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TEXAS ALL LINES ADJUSTER EXAM BRAND
NEW!!
QUESTIONS AND CORRECT ANSWERS)
VERIFIED
ANSWERS
A home is insured under an HO-3 policy. One of the "other structures" on the
same property is used by the insured for his business. The building burns in a
fire. It would: - ANSWER>>Not be covered because buildings used for
business purposes are excluded..
What is the main purpose of government regulation of the insurance
industry? - ANSWER>>To protect the insurance consuming public.
All of the following are duties of the insured after a loss, EXCEPT: -
ANSWER>>To provide the insurer with the amount they expect to be paid for
the claim submitted.
On a standard BOP policy, all of the following items have a limitation on the
coverage amount if the cause of loss is theft, EXCEPT: -
ANSWER>>Computers.
Sally's home is covered under an HO-3 policy. Coverage F of that policy will
pay medical expenses for which of the following? - ANSWER>>Anyone who is
invited onto Sally's property and is injured while there.
James owns a sedan, a truck, and an SUV. He carries Part C -- Uninsured
Motorist Coverage on his SUV, but does not carry it on his sedan or truck.
James' son is driving the truck one afternoon and accidentally strikes James
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who is driving the SUV, causing James to sustain bodily injury. How will Part C
apply in this situation? - ANSWER>>No coverage will apply for James' bodily
injury..
Which of the following would NOT be included in an adjuster's initial / field /
preliminary report? - ANSWER>>The results of mediation.
An insurance company is given a C++ rating by A.M. Best. This means: -
ANSWER>>The financial health of the insurance company is good..
Which of the following is one of the duties of the insured as specified in a
Commercial Inland Marine policy? - ANSWER>>Submit to an examination
under oath if the insurer requests it.
If the insured purchases a new aircraft to replace a scheduled aircraft, there
is automatic coverage provided the insurance company is notified within
______ days of the purchase and premium payment is made. - ANSWER>>30
The giving up of a known right is called: - ANSWER>>waiver
Which of the following is the best definition of "fire"? -
ANSWER>>Combustion, accompanied by visible light.
Which of the following is not an "additional coverage" under Homeowners
Liability -- Section II coverage? - ANSWER>>Damage to "property owned by
the insured"..
Which coverage of a Homeowners policy would pay for damage to a
neighbor's window caused by the insured? - ANSWER>>Coverage E
All of the following are criteria for an accident to have occurred "in the
course of" the employment under a workers' compensation policy, EXCEPT: -
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ANSWER>>While performing a task that a fellow worker requested, that was
unusual to the employee's job description, but occurred on the employer's
premises during working hours.
Which of the following statements is NOT TRUE regarding the implied
warranties of an Ocean Marine policy? - ANSWER>>The implied warranties
are attached to the policy as an endorsement..
Parmelia is covered under two separate standardized Personal Automobile
policies, with Part C limits under both policies set at $200,000. Parmelia is
involved in an accident with an uninsured motorist and she sustains bodily
injury damages for $262,320. How much will Parmelia receive when she
submits a claim for these damages - ANSWER>>$200,000
Which of the following endorsements must be attached to a standard
Businessowners policy for coverage to apply to a businesses freezer that was
damaged by the interruption of a power source - ANSWER>>Utility Services -
Direct Damage endorsement.
After completing an inspection of an insured's pressure equipment and fire
suppression systems, the inspector determines that the pressure equipment
needs to be repaired and the suppression systems have not been cleaned
and inspected in the time frame required by the policy. The insurer will: -
ANSWER>>Suspend coverage immediately by red tagging the items until they
are repaired, cleaned and pass reinspection
To be eligible for coverage under a standardized Dwelling policy, the insured
must not allow more than _______ boarders to live on the premises. -
ANSWER>>5
All of the following are "Perils of the Sea" under an Ocean Marine policy,
EXCEPT: - ANSWER>>Pirates
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The amount of insurance countersigned, issued, or sold by an agent or
producer to cover immediate family members, an employer, or employees is
known as: - ANSWER>>Controlled business
Which of the following standardized Dwelling insurance forms provides
coverage for loss of rental income - ANSWER>>The DP-1, DP-2, and DP-3
forms
The "Part B - Medical Payments" coverage of a personal automobile policy
covers injuries for all of the following, EXCEPT: - ANSWER>>A passenger who
is injured in another vehicle that is struck by the insured's vehicle in an
accident
Which of the following are the Texas Workers' Compensation benefits that
are increased by a cost-of-living adjustment (COLAs) - ANSWER>>Lifetime
Income Benefits (LIBs) only
Hannah must take time away from work to help assist in the investigation of
a claim that was made against her BOP policy. The policy will pay for
Hannah's actual loss of earnings up to: - ANSWER>>$250 per day.
Surplus Lines companies in Texas have _____ to acknowledge the receipt of a
claim. - ANSWER>>30 days.
All of the following are characteristics of a principal that a surety will
scrutinize during the underwriting process, EXCEPT: -
ANSWER>>Consideration.
Under Section II of a Homeowners policy, a cemetery plot owned by the
insured is considered to be: - ANSWER>>An insured location.
