Texas All Lines Adjuster Exam 2 study
guide QUESTIONS with WELLWRITTEN
complete solutions 2025/2026 RATED
FIVE STARS GRADED A.
All of the following are criteria for an accident to have occurred "in
the course of" the employment under a workers' compensation
policy, EXCEPT: - 100 correct answer as-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? - 100 correct
answer as-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 - 100 correct answer as-$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 - 100 correct answer as-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: - 100
correct answer as-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. - 100 correct answer as-5
All of the following are "Perils of the Sea" under an Ocean Marine
policy, EXCEPT: - 100 correct answer as-Pirates
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: - 100 correct answer
as-Controlled business
Which of the following standardized Dwelling insurance forms
provides coverage for loss of rental income - 100 correct
answer as-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:
- 100 correct answer as-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)
,- 100 correct answer as-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: -
100 correct answer as-$250 per day.
Surplus Lines companies in Texas have _____ to acknowledge
the receipt of a claim. - 100 correct answer as-30 days.
All of the following are characteristics of a principal that a surety
will scrutinize during the underwriting process, EXCEPT: - 100
correct answer as-Consideration.
Under Section II of a Homeowners policy, a cemetery plot owned
by the insured is considered to be: - 100 correct answer as-
An insured location.
Which of the following is NOT one of the four major coverages of
an Ocean Marine policy? - 100 correct answer as-
Seaworthiness.
A ship has suffered damage and sunk. Which of the following
would respond to cover the loss of the ship? - 100 correct
answer as-Hull Insurance.
As a fiduciary agent, an adjuster has the power to bind the
insurer. Which of the following statements is FALSE regarding
this power? - 100 correct answer as-Only an adjuster's
written statements can legally bind an insurer.
, The standardized Dwelling forms consider all eruptions of a
volcano within a __________ period to be a single "occurrence". -
100 correct answer as-72-hour
Whose responsibility is it to complete a "proof of loss"? - 100
correct answer as-The claimant.
Which of the following would NOT be determined by a court when
an insurer has filed a declaratory judgment action? - 100
correct answer as-The type and amount of damages that will
be paid to a plaintiff for the claim that is being disputed.
Which of the following statements is TRUE regarding the
Homeowners "additional coverage" known as Landlord's
Furnishings? - 100 correct answer as-The coverage is not
additional insurance and does not increase the limits of the policy.
Which of the following would be covered under the Jones Act? -
100 correct answer as-Crew members of a ship.
All of the following statements are true regarding a Personal
Liability Supplement, EXCEPT: - 100 correct answer as-The
policy will cover watercraft liability.
Which of the following statements is TRUE regarding Commercial
Property coverage? - 100 correct answer as-Commercial
property coverage can be written as both a monoline policy and
as part of a package policy.
What type of insurance is usually provided or subsidized by the
state or federal government because it is not ordinarily available
guide QUESTIONS with WELLWRITTEN
complete solutions 2025/2026 RATED
FIVE STARS GRADED A.
All of the following are criteria for an accident to have occurred "in
the course of" the employment under a workers' compensation
policy, EXCEPT: - 100 correct answer as-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? - 100 correct
answer as-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 - 100 correct answer as-$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 - 100 correct answer as-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: - 100
correct answer as-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. - 100 correct answer as-5
All of the following are "Perils of the Sea" under an Ocean Marine
policy, EXCEPT: - 100 correct answer as-Pirates
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: - 100 correct answer
as-Controlled business
Which of the following standardized Dwelling insurance forms
provides coverage for loss of rental income - 100 correct
answer as-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:
- 100 correct answer as-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)
,- 100 correct answer as-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: -
100 correct answer as-$250 per day.
Surplus Lines companies in Texas have _____ to acknowledge
the receipt of a claim. - 100 correct answer as-30 days.
All of the following are characteristics of a principal that a surety
will scrutinize during the underwriting process, EXCEPT: - 100
correct answer as-Consideration.
Under Section II of a Homeowners policy, a cemetery plot owned
by the insured is considered to be: - 100 correct answer as-
An insured location.
Which of the following is NOT one of the four major coverages of
an Ocean Marine policy? - 100 correct answer as-
Seaworthiness.
A ship has suffered damage and sunk. Which of the following
would respond to cover the loss of the ship? - 100 correct
answer as-Hull Insurance.
As a fiduciary agent, an adjuster has the power to bind the
insurer. Which of the following statements is FALSE regarding
this power? - 100 correct answer as-Only an adjuster's
written statements can legally bind an insurer.
, The standardized Dwelling forms consider all eruptions of a
volcano within a __________ period to be a single "occurrence". -
100 correct answer as-72-hour
Whose responsibility is it to complete a "proof of loss"? - 100
correct answer as-The claimant.
Which of the following would NOT be determined by a court when
an insurer has filed a declaratory judgment action? - 100
correct answer as-The type and amount of damages that will
be paid to a plaintiff for the claim that is being disputed.
Which of the following statements is TRUE regarding the
Homeowners "additional coverage" known as Landlord's
Furnishings? - 100 correct answer as-The coverage is not
additional insurance and does not increase the limits of the policy.
Which of the following would be covered under the Jones Act? -
100 correct answer as-Crew members of a ship.
All of the following statements are true regarding a Personal
Liability Supplