NM Adjuster Exam Questions and Answers 100% Pass

NM Adjuster Exam Questions and Answers 100% Pass an insurance contract, the policyholder gives the insurer ___ and the insurer gives the policyholder ___. - premium payments; peace of mind Which of the following people does NOT have an insurable interest in an insured property? - A homeowner's interest in the local town water pipes that deliver water to his home. In the event of a catastrophe, emergency adjuster licenses in New Mexico are valid for: - 90 days. Cindy falls down the stairs at Jane's house and breaks her arm, resulting in $2,500 in medical expenses. Jane's homeowner's insurance will cover the liability, but Cindy is particularly mad at Jane for not keeping her house in order and is seeking punitive damages. Jane's insurance adjuster informs the two of them that they will likely have to go to court to settle the dispute because: - punitive damages can only be determined by a court of law. 2Brittie Donald, All Rights Reserved © 2025 Under Jacqueline's Personal Injury Protection, all of the following would be covered for bodily injuries except: - Jacqueline's sister who also has PIP Jason has had mild asthma since childhood. He now works in a chemical processing plant, and his asthma has gotten much worse ever since he contracted pneumonia because of the fumes at the plant. For workers' compensation insurance, this is usually known as: - aggravation. Jane's shed burns to the ground during a tornado, when a tree falls on the roof and snaps a power line, which then ignites the structure. What is the proximate cause of the loss? - Wind Inland marine insurance protects: - property related to transportation and property being transported Under the New Mexico Commercial Auto Insurance Plan, a policyholder can purchase additional coverage up to limits required by any other state: - but only for as long as the insured vehicles are being driven in that state. What are the four requirements of a legally binding contract? - Agreement, consideration, competent parties, legal purpose Which statement about the Jones Act is TRUE? - It protects injured seamen by allowing them to sue for damages and to choose a jury trial. 3Brittie Donald, All Rights Reserved © 2025 All of the following lines of coverage may be offered in Commercial Package Policy, except: - Workers' Compensation. Jocelyn visits her local car dealership to test drive a sports car, but once she gets on the road, she skips town with the car and doesn't come back. Which Garage policy coverage could pay for the theft of the sports car? - False pretense coverage Who must fill out a proof of loss form? - The claimant Appraisal is used to decide: - the settlement amount _________covers losses ships and their - Ocean Marine insurance Caitlin works as a driver for a local oil company. She picks up the field workers and drops them at the wellsite. Then, once their shift is completed she brings them home again using the company van. Which endorsement provides the best coverage for Caitlin? - Extended Non-Owner What type of commercial auto policy would best suit a taxi company? - Motor Carrier policy Lillian owns an antiques shop and Sandy works part time for her. One afternoon, while Sandy is decorating the window display, she loses her balance and falls backward off a step stool, breaking some very expensive lamps in the process. What policy condition in 4Brittie Donald, All Rights Reserved © 2025 Lillian's commercial property policy provides evidence that this loss may be covered? - Control of Property Reservation of Rights letter is sent by: - the insurer to the claimant. In a third-party claim, the injured person has a duty to: - authorize the insurer to examine her medical records. All of the insurance professionals below are in danger of having their licenses suspended or revoked, except: - Arlene, who received a $175 traffic ticket after running a stop sign. A policyholder who does not currently have Comprehensive Coverage, but would like to add it to a newly purchased vehicle, must notify the insurer within: -