2025 PERSON LINES FLORIDA EXAM QUESTIONS AND
ACCURATE ANSWERS 100% PASS
Which portion of an insurance policy would cover claims-related expenses, reasonable
expenses incurred by an insured to protect damage property from further loss or
defense expenses?
A. Additional Coverage
B. Exclusion
C. Declaration
D. Insuring Agreement
Answer A. Additional coverage
The additional coverage part of a policy would provide a little extra amount of coverage
for a particular loss expense, without any additional premium.
Agents who convince insureds to cancel a policy in favor of another when not in the
insured's best interest are guilty of
A. Rebating
B. Twisting
C. Defamation
D. Misrepresentation - Answer B. Twisting
Twisting is a misrepresentation that induces an insured or policyowner, to his or her
detriment, to cancel, lapse, or switch policies
Who would take part in a Write Your Own (WYO) Flood insurance Program?
,A Government insurance companies that write and service National Flood Insurance
Policies
B. Businesses requiring National Flood insurance policies
C. Private Insurers that wish to write and service National Flood Policies on a
no-risk-bearing basis
D. Lloyd's associations - Answer C. Private Insurers that wish to write and service
National Flood Policies on a no-risk-bearing basis
WYO program refers to the private insurers who, through special arrangement with the
Federal Insurance Administration write and service National Flood Insurance policies on
a no risk-bearing basis. WYO program retains part of the flood insurance premium to
pay for commissions and administrative cost. The remaining premiums, plus investment
used to cover loss.
Rental Reimbursement is only available if the policy includes which coverage?
A. named nonowner coverage
B. Other than Collision coverage
C. Extended Nonowned Coverage for Named Insured
D. Towing and Labor Costs - Answer B. Other than Collision Coverage
This endorsement is only available in the policy includes other than collision coverage.
This endorsement will reimburse the insured for a rental charges incurred because the
covered auto is out of use because of a covered loss.
While an Insured covered auto is in the repair shop following damage by a collision, the
Insured would have coverage under a personal auto policy for which of the following
vehicles?
A. Any auto not owned by the named insured, but furnished for the use of, by, or for, the
named insured while the covered auto is out of normal use because of repair
B. Any use of a vehicle by the insured without a reasonable belief that the insured is
,entitled to use such vehicle
C. Any auto furnished for the regular use of the insured but not named on the policy
D. Any vehicle while located inside a racing facility for the purpose of racing - A. Any
vehicle not owned by the insured, but furnished for use while the covered auto is out of
normal use because of repair
FAJUA-Florida automobile joint underwriting association-is a market source for persons
unable to buy auto insurance through the standard markets. All of the following
statements concerning the FAJUA are TRUE, EXCEPT
A. Agents do not have binding Authority
B. Coverage is available to military nonresident stationed in Florida.
C. Private passenger auto are eligible for liability coverage with limits up to 100/300/50,
PIP, U/M.
D. Every licensed agent in Florida is assigned to one of the servicing carries with which
the agent places all risks to be insured in FAJUA - Answer A. Agents do not have binding
Authority
Agents have authority to immediately bind coverage upon securing a completed and
signed application upon payment of the require premium deposit by the applicant.
If an individual is operating auto with the belief that he is entitled to do so, subrogation
rights under a personal auto policy would apply to all coverages EXCEPT
A. no fault medical payments
B. Liability
C. Physical Damage
D. Uninsured Motorist - Answer C. Physical Damage
Subrogation rights do NOT apply to physical damage coverage if the damage is caused
by a person using the auto with a reasonable belief that he or she was entitled to do so.
, what type of information would be found in a policy's insuring agreement?
A. Insurers' address
B. Renewal Dates
C. Location of premises
D. Policy limts - Answer B. Renewal Dates
The insuring agreement will list the parties to the contract, effective and renewal dates,
the description of coverage provided, and perils amongst other things. Location of
premises, policy limits, supplemental representations and insurer's name and address
can all be found in the Declarations.
The neighbour's tree has fallen onto the insured's yard. The Insured's homeowner policy
will only pay to remove the tree if
a)The damage is more than $1,000.
b)The neighbor does not have homeowners insurance.
c)The tree has damaged the insured's vehicle.
d)The tree is blocking the driveway. Answer d)The tree is blocking the driveway.
An insured's homeowners policy will pay up to $1,000 to remove from premises if a
neighbor's tree fell by a covered peril, or if the tree blocks a driveway or handicapped
ramp, even if no damage to a covered structure has occurred.
A sworn written statement that must be furnished by the insured to the insurer before
any loss under a policy can be paid is called?
