Florida Claims Adjuster Exam t t t
Frank owned a home that was destroyed by a hurricane. Both ABC and XYZ Banks were
t t t t t t t t t t t t t t t
listed as additional interests on his homeowner policy. The insurance company will make a
t t t t t t t t t t t t t t
payment to:
t t t
A. The first mortgagee, ABC
t t t t
B. The Insured
t t
C. Jointly to ABC and XYZ
t t t t t
D. All listed interests - answer-D. All listed interests
t t t t t t t t
Remember that the insurer is not responsible to know the degrees of interest. In the event of
t t t t t t t t t t t t t t t t
a loss, one payment is made by the insurer and it is up to the additional interests on working
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out their share.
t t t
Insurance applies separately to each insured as if other insureds did not exist. This is
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defined as:
t t
A. Severability
t
B. Conditional
t
C. Warranty
t
D. None of the above - answer-A. Severability
t t t t t t t
Property insurance policies usually contain a(n) __________ clause, stating the insured
t t t t t t t t t t
cannot dump damaged property on the insurer and demand its full value:
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A. Pro Rata
t t
B. Abandonment
t
C. Liberalization
t
D. All of the above - answer-B. Abandonment
t t t t t t t
A(n) __________ is one wherein economic loss would be suffered from an adverse
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happening to the subject:
t t t t
A. Conditional Contract
t t
B. Personal Contract
t t
C. Economic Contract
t t
D. Insurable Interest - answer-D. Insurable Interest
t t t t t t
States that if the insurer adopts a revision which would broaden coverage without additional
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premium within some period of time prior to the policy period or during the policy period, the
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insured receives the benefit of such broadened coverage.
t t t t t t t t
A. Cancellation Clause
t t
B. Policy Period
t t
C. Pro Rata
t t
D. Liberalization - answer-D. Liberalization
t t t t
,The time frame is typically 60 days.
t t t t t t
The __________ states that when there is an unbroken connection between an occurrence
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and damage that grows out of the occurrence, then the resultant damage is all a part of the
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occurrence.
t
A. Doctrine of Proximate Cause
t t t t
B. Doctrine of Perils & Hazards
t t t t t
C. Insurance Policy Handbook
t t t
D. Doctrine of Property Insurance - answer-A. Doctrine of Proximate Cause
t t t t t t t t t t
For example, if a property insurance policy covers the peril of fire but further damage is
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caused by smoke, water used to extinguish, and the process of moving property away - fire
t t t t t t t t t t t t t t t t
is considered to be the *proximate cause* of all of the damage.
t t t t t t t t t t t t
The Loss Settlement Valuation that subtracts an allowance for depreciation is defined as?
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A. Actual Cash Value
t t t
B. Replacement Cost
t t
C. "Old for New"
t t t
D. None of the Above - answer-A. Actual Cash Value
t t t t t t t t t
A policy condition, either based on information in the insured's application or inserted by the
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insurer, is defined as:
t t t t
A. Warranty t
B. Misrepresentation
t
C. Concealment
t
D. None of the Above - answer-A. Warranty
t t t t t t t
The following are basic characteristics of a property or liability insurance contract, except:
t t t t t t t t t t t t
A. Personal Contract
t t
B. Conditional Contract
t t
C. Loss of Settlement Contract
t t t t
D. Contract of Adhesion - answer-C. Loss of Settlement Contract
t t t t t t t t t
The Insurer's responsibility to pay for a property loss may be conditioned on the insured
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having used reasonable means to avoid the loss, to protect the property against further loss,
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and to give the insurer proof of the loss is defined as?
t t t t t t t t t t t t
A. Conditional Contract
t t
B. Adhesion Contract
t t
C. Indemnity Contract
t t
D. All of the Above - answer-A. Conditional Contract
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"may be conditioned" t t
Which of the following is not one of the "Thresholds" in the "No-Fault" law?
