Progressive Claims Adjuster Texas Test
Questions and Answers A+ Rated
What are the 4 qualities of insurance? - correct answers✅✅1.
Agreements 2. Consideration 3. Competent Parties 4. Legal Purposes
What is the principle of Indemnity? - correct answers✅✅When a loss
occurs, the insured should be restored to the approximate financial condition
he was at before the loss occurred. He should not be better or worse off.
What is a Premium? - correct answers✅✅A Premium is a fee payed by the
insured in exchange for the insurance policy
What are the 6 characteristics of Insurance? - correct answers✅✅1.
Personal contract (protects people not item.
2. Contract of adhesion (1 person-the insurer- dictates the terms)
3. Utmost Good Faith (applicants for insurance must be honest and upfront
about risks to insurer)
4.Aleatory Contract- Execution of contract is based on future, unpredictable
event
5. Unilateral (Only the insurer makes a promise to pay)
6. Conditional (The contract only performs when the outlined conditions are
met )
What does contract of adhesion mean? - correct answers✅✅The contract
of adhesion is one of the 6 characteristics of insurance. It means that only
the insurer dictates the terms of the agreement. The policyholder will be
awarded if the terms are not clear. The contract should be interpreted as a
reasonable person would interpret it. (This is the doctrine of reasonable
expectation)
What does "Aleatory Contract" mean? - correct answers✅✅This definition
is one of 6 characteristics of insurance contracts. It means that the execution
, Progressive Claims Adjuster Texas Test
Questions and Answers A+ Rated
of laid out contract is based on a future and unpredictable event occurring
(You could pay premiums your whole life and never collect)
What does "Personal Contract" mean? In regards to Insurance
Characteristics- - correct answers✅✅The first characteristic of Insurance.
It means that the person, the insured, is protected from financial loss. The
item itself is not the thing insured.
What does "Utmost Good Faith" refer to? - correct answers✅✅Utmost
good faith is one of the 6 characteristics of insurance. It means that the
applicant is required to provide exact and accurate information (IE a smoker
must say he is smoker for health insurance. A DUI must be disclosed etc. )
The insurer can void the contract if you are found in violation of utmost good
faith.
What does "Unilateral" mean as one of the 6 characteristics of insurance? -
correct answers✅✅Unilateral refers to the fact that only the insured
promises to pay and only the insured may cancel at any time.
What does "Conditional" mean in regards to characteristics of insurance? -
correct answers✅✅Conditional is one of the 6 characteristics of
insurance. This refers to the fact that there are outlined conditions in each
policy that must be met in order for a payout to be received. (IE the damage
done has to be covered by the policy etc)
What are the 4 parts of an insurance policy? DICE - correct
answers✅✅Declarations page
Insuring agreement
Conditions
Exclusions
Questions and Answers A+ Rated
What are the 4 qualities of insurance? - correct answers✅✅1.
Agreements 2. Consideration 3. Competent Parties 4. Legal Purposes
What is the principle of Indemnity? - correct answers✅✅When a loss
occurs, the insured should be restored to the approximate financial condition
he was at before the loss occurred. He should not be better or worse off.
What is a Premium? - correct answers✅✅A Premium is a fee payed by the
insured in exchange for the insurance policy
What are the 6 characteristics of Insurance? - correct answers✅✅1.
Personal contract (protects people not item.
2. Contract of adhesion (1 person-the insurer- dictates the terms)
3. Utmost Good Faith (applicants for insurance must be honest and upfront
about risks to insurer)
4.Aleatory Contract- Execution of contract is based on future, unpredictable
event
5. Unilateral (Only the insurer makes a promise to pay)
6. Conditional (The contract only performs when the outlined conditions are
met )
What does contract of adhesion mean? - correct answers✅✅The contract
of adhesion is one of the 6 characteristics of insurance. It means that only
the insurer dictates the terms of the agreement. The policyholder will be
awarded if the terms are not clear. The contract should be interpreted as a
reasonable person would interpret it. (This is the doctrine of reasonable
expectation)
What does "Aleatory Contract" mean? - correct answers✅✅This definition
is one of 6 characteristics of insurance contracts. It means that the execution
, Progressive Claims Adjuster Texas Test
Questions and Answers A+ Rated
of laid out contract is based on a future and unpredictable event occurring
(You could pay premiums your whole life and never collect)
What does "Personal Contract" mean? In regards to Insurance
Characteristics- - correct answers✅✅The first characteristic of Insurance.
It means that the person, the insured, is protected from financial loss. The
item itself is not the thing insured.
What does "Utmost Good Faith" refer to? - correct answers✅✅Utmost
good faith is one of the 6 characteristics of insurance. It means that the
applicant is required to provide exact and accurate information (IE a smoker
must say he is smoker for health insurance. A DUI must be disclosed etc. )
The insurer can void the contract if you are found in violation of utmost good
faith.
What does "Unilateral" mean as one of the 6 characteristics of insurance? -
correct answers✅✅Unilateral refers to the fact that only the insured
promises to pay and only the insured may cancel at any time.
What does "Conditional" mean in regards to characteristics of insurance? -
correct answers✅✅Conditional is one of the 6 characteristics of
insurance. This refers to the fact that there are outlined conditions in each
policy that must be met in order for a payout to be received. (IE the damage
done has to be covered by the policy etc)
What are the 4 parts of an insurance policy? DICE - correct
answers✅✅Declarations page
Insuring agreement
Conditions
Exclusions
