Personal Lines - Florida Questions And 100% Correct
Answers 2025-2026
5 Qualifications to obtain a General Lines License - Answer 1. Be 18 years of age
2. Be a resident of FL or have a place of business in FL
3. Completion of 200-hour course or have 1 yr experience in all lines
4. Application cannot be for writing controlled business
5. Exam waived for CPCU designation of college degree with 15 hours in insurance
controlled business - Answer receives more than 50% of income from businesses
applicant is involved in, ie family business
Department of Financial Services - Means no rating and underwriting rules
risk - Means chance of financial loss
insurance policy - Means the written contract, including all clauses, riders,
endorsements, and papers
insurance - Means a contract wherein one undertakes to indemnify another or pay a
specified sum upon the happening of a determinable event
binder - Answer temporary insurance - oral or written; Auto 5 days for cancellation, all
others 60 days
property insurance - Answer payment by insurer (company) is made to insured
, liability insurance - Answer payment by insurer (company) is made to others on
insured's behalf
personal contract - Answer contracts cover persons - not property or operations
conditional contract - Answer obligations of insurer may depend upon insured satisfying
some conditions
contract of adhesion - Answer insureds can not negotiate the terms; one-sided contract
indemnity contract - Answer one should not profit from teh proceeds of the policy but
should be made whole
Exceptions to indemnity - Answer 1. Valued policies
2. Florida Value Policy Law
3. Replacement cost
4. Liability insurance
Insurable interest - Answer Must exist at the time of loss
peril - Answer condition or occurrence that may cause a loss - fire, wind, theft, collision
hazard - Answer increases the likelihood of a loss
physical hazard - Answer physical characteristic increases the likelihood of a loss - wet
floor
moral hazard - Answer intentional loss - taking drugs
Answers 2025-2026
5 Qualifications to obtain a General Lines License - Answer 1. Be 18 years of age
2. Be a resident of FL or have a place of business in FL
3. Completion of 200-hour course or have 1 yr experience in all lines
4. Application cannot be for writing controlled business
5. Exam waived for CPCU designation of college degree with 15 hours in insurance
controlled business - Answer receives more than 50% of income from businesses
applicant is involved in, ie family business
Department of Financial Services - Means no rating and underwriting rules
risk - Means chance of financial loss
insurance policy - Means the written contract, including all clauses, riders,
endorsements, and papers
insurance - Means a contract wherein one undertakes to indemnify another or pay a
specified sum upon the happening of a determinable event
binder - Answer temporary insurance - oral or written; Auto 5 days for cancellation, all
others 60 days
property insurance - Answer payment by insurer (company) is made to insured
, liability insurance - Answer payment by insurer (company) is made to others on
insured's behalf
personal contract - Answer contracts cover persons - not property or operations
conditional contract - Answer obligations of insurer may depend upon insured satisfying
some conditions
contract of adhesion - Answer insureds can not negotiate the terms; one-sided contract
indemnity contract - Answer one should not profit from teh proceeds of the policy but
should be made whole
Exceptions to indemnity - Answer 1. Valued policies
2. Florida Value Policy Law
3. Replacement cost
4. Liability insurance
Insurable interest - Answer Must exist at the time of loss
peril - Answer condition or occurrence that may cause a loss - fire, wind, theft, collision
hazard - Answer increases the likelihood of a loss
physical hazard - Answer physical characteristic increases the likelihood of a loss - wet
floor
moral hazard - Answer intentional loss - taking drugs