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A. Death of the Insured
t t t t
B. Temporary Injury of the Insured
t t t t t
C. A permanent loss of a bodily function
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,D. Permanent scarring on the face of the insured - answer-B. Temporary Injury of the
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Insured
t
Also included: permanent injury other than scarring and disfigurement
t t t t t t t t
Under Mechanical Breakdown Coverage, new cars are eligible for service up to:
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A. 36 Months/36,000 Miles
t t t
B. 24 Months/36,000 Miles
t t t
C. 12,000 Months/12,000 Miles
t t t
D. 12 Months/36,000 Miles - answer-A. 36 Months/36,000 Miles
t t t t t t t t
Used vehicles: 12 Months/12,000 Miles
t t t t
If financial responsibility doesn't exist at the time of an accident, which of the following things
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must happen to avoid penalties?
t t t t t
A. The legally valid claims of others must be satisfied (up to 10/20/10)
t t t t t t t t t t t t
B. The owner and operator must provide certification of future responsibility for future
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accidents
t
C. Both A & B
t t t t
D. None of the Above - answer-C. Both A & B
t t t t t t t t t t
As to required proof for future accidents by purchase of auto liability insurance, the insurer
t t t t t t t t t t t t t t
must make a filing (Form SR-22) certifying that coverage is in effect, and this certification
t t t t t t t t t t t t t t t
must remain on file for __________ years:
t t t t t t t t
A. 1 t
B. 3 t
C. 4 t
D. 2 - answer-B. 3
t t t t
The Business Automobile Policy includes all of the following coverage forms except:
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A. The Garage Coverage Form
t t t t
B. The Trailer Interchange Coverage Form
t t t t t
C. The Truckers Coverage Form
t t t t
D. The Business Auto Coverage Form - answer-B. The Trailer Interchange Coverage Form
t t t t t t t t t t t t
Personal Injury Protection, or PIP, has a __________ per person, per accident limit.
t t t t t t t t t t t t
A. 10,000
t
B. 20,000
t
C. 1,000t
D. Depends on the damaged property - answer-A. 10,000
t t t t t t t t
Used to insure businesses engaged in selling, servicing, repairing, parking or storing
t t t t t t t t t t t
automobiles:
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A. Servicing Coverage Form
t t t
B. Garage Coverage Form
t t t
C. Truckers Coverage Form
t t t
D. None of the Above - answer-B. Garage Coverage Form
t t t t t t t t t
, The following examples are referred to as __________ liability limits: 25/50/25 or 10/20/10.
t t t t t t t t t t t t
A. Splitt
B. Single
t
C. Straight
t
D. None of the Above - answer-A. Split
t t t t t t t
10/20/10 = t t
10,000 per person injured t t t
20,000 all injuries combined t t t
10,000 property damage t t
Example of straight liability limit = $30,000 t t t t t t
Jeremy has a not at fault accident. If he has PIP with a $1,000 deductible, how much can he
t t t t t t t t t t t t t t t t t t
expect his PIP coverage to pay toward his medical bills that total $3,000?
t t t t t t t t t t t t t
A. $1,600
t
B. $1,000
t
C. $2,400
t
D. $3,000 - answer-A. $1,600
t t t t
3000 (bills) - 1000 (deductible) =
t t t t t t
2000 x .80 (eighty percent) t t t t
Frank has a not-at-fault accident, he has basic PIP, no deductible and Med pay of $5,000.
t t t t t t t t t t t t t t t
How much will his Med Pay contribute to medical bills of $15,000?
t t t t t t t t t t t t
A. $15,000
t
B. $5,000
t
C. $3,000
t
D. $0, Frank is not-at-fault - answer-B. $5,000
t t t t t t t
Medical Payment limits apply per person; Frank will receive full amount towards medical
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bills.
t
Which of the following is not one of the rating factors for a Homeowner's Policy?
t t t t t t t t t t t t t t
A. Type of Construction
t t t
B. Location of Risk
t t t
C. Age & Gender of Insured
t t t t t
D. Proximity to Fire Department - answer-C. Age & Gender of Insured
t t t t t t t t t t t
On a Homeowner's Policy, covers items that are not permanently attached to the dwelling.
t t t t t t t t t t t t t
This is defined as:
t t t t
A. Other Structures
t t
B. Excess Structures
t t
C. Personal Property
t t
D. Dwelling - answer-A. Other Structures
t t t t t
Examples include sheds, fences, pool houses, detached car ports, etc. t t t t t t t t t
A lender has an insurable interest in a home and finds protection in the:
t t t t t t t t t t t t t
A. Loss Payee Clause
t t t
B. Mortgagee Clause
t t
Frank owned a home that was destroyed by a hurricane. Both ABC and XYZ Banks were
t t t t t t t t t t t t t t t
listed as additional interests on his homeowner policy. The insurance company will make a
t t t t t t t t t t t t t t
payment to:
t t t
A. The first mortgagee, ABC
t t t t
B. The Insured
t t
C. Jointly to ABC and XYZ
t t t t t
D. All listed interests - answer-D. All listed interests
t t t t t t t t
Remember that the insurer is not responsible to know the degrees of interest. In the event of
t t t t t t t t t t t t t t t t
a loss, one payment is made by the insurer and it is up to the additional interests on working
t t t t t t t t t t t t t t t t t t t
out their share.
