an
unbroken connection between an occurrence and damage that grows out of the
occurrence, then the resultant damage is all a part of the occurrence.
Abandonment - Answers-Property insurance policies usually contain a(n) __________
clause, stating the insured cannot dump damaged property on the insurer and demand
its full value:
fault driver. Jeremy has $10,000 in Medical Bills, Basic PIP with a $1,000 deductible
and no Med Pay coverage.
3 - Answers-As to required proof for future accidents by purchase of auto liability
insurance, the insurer must make a filing (Form SR-22) certifying that coverage is in
effect, and this certification must remain on file for __________ years:
Temporary Injury of the Insured - Answers-Which of the following is not one of the
"Thresholds" in the "No-Fault" law?
Garage Coverage Form - Answers-Used to insure businesses engaged in selling,
servicing, repairing, parking or storing automobiles:
Material Misrepresentation
Fraud
Drivers License Suspension - Answers-Under the Business Automobile Policy "Other
Florida Auto Insurance Laws," after the first 60 days of the policy, the Company can
cancel for:
36 Months/36,000 Miles - Answers-Under Mechanical Breakdown Coverage, new cars
are eligible for service up to:
$5,000 - Answers-Frank has a not-at-fault accident, he has basic PIP, no deductible and
Med pay of $5,000. How much will his Med Pay contribute to medical bills of $15,000?
Split - Answers-The following examples are referred to as __________ liability limits:
25/50 or 10/20.
$1,600 - Answers-Jeremy has a not at fault accident. If he has PIP with a $1,000
deductible, how much may he expect his PIP coverage to pay toward his medical bills
that total $3,000?
Loss Settlement Contract - Answers-The following are basic characteristics of a
property or liability insurance contract, except:
Actual Cash Value - Answers-The Loss Settlement Valuation that subtracts an
allowance for depreciation is defined as?
Liberalization - Answers-States that if the insurer adopts a revision which would
broaden coverage without additional premium within some period of time prior to the
policy period or during the policy period, the insured receives the benefit of such
broadened coverage.
ABC and XYZ are responsible for claiming their own interest - Answers-Frank owned a
home that was destroyed by a hurricane. Both ABC and XYZ Banks were listed as
additional interests on his homeowner s policy. The insurance company will make a
payment to which bank?
Insurable Interest - Answers-A(n) __________ is one wherein economic loss would be
suffered from an adverse happening to the subject:
Warranty - Answers-A policy condition, either based on information in the insured s
application or inserted by the insurer, is defined as:
Severability - Answers-Insurance applies separately to each insured as if other insureds
did not exist. This is defined as:
Jane? Jane's will pay $4,000 Jane's PIP will pay $5,000 x 80% = $4,000
Sue? Sue's will pay $9,600 Sue's PIP will pay $12,000 x 80% = $9,600
Jim? Jim's will pay $10,000 Jim's PIP will pay $20,000 x 80% = $16,000, BUT the PIP
limit is $10,000 - Answers-Jane and Sue are riding with Jim in Jim's car (All 3 are FL
residents who own cars and carry basic PIP with no deductible). Jane has $5,000 in
medical bills, Sue has $12,000 in medical bills, and Jim has $20,000 in medical bills.
Whose PIP will pay and how much will it pay for:
The at-fault driver will have to pay $2,800 for Jeremy's injuries.
$10,000 minus $1,000 Deductible = $9,000
$9,000 x 80% = $7,200 paid by PIP (20% not paid by PIP)
$1,800 (amount not paid by Jeremy s PIP ) + $1,000 (Jeremy Deductible) = $2,800 due
from At-Fault drive - Answers-Jeremy was driving his car in FL when he is hit by an at-
Conditional Contract - Answers-The Insurer s responsibility to pay for a property loss
, may be conditioned on the insured having used reasonable means to avoid the loss, to
protect the property against further loss, and to give the insurer proof of the loss is
defined as?
Doctrine of Proximate Cause - Answers-The __________ states that when there is an
unbroken connection between an occurrence and damage that grows out of the
occurrence, then the resultant damage is all a part of the occurrence.
Abandonment - Answers-Property insurance policies usually contain a(n) __________
clause, stating the insured cannot dump damaged property on the insurer and demand
its full value:
fault driver. Jeremy has $10,000 in Medical Bills, Basic PIP with a $1,000 deductible
and no Med Pay coverage.
3 - Answers-As to required proof for future accidents by purchase of auto liability
insurance, the insurer must make a filing (Form SR-22) certifying that coverage is in
effect, and this certification must remain on file for __________ years:
Temporary Injury of the Insured - Answers-Which of the following is not one of the
"Thresholds" in the "No-Fault" law?
Garage Coverage Form - Answers-Used to insure businesses engaged in selling,
servicing, repairing, parking or storing automobiles:
Material Misrepresentation
Fraud
Drivers License Suspension - Answers-Under the Business Automobile Policy "Other
Florida Auto Insurance Laws," after the first 60 days of the policy, the Company can
cancel for:
36 Months/36,000 Miles - Answers-Under Mechanical Breakdown Coverage, new cars
are eligible for service up to:
$5,000 - Answers-Frank has a not-at-fault accident, he has basic PIP, no deductible and
Med pay of $5,000. How much will his Med Pay contribute to medical bills of $15,000?
Split - Answers-The following examples are referred to as __________ liability limits:
25/50 or 10/20.
$1,600 - Answers-Jeremy has a not at fault accident. If he has PIP with a $1,000
deductible, how much may he expect his PIP coverage to pay toward his medical bills
that total $3,000?