TEXAS ALL LINES ADJUSTER EXAM BRAND
NEW!!
QUESTIONS AND CORRECT ANSWERS)
VERIFIED
ANSWERS
A home is insured under an HO-3 policy. One of the "other structures" on the
same property is used by the insured for his business. The building burns in a
fire. It would: - ANSWER>>Not be covered because buildings used for
business purposes are excluded..
What is the main purpose of government regulation of the insurance
industry? - ANSWER>>To protect the insurance consuming public.
All of the following are duties of the insured after a loss, EXCEPT: -
ANSWER>>To provide the insurer with the amount they expect to be paid for
the claim submitted.
On a standard BOP policy, all of the following items have a limitation on the
coverage amount if the cause of loss is theft, EXCEPT: -
ANSWER>>Computers.
Sally's home is covered under an HO-3 policy. Coverage F of that policy will
pay medical expenses for which of the following? - ANSWER>>Anyone who is
invited onto Sally's property and is injured while there.
James owns a sedan, a truck, and an SUV. He carries Part C -- Uninsured
Motorist Coverage on his SUV, but does not carry it on his sedan or truck.
James' son is driving the truck one afternoon and accidentally strikes James
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who is driving the SUV, causing James to sustain bodily injury. How will Part C
apply in this situation? - ANSWER>>No coverage will apply for James' bodily
injury..
Which of the following would NOT be included in an adjuster's initial / field /
preliminary report? - ANSWER>>The results of mediation.
An insurance company is given a C++ rating by A.M. Best. This means: -
ANSWER>>The financial health of the insurance company is good..
Which of the following is one of the duties of the insured as specified in a
Commercial Inland Marine policy? - ANSWER>>Submit to an examination
under oath if the insurer requests it.
If the insured purchases a new aircraft to replace a scheduled aircraft, there
is automatic coverage provided the insurance company is notified within
______ days of the purchase and premium payment is made. - ANSWER>>30
The giving up of a known right is called: - ANSWER>>waiver
Which of the following is the best definition of "fire"? -
ANSWER>>Combustion, accompanied by visible light.
Which of the following is not an "additional coverage" under Homeowners
Liability -- Section II coverage? - ANSWER>>Damage to "property owned by
the insured"..
Which coverage of a Homeowners policy would pay for damage to a
neighbor's window caused by the insured? - ANSWER>>Coverage E
All of the following are criteria for an accident to have occurred "in the
course of" the employment under a workers' compensation policy, EXCEPT: -
,3|Page
ANSWER>>While performing a task that a fellow worker requested, that was
unusual to the employee's job description, but occurred on the employer's
premises during working hours.
Which of the following statements is NOT TRUE regarding the implied
warranties of an Ocean Marine policy? - ANSWER>>The implied warranties
are attached to the policy as an endorsement..
Parmelia is covered under two separate standardized Personal Automobile
policies, with Part C limits under both policies set at $200,000. Parmelia is
involved in an accident with an uninsured motorist and she sustains bodily
injury damages for $262,320. How much will Parmelia receive when she
submits a claim for these damages - ANSWER>>$200,000
Which of the following endorsements must be attached to a standard
Businessowners policy for coverage to apply to a businesses freezer that was
damaged by the interruption of a power source - ANSWER>>Utility Services -
Direct Damage endorsement.
After completing an inspection of an insured's pressure equipment and fire
suppression systems, the inspector determines that the pressure equipment
needs to be repaired and the suppression systems have not been cleaned
and inspected in the time frame required by the policy. The insurer will: -
ANSWER>>Suspend coverage immediately by red tagging the items until they
are repaired, cleaned and pass reinspection
To be eligible for coverage under a standardized Dwelling policy, the insured
must not allow more than _______ boarders to live on the premises. -
ANSWER>>5
All of the following are "Perils of the Sea" under an Ocean Marine policy,
EXCEPT: - ANSWER>>Pirates
, 4|Page
The amount of insurance countersigned, issued, or sold by an agent or
producer to cover immediate family members, an employer, or employees is
known as: - ANSWER>>Controlled business
Which of the following standardized Dwelling insurance forms provides
coverage for loss of rental income - ANSWER>>The DP-1, DP-2, and DP-3
forms
The "Part B - Medical Payments" coverage of a personal automobile policy
covers injuries for all of the following, EXCEPT: - ANSWER>>A passenger who
is injured in another vehicle that is struck by the insured's vehicle in an
accident
Which of the following are the Texas Workers' Compensation benefits that
are increased by a cost-of-living adjustment (COLAs) - ANSWER>>Lifetime
Income Benefits (LIBs) only
Hannah must take time away from work to help assist in the investigation of
a claim that was made against her BOP policy. The policy will pay for
Hannah's actual loss of earnings up to: - ANSWER>>$250 per day.
Surplus Lines companies in Texas have _____ to acknowledge the receipt of a
claim. - ANSWER>>30 days.
All of the following are characteristics of a principal that a surety will
scrutinize during the underwriting process, EXCEPT: -
ANSWER>>Consideration.
Under Section II of a Homeowners policy, a cemetery plot owned by the
insured is considered to be: - ANSWER>>An insured location.