t t t
Insurance applies separately to each insured as if other insureds did not exist. This is
t t t t t t t t t t t t t t
defined as:
t t
A. Severability
t
B. Conditional
t
C. Warranty
t
D. None of the above - answer-A. Severability
t t t t t t t
Property insurance policies usually contain a(n) __________ clause, stating the insured
t t t t t t t t t t
cannot dump damaged property on the insurer and demand its full value:
t t t t t t t t t t t t
A. Pro Rata
t t
B. Abandonment
t
C. Liberalization
t
D. All of the above - answer-B. Abandonment
t t t t t t t
A(n) __________ is one wherein economic loss would be suffered from an adverse
t t t t t t t t t t t t
happening to the subject:
t t t t
A. Conditional Contract
t t
B. Personal Contract
t t
C. Economic Contract
t t
D. Insurable Interest - answer-D. Insurable Interest
t t t t t t
States that if the insurer adopts a revision which would broaden coverage without additional
t t t t t t t t t t t t t
premium within some period of time prior to the policy period or during the policy period, the
t t t t t t t t t t t t t t t t t
insured receives the benefit of such broadened coverage.
t t t t t t t t
A. Cancellation Clause
t t
B. Policy Period
t t
C. Pro Rata
t t
D. Liberalization - answer-D. Liberalization
t t t t
,The time frame is typically 60 days.
t t t t t t
The __________ states that when there is an unbroken connection between an occurrence
t t t t t t t t t t t t
and damage that grows out of the occurrence, then the resultant damage is all a part of the
t t t t t t t t t t t t t t t t t t
occurrence.
t
A. Doctrine of Proximate Cause
t t t t
B. Doctrine of Perils & Hazards
t t t t t
C. Insurance Policy Handbook
t t t
D. Doctrine of Property Insurance - answer-A. Doctrine of Proximate Cause
t t t t t t t t t t
For example, if a property insurance policy covers the peril of fire but further damage is
t t t t t t t t t t t t t t t
caused by smoke, water used to extinguish, and the process of moving property away - fire
t t t t t t t t t t t t t t t t
is considered to be the *proximate cause* of all of the damage.
t t t t t t t t t t t t
The Loss Settlement Valuation that subtracts an allowance for depreciation is defined as?
t t t t t t t t t t t t
A. Actual Cash Value
t t t
B. Replacement Cost
t t
C. "Old for New"
t t t
D. None of the Above - answer-A. Actual Cash Value
t t t t t t t t t
A policy condition, either based on information in the insured's application or inserted by the
t t t t t t t t t t t t t t
insurer, is defined as:
t t t t
A. Warranty t
B. Misrepresentation
t
C. Concealment
t
D. None of the Above - answer-A. Warranty
t t t t t t t
The following are basic characteristics of a property or liability insurance contract, except:
t t t t t t t t t t t t
A. Personal Contract
t t
B. Conditional Contract
t t
C. Loss of Settlement Contract
t t t t
D. Contract of Adhesion - answer-C. Loss of Settlement Contract
t t t t t t t t t
The Insurer's responsibility to pay for a property loss may be conditioned on the insured
t t t t t t t t t t t t t t
having used reasonable means to avoid the loss, to protect the property against further loss,
t t t t t t t t t t t t t t t
and to give the insurer proof of the loss is defined as?
t t t t t t t t t t t t
A. Conditional Contract
t t
B. Adhesion Contract
t t
C. Indemnity Contract
t t
D. All of the Above - answer-A. Conditional Contract
t t t t t t t t
"may be conditioned" t t
Which of the following is not one of the "Thresholds" in the "No-Fault" law?
