Florida Certified Adjuster Pre-Licensing
Questions with Verified Answers | Latest
2025/2026
___________________________________________________________________
The name of the insured party
Which of the following is found in the declarations page of an insurance policy?
After a loss, the insured should be restored to his approximate financial
condition before the loss
Which of the following best defines the principle of indemnity?
A pool of collected premiums that the insurer sets aside to pay claims
What is a reserve, in insurance terms?
only one party has an obligation to perform.
Insurance policies are unilateral contracts. This means:
causes of loss that are not covered.
All of the following pieces of information can be found in the Conditions section
of an insurance policy, EXCEPT:
Exclusions
Which section of an insurance policy is designed to OMIT certain risks from
coverage?
,Conditions
In which section of an insurance policy might you find the following statement?
"Damage to insured property must be reported within 15 days of the damaging
occurrence."
Definitions
If an adjuster needs to find clarification about what actually constitutes a collision,
in which section of an insurance policy would she find that information?
Universal
Which of the following is NOT a characteristic of insurance contracts?
Insuring agreement
In an insurance policy, the summary of what the insurer will do in the event of a
covered loss is called:
The insured's duty after a loss
Which of the following would you find in the Conditions section of an insurance
policy?
Re-insurance
When an insurer buys insurance to reduce its exposure to loss, this is called:
the principle of indemnity.
Mark incurred $8,000 damage to his car in an accident. He received $8,000 from
his insurance company and $4,000 from the other driver. By receiving a profit
from the loss, Mark could be in violation of:
,Premium
The fee paid by the insured in exchange for an insurance policy is called a:
Arlene has just committed soft fraud.
Arlene's house suffered structural damage in an earthquake last year, but her
policy does not cover earthquake damage, so Arlene never got it fixed. When a
tornado rips through her neighborhood, it causes some roof damage totaling
$2,000, and Arlene sees an opportunity in the situation. She files a claim for the
roof damage, but also claims that the tornado caused the structural damage to
her house that was actually caused by the earthquake last year. Which of the
following statements is true?
Dale just bought 30 shares of a hot new startup company online.
Which of the following situations does NOT involve an insurable risk?
Eliminates risk
Risk avoidance is a risk management technique that:
property insurance fraud.
After an earthquake, Jake's home is still standing, but it is a little shaken. The
damage is not extensive, but Jake wants to cash in on the situation, so he takes a
sledgehammer to some of his extra belongings and adds them to his claim. Jake
has committed:
Ken lights a candle, sets it right next to the window draperies and leaves the
house to go to work.
Which of the following is an example of a moral hazard?
, Starting fraud busting units staffed with former detectives and police officers
Which of the following is an example of how some insurers are fighting back
against insurance fraud?
Risk reduction
Amy needs more floor space in her antique furniture store, so she buys a storage
building 3 miles away. She is worried about keeping the furniture in the storage
building safe, so she puts in an alarm system and smoke detectors. By purchasing
the alarm system and smoke detectors, Amy is practicing:
something that increases the chance of a loss.
A "hazard" is defined as:
The roads present a physical condition that increases the chance of a loss.
Adam has a treacherous drive to work every day. Not only does he have to drive
down the pothole-strewn access road to the highway, but he also must traverse
several icy bridges on the way to work. Why does the insurance company call
these hazards "physical hazards"?
Moral hazard
John owes a lot more on his car than it is worth. He figures he would be better off
if he burned the car and collected an insurance settlement. He has someone set
fire to his garage to destroy the car. John's behavior would be considered a:
Morale hazard
Lucy has insurance on an expensive necklace she likes to wear to work every day.
After work, she takes it off and leaves it in her car's cupholder so she can put it
Questions with Verified Answers | Latest
2025/2026
___________________________________________________________________
The name of the insured party
Which of the following is found in the declarations page of an insurance policy?
After a loss, the insured should be restored to his approximate financial
condition before the loss
Which of the following best defines the principle of indemnity?
A pool of collected premiums that the insurer sets aside to pay claims
What is a reserve, in insurance terms?
only one party has an obligation to perform.
Insurance policies are unilateral contracts. This means:
causes of loss that are not covered.
All of the following pieces of information can be found in the Conditions section
of an insurance policy, EXCEPT:
Exclusions
Which section of an insurance policy is designed to OMIT certain risks from
coverage?
,Conditions
In which section of an insurance policy might you find the following statement?
"Damage to insured property must be reported within 15 days of the damaging
occurrence."
Definitions
If an adjuster needs to find clarification about what actually constitutes a collision,
in which section of an insurance policy would she find that information?
Universal
Which of the following is NOT a characteristic of insurance contracts?
Insuring agreement
In an insurance policy, the summary of what the insurer will do in the event of a
covered loss is called:
The insured's duty after a loss
Which of the following would you find in the Conditions section of an insurance
policy?
Re-insurance
When an insurer buys insurance to reduce its exposure to loss, this is called:
the principle of indemnity.
Mark incurred $8,000 damage to his car in an accident. He received $8,000 from
his insurance company and $4,000 from the other driver. By receiving a profit
from the loss, Mark could be in violation of:
,Premium
The fee paid by the insured in exchange for an insurance policy is called a:
Arlene has just committed soft fraud.
Arlene's house suffered structural damage in an earthquake last year, but her
policy does not cover earthquake damage, so Arlene never got it fixed. When a
tornado rips through her neighborhood, it causes some roof damage totaling
$2,000, and Arlene sees an opportunity in the situation. She files a claim for the
roof damage, but also claims that the tornado caused the structural damage to
her house that was actually caused by the earthquake last year. Which of the
following statements is true?
Dale just bought 30 shares of a hot new startup company online.
Which of the following situations does NOT involve an insurable risk?
Eliminates risk
Risk avoidance is a risk management technique that:
property insurance fraud.
After an earthquake, Jake's home is still standing, but it is a little shaken. The
damage is not extensive, but Jake wants to cash in on the situation, so he takes a
sledgehammer to some of his extra belongings and adds them to his claim. Jake
has committed:
Ken lights a candle, sets it right next to the window draperies and leaves the
house to go to work.
Which of the following is an example of a moral hazard?
, Starting fraud busting units staffed with former detectives and police officers
Which of the following is an example of how some insurers are fighting back
against insurance fraud?
Risk reduction
Amy needs more floor space in her antique furniture store, so she buys a storage
building 3 miles away. She is worried about keeping the furniture in the storage
building safe, so she puts in an alarm system and smoke detectors. By purchasing
the alarm system and smoke detectors, Amy is practicing:
something that increases the chance of a loss.
A "hazard" is defined as:
The roads present a physical condition that increases the chance of a loss.
Adam has a treacherous drive to work every day. Not only does he have to drive
down the pothole-strewn access road to the highway, but he also must traverse
several icy bridges on the way to work. Why does the insurance company call
these hazards "physical hazards"?
Moral hazard
John owes a lot more on his car than it is worth. He figures he would be better off
if he burned the car and collected an insurance settlement. He has someone set
fire to his garage to destroy the car. John's behavior would be considered a:
Morale hazard
Lucy has insurance on an expensive necklace she likes to wear to work every day.
After work, she takes it off and leaves it in her car's cupholder so she can put it