A. Binder
B. Proof of lose
C. Notice of Claim
D. Claim Report - Answer B. Proof of lose
ACCURATE ANSWERS 100% PASS
Which portion of an insurance policy would cover claims-related expenses, reasonable
expenses incurred by an insured to protect damage property from further loss or
defense expenses?
A. Additional Coverage
B. Exclusion
C. Declaration
D. Insuring Agreement
Answer A. Additional coverage
The additional coverage part of a policy would provide a little extra amount of coverage
for a particular loss expense, without any additional premium.
Agents who convince insureds to cancel a policy in favor of another when not in the
insured's best interest are guilty of
A. Rebating
B. Twisting
C. Defamation
D. Misrepresentation - Answer B. Twisting
Twisting is a misrepresentation that induces an insured or policyowner, to his or her
detriment, to cancel, lapse, or switch policies
Who would take part in a Write Your Own (WYO) Flood insurance Program?
,A Government insurance companies that write and service National Flood Insurance
Policies
B. Businesses requiring National Flood insurance policies
C. Private Insurers that wish to write and service National Flood Policies on a
no-risk-bearing basis
D. Lloyd's associations - Answer C. Private Insurers that wish to write and service
National Flood Policies on a no-risk-bearing basis
WYO program refers to the private insurers who, through special arrangement with the
Federal Insurance Administration write and service National Flood Insurance policies on
a no risk-bearing basis. WYO program retains part of the flood insurance premium to
pay for commissions and administrative cost. The remaining premiums, plus investment
used to cover loss.
Rental Reimbursement is only available if the policy includes which coverage?
A. named nonowner coverage
B. Other than Collision coverage
C. Extended Nonowned Coverage for Named Insured
D. Towing and Labor Costs - Answer B. Other than Collision Coverage
This endorsement is only available in the policy includes other than collision coverage.
This endorsement will reimburse the insured for a rental charges incurred because the
covered auto is out of use because of a covered loss.
While an Insured covered auto is in the repair shop following damage by a collision, the
Insured would have coverage under a personal auto policy for which of the following
vehicles?
A. Any auto not owned by the named insured, but furnished for the use of, by, or for, the
named insured while the covered auto is out of normal use because of repair
B. Any use of a vehicle by the insured without a reasonable belief that the insured is
,entitled to use such vehicle
C. Any auto furnished for the regular use of the insured but not named on the policy
D. Any vehicle while located inside a racing facility for the purpose of racing - A. Any
vehicle not owned by the insured, but furnished for use while the covered auto is out of
normal use because of repair
FAJUA-Florida automobile joint underwriting association-is a market source for persons
unable to buy auto insurance through the standard markets. All of the following
statements concerning the FAJUA are TRUE, EXCEPT
A. Agents do not have binding Authority
B. Coverage is available to military nonresident stationed in Florida.
C. Private passenger auto are eligible for liability coverage with limits up to 100/300/50,
PIP, U/M.
D. Every licensed agent in Florida is assigned to one of the servicing carries with which
the agent places all risks to be insured in FAJUA - Answer A. Agents do not have binding
Authority
Agents have authority to immediately bind coverage upon securing a completed and
signed application upon payment of the require premium deposit by the applicant.
If an individual is operating auto with the belief that he is entitled to do so, subrogation
rights under a personal auto policy would apply to all coverages EXCEPT
A. no fault medical payments
B. Liability
C. Physical Damage
D. Uninsured Motorist - Answer C. Physical Damage
Subrogation rights do NOT apply to physical damage coverage if the damage is caused
by a person using the auto with a reasonable belief that he or she was entitled to do so.
, what type of information would be found in a policy's insuring agreement?
A. Insurers' address
B. Renewal Dates
C. Location of premises
D. Policy limts - Answer B. Renewal Dates
The insuring agreement will list the parties to the contract, effective and renewal dates,
the description of coverage provided, and perils amongst other things. Location of
premises, policy limits, supplemental representations and insurer's name and address
can all be found in the Declarations.
The neighbour's tree has fallen onto the insured's yard. The Insured's homeowner policy
will only pay to remove the tree if
a)The damage is more than $1,000.
b)The neighbor does not have homeowners insurance.
c)The tree has damaged the insured's vehicle.
d)The tree is blocking the driveway. Answer d)The tree is blocking the driveway.
An insured's homeowners policy will pay up to $1,000 to remove from premises if a
neighbor's tree fell by a covered peril, or if the tree blocks a driveway or handicapped
ramp, even if no damage to a covered structure has occurred.
A sworn written statement that must be furnished by the insured to the insurer before
any loss under a policy can be paid is called?
A. Binder
B. Proof of lose
C. Notice of Claim
D. Claim Report - Answer B. Proof of lose