t t t t t t t t t t t t t
A. Death of the Insured
t t t t
B. Temporary Injury of the Insured
t t t t t
C. A permanent loss of a bodily function
t t t t t t t
,D. Permanent scarring on the face of the insured - answer-B. Temporary Injury of the
t t t t t t t t t t t t t t
Insured
t
Also included: permanent injury other than scarring and disfigurement
t t t t t t t t
Under Mechanical Breakdown Coverage, new cars are eligible for service up to:
t t t t t t t t t t t
A. 36 Months/36,000 Miles
t t t
B. 24 Months/36,000 Miles
t t t
C. 12,000 Months/12,000 Miles
t t t
D. 12 Months/36,000 Miles - answer-A. 36 Months/36,000 Miles
t t t t t t t t
Used vehicles: 12 Months/12,000 Miles
t t t t
If financial responsibility doesn't exist at the time of an accident, which of the following things
t t t t t t t t t t t t t t t
must happen to avoid penalties?
t t t t t
A. The legally valid claims of others must be satisfied (up to 10/20/10)
t t t t t t t t t t t t
B. The owner and operator must provide certification of future responsibility for future
t t t t t t t t t t t t
accidents
t
C. Both A & B
t t t t
D. None of the Above - answer-C. Both A & B
t t t t t t t t t t
As to required proof for future accidents by purchase of auto liability insurance, the insurer
t t t t t t t t t t t t t t
must make a filing (Form SR-22) certifying that coverage is in effect, and this certification
t t t t t t t t t t t t t t t
must remain on file for __________ years:
t t t t t t t t
A. 1 t
B. 3 t
C. 4 t
D. 2 - answer-B. 3
t t t t
The Business Automobile Policy includes all of the following coverage forms except:
t t t t t t t t t t t
A. The Garage Coverage Form
t t t t
B. The Trailer Interchange Coverage Form
t t t t t
C. The Truckers Coverage Form
t t t t
D. The Business Auto Coverage Form - answer-B. The Trailer Interchange Coverage Form
t t t t t t t t t t t t
Personal Injury Protection, or PIP, has a __________ per person, per accident limit.
t t t t t t t t t t t t
A. 10,000
t
B. 20,000
t
C. 1,000t
D. Depends on the damaged property - answer-A. 10,000
t t t t t t t t
Used to insure businesses engaged in selling, servicing, repairing, parking or storing
t t t t t t t t t t t
automobiles:
t
A. Servicing Coverage Form
t t t
B. Garage Coverage Form
t t t
C. Truckers Coverage Form
t t t
D. None of the Above - answer-B. Garage Coverage Form
t t t t t t t t t
, The following examples are referred to as __________ liability limits: 25/50/25 or 10/20/10.
t t t t t t t t t t t t
A. Splitt
B. Single
t
C. Straight
t
D. None of the Above - answer-A. Split
t t t t t t t
10/20/10 = t t
10,000 per person injured t t t
20,000 all injuries combined t t t
10,000 property damage t t
Example of straight liability limit = $30,000 t t t t t t
Jeremy has a not at fault accident. If he has PIP with a $1,000 deductible, how much can he
t t t t t t t t t t t t t t t t t t
expect his PIP coverage to pay toward his medical bills that total $3,000?
t t t t t t t t t t t t t
A. $1,600
t
B. $1,000
t
C. $2,400
t
D. $3,000 - answer-A. $1,600
t t t t
3000 (bills) - 1000 (deductible) =
t t t t t t
2000 x .80 (eighty percent) t t t t
Frank has a not-at-fault accident, he has basic PIP, no deductible and Med pay of $5,000.
t t t t t t t t t t t t t t t
How much will his Med Pay contribute to medical bills of $15,000?
t t t t t t t t t t t t
A. $15,000
t
B. $5,000
t
C. $3,000
t
D. $0, Frank is not-at-fault - answer-B. $5,000
t t t t t t t
Medical Payment limits apply per person; Frank will receive full amount towards medical
t t t t t t t t t t t t
bills.
t
Which of the following is not one of the rating factors for a Homeowner's Policy?
t t t t t t t t t t t t t t
A. Type of Construction
t t t
B. Location of Risk
t t t
C. Age & Gender of Insured
t t t t t
D. Proximity to Fire Department - answer-C. Age & Gender of Insured
t t t t t t t t t t t
On a Homeowner's Policy, covers items that are not permanently attached to the dwelling.
t t t t t t t t t t t t t
This is defined as:
t t t t
A. Other Structures
t t
B. Excess Structures
t t
C. Personal Property
t t
D. Dwelling - answer-A. Other Structures
t t t t t
Examples include sheds, fences, pool houses, detached car ports, etc. t t t t t t t t t
A lender has an insurable interest in a home and finds protection in the:
t t t t t t t t t t t t t
A. Loss Payee Clause
t t t
B. Mortgagee Clause
t t
