FLORIDA GENERAL LINES EXAMINATION TEST 2025/2026
QUESTIONS AND SOLUTIONS GRADED A+
✔✔Non-Discrimination - ✔✔Prevents unfair discrimination among similar policyholders.
✔✔Claims Processing Standards - ✔✔Statutory deadlines for claims investigation and
resolution.
✔✔Policy Form Filing - ✔✔Standard forms must be approved by Florida OIR.
✔✔Rate Filings - ✔✔Premium rates require periodic review for compliance.
✔✔Truth in Advertising - ✔✔Insurers must accurately present policy benefits.
✔✔Prohibited Practices - ✔✔Includes misrepresentation, twisting, churning, and sliding.
✔✔Fair Claims Practices - ✔✔Adhere to objective and prompt claims processing.
✔✔Ethical Standards - ✔✔Guidelines for ethical conduct in consumer dealings.
✔✔Casualty Insurance - ✔✔Covers liability for bodily injury and property damage.
✔✔General Liability Insurance - ✔✔Covers claims from business-related injuries and
damages.
✔✔Automobile Liability Insurance - ✔✔Covers injuries or damages from auto accidents.
✔✔Umbrella Liability Policies - ✔✔Additional coverage beyond underlying policy limits.
✔✔Directors & Officers Liability Insurance - ✔✔Protects leaders from personal losses
due to lawsuits.
✔✔Errors & Omissions Insurance - ✔✔Covers negligence claims in professional
services.
✔✔Workers' Compensation - ✔✔Benefits for employees injured on the job.
✔✔Contract Bonds - ✔✔Guarantee contract obligations in business settings.
✔✔Bid Bonds - ✔✔Guarantee bidder will honor their bid.
✔✔Performance Bonds - ✔✔Ensure contractor fulfills contract obligations.
, ✔✔Payment Bonds - ✔✔Guarantee payment to subcontractors and suppliers.
✔✔Maintenance Bonds - ✔✔Cover defects for a period post-completion.
✔✔License and Permit Bonds - ✔✔Required for legal business operations.
✔✔Public Official Bonds - ✔✔Ensure officials perform duties honestly.
✔✔Fidelity Bonds - ✔✔Protect against employee dishonesty or fraud.
✔✔Principal - ✔✔Entity responsible for fulfilling bond obligations.
✔✔Obligee - ✔✔Party protected by the bond, often a government.
✔✔Surety - ✔✔Entity guaranteeing the principal's performance.
✔✔Indemnity - ✔✔Principal reimburses surety for incurred losses.
✔✔Penalty Bond - ✔✔Enforces compliance with regulations through financial penalties.
✔✔Premium - ✔✔Periodic payment for insurance coverage.
✔✔Deductible - ✔✔Out-of-pocket amount before insurer covers loss.
✔✔Co-payment - ✔✔Fixed fee paid at service time.
✔✔Co-insurance - ✔✔Percentage of costs paid after deductible.
✔✔Out-of-Pocket Maximum - ✔✔Maximum insured pays before insurer covers 100%.
✔✔Underwriting - ✔✔Evaluating risk to determine premium and coverage.
✔✔Actuarial Analysis - ✔✔Statistical methods estimating future claims.
✔✔Claim - ✔✔Formal request for payment due to loss.
✔✔Exclusions - ✔✔Conditions not covered by the insurance policy.
✔✔Endorsement - ✔✔Modification to policy coverage or terms.
✔✔Policyholder - ✔✔Owner of the insurance policy entitled to benefits.
✔✔Insurable Interest - ✔✔Financial interest in the insured subject.
QUESTIONS AND SOLUTIONS GRADED A+
✔✔Non-Discrimination - ✔✔Prevents unfair discrimination among similar policyholders.
✔✔Claims Processing Standards - ✔✔Statutory deadlines for claims investigation and
resolution.
✔✔Policy Form Filing - ✔✔Standard forms must be approved by Florida OIR.
✔✔Rate Filings - ✔✔Premium rates require periodic review for compliance.
✔✔Truth in Advertising - ✔✔Insurers must accurately present policy benefits.
✔✔Prohibited Practices - ✔✔Includes misrepresentation, twisting, churning, and sliding.
✔✔Fair Claims Practices - ✔✔Adhere to objective and prompt claims processing.
✔✔Ethical Standards - ✔✔Guidelines for ethical conduct in consumer dealings.
✔✔Casualty Insurance - ✔✔Covers liability for bodily injury and property damage.
✔✔General Liability Insurance - ✔✔Covers claims from business-related injuries and
damages.
✔✔Automobile Liability Insurance - ✔✔Covers injuries or damages from auto accidents.
✔✔Umbrella Liability Policies - ✔✔Additional coverage beyond underlying policy limits.
✔✔Directors & Officers Liability Insurance - ✔✔Protects leaders from personal losses
due to lawsuits.
✔✔Errors & Omissions Insurance - ✔✔Covers negligence claims in professional
services.
✔✔Workers' Compensation - ✔✔Benefits for employees injured on the job.
✔✔Contract Bonds - ✔✔Guarantee contract obligations in business settings.
✔✔Bid Bonds - ✔✔Guarantee bidder will honor their bid.
✔✔Performance Bonds - ✔✔Ensure contractor fulfills contract obligations.
, ✔✔Payment Bonds - ✔✔Guarantee payment to subcontractors and suppliers.
✔✔Maintenance Bonds - ✔✔Cover defects for a period post-completion.
✔✔License and Permit Bonds - ✔✔Required for legal business operations.
✔✔Public Official Bonds - ✔✔Ensure officials perform duties honestly.
✔✔Fidelity Bonds - ✔✔Protect against employee dishonesty or fraud.
✔✔Principal - ✔✔Entity responsible for fulfilling bond obligations.
✔✔Obligee - ✔✔Party protected by the bond, often a government.
✔✔Surety - ✔✔Entity guaranteeing the principal's performance.
✔✔Indemnity - ✔✔Principal reimburses surety for incurred losses.
✔✔Penalty Bond - ✔✔Enforces compliance with regulations through financial penalties.
✔✔Premium - ✔✔Periodic payment for insurance coverage.
✔✔Deductible - ✔✔Out-of-pocket amount before insurer covers loss.
✔✔Co-payment - ✔✔Fixed fee paid at service time.
✔✔Co-insurance - ✔✔Percentage of costs paid after deductible.
✔✔Out-of-Pocket Maximum - ✔✔Maximum insured pays before insurer covers 100%.
✔✔Underwriting - ✔✔Evaluating risk to determine premium and coverage.
✔✔Actuarial Analysis - ✔✔Statistical methods estimating future claims.
✔✔Claim - ✔✔Formal request for payment due to loss.
✔✔Exclusions - ✔✔Conditions not covered by the insurance policy.
✔✔Endorsement - ✔✔Modification to policy coverage or terms.
✔✔Policyholder - ✔✔Owner of the insurance policy entitled to benefits.
✔✔Insurable Interest - ✔✔Financial interest in the insured subject.
