Hawaii Adjusters Practice Test / Strategies Review of Key Quizzes & Correct Answers.

Hawaii Adjusters Practice Test / Strategies Review of Key Quizzes & Correct Answers. Warm up with practice questions  Under the Standard Fire policy, how many days of coverage is provided by the policy to cover property moved to another location when the property is endangered by the perils insured against under the policy? 5 days When the Hawaii Department is investigating possible insurance law violations, the Commissioner will pay all of the following, EXCEPT: Answer Choices: Cost to search for items designated by the subpoena. Mileage for witnesses to attend the hearing. Costs to reproduce records relating to the case. Costs to transport the books, papers, documents or records relating to the case. Mileage for witnesses to attend the hearing   What is the bond limit that is required for a public adjuster's license? $10,000 What section of an insurance contract contains the terms used throughout the policy? Definitions Under the National Flood Insurance Program, replacement cost coverage is available for: Single family dwellings only. In order to receive full replacement cost recovery on a covered loss under a BOP, the named insured must maintain insurance limits equal to at least what percentage of the covered property's full replacement value? 80% of the property value The inland marine coverage form that covers clothing, cameras and other portable property worn or carried by tourists and travelers is a Personal effects floater A Commercial General Liability form provides automatic coverage for newly acquired organizations for up to 90 Days Under the Additional Coverages of the Businessowners Property forms, property removed to protect it from loss will be covered at another location for up to 30 Days Garagekeepers specified causes of loss coverage would apply to each of the following, EXCEPT: Fire, Windstorm, Falling Objects, or Lightening Windstorm If there were other existing insurance, coverage under crime insurance would be Pro Rated How long must a foreign or alien insurer have transacted business elsewhere in order to transact business in Hawaii? 5 Years Under the Commercial Property Liberalization Clause, if the insurer makes any coverage revision which broadens the coverage without an additional premium charge, it will automatically apply to existing policies if the revision is adopted during the policy term or within: 45 days prior to the effective date What is the binding authority of a Surplus Lines Broker? A surplus broker does not have the authority to bind risks Under the discovery clause in the loss sustained policy, which of the following is covered? A loss discovered up to one year after the policy expired but that occurred during the policy period Any person who violates any provision of the Code for which another penalty is not specified may be subject to a fine of not less than ______nor more than ______, or by imprisonment for up to one year. $100/$10,000 Which of the following is generally intended to cover property that moves from one location to another? Floaters Any person that knowingly violates the provisions concerning the handling of a Personal Injury Protection (PIP) motor vehicle insurance applications or the provisions concerning cancellation or nonrenewal of PIP insurance, will be subject to a civil penalty up to: $1,000 An insurer or licensee must respond in writing to an inquiry from the Hawaii Insurance Commissioner regarding a consumer complaint within: 15 Days Under the "regular program" a flood insurance policy will insure a single family residence for up to: $250,000 Under the emergency flood program the dwelling is covered for $35,000 Which of the following is correct regarding the differences in coverage between an HO-3 and an HO-5? HO-3 covers personal property on a named peril basis, while personal property under an HO-5 is covered on an open peril basis. In the property insurance field, a "friendly fire" is one which: Is intentionally set and remains within its intended limits. No radio or television broadcast, nor published written communication in Hawaii may: Advertise for any insurer that is not authorized to transact insurance in Hawaii. A judgement has been levied against an unauthorized insurer at an administrative proceeding in Hawaii. If the unauthorized insurer does not pay the judgement within 30 days, the court may add: 12.5% of the judgement to be added to allow for reasonable attorney's fees and any other fees necessary If an insurer authorized to transact business in Hawaii makes a policy filing with the Commissioner, when will that filing be approved? The filing will be considered approved within 60 calendar days of the request unless the Commissioner approves or denies the request prior to that time The standard deductible on the Commercial Property Earthquake Causes of Loss form is: A percentage of the building value What does the Leasehold Interest Endorsement provide? Covers a building tenant, when a favorable lease is cancelled because of loss or damage In addition to issuing a cease and desist order for unknowingly committing unfair acts or practices, the Hawaii Insurance Commissioner may also order the payment of a fine of up to ______ for each violation not to exceed a total of: $1,000/$10,000 Under the dwelling insurance program, an endorsement may be attached to the policy to cover dwellings during the course of construction. The insurance company must be advised when construction is completed, and within ____ after the insured takes occupancy of the dwelling 30 days Mason Insurance Company determines that their policyholder, Murphy Industries, is a poor commercial risk. The insurer prepares a cancellation notice, and at the appropriate time, it is mailed. The policy lists 12 individuals as insured under the policy. The cancellation should be mailed to: Only the individual whose name appears first on the policy. How do eligibility requirements of homeowner and dwelling policies differ? Homeowner policies require that the named insured reside at the described premises while dwelling policies do not Workers comp premiums are determined by? Payroll By what means may each member insurer of the Hawaii Insurance Guaranty Association recoup assessments they have paid? By placing a surcharge on premiums Policies issued under the National Flood Insurance Program provide removal coverage for property which is moved to another location to protect it from a flood. This coverage applies for up to: 45 days An applicant for an agent, producer, or adjuster license in Hawaii has failed the state licensing exam for their line of insurance two times. What is the waiting period before this applicant may take the same state licensing exam again? 6 Months A contractor in need of a bid bond to obtain a contract is an example of a(n): Principal The Businessowners policy provides loss of income on an "actual loss" sustained basis for up to: 12 Months Under the personal auto policy, uninsured motorist coverage is excluded for claims settled without the insurer's consent only if: The claim settlement prejudiced the insurer's subrogation rights Under the commercial general liability policy, medical payment expenses must be: Reported within one year of the accident Which of the following time periods is ordinary payroll coverage limited to in case of a business income loss under the BOP? 60 Days In rate making, "developed losses" include: Losses including loss adjustment expenses Which of the following is the correct description of the medical expenses limit in the liability section of the Businessowners policy? Per person, per occurrence The deductible under a homeowner policy does not apply to which of the following? Liability Coverage The Commercial Articles Coverage Form is designed to cover: : Musical instruments and related equipment; cameras and related equipment The Insurance Commissioner is required to examine the books and records of domestic insurers in the state of Hawaii at least once every _____ years. 5 What is the purpose of an installation floater? To cover property belonging to a contractor or others that is intended to become a part of a structure How much is a thumb worth? 75 Weeks How much is a hand worth? 244 Weeks How much is an arm worth 312 weeks How much is an eye worth 160 weeks How much is a foot worth 205 weeks How much is a leg worth 288 Weeks How much is loss of vision in one eye worth 140 Weeks What endorsement may be used on the dwelling policy to keep values current with the replacement cost of the buildings? The Automatic Increase Endorsement In crime insurance terminology, a salesperson having possession of the insured's property onpremises is known as a Custodian How are losses settled under a typical inland marine policy? Actual Cash Value If an insured intentionally conceals a material fact about property to be covered by a policy, coverage may be Voided Medical payments coverage of a boatowners policy covers all necessary medical expenses incurred by a covered person up to ______ following a covered accident. 3 years The Hawaii Insurance Commissioner may hold hearings whenever he or she deems necessary within the scope of state law. The Commissioner must give notice not less than ______ in advance to each person to be affected by the hearing. 15 Days Any person who violates any provision of the Hawaii Insurance Code may be subject to a monetary penalty of Not less than $100 nor more than $10,000 An insurer has violated the insurance laws of Hawaii. The Attorney General on behalf of the Insurance Commissioner seeks an action in forfeiture against the insurer. What is the penalty that can apply each day that the violation continues? $10,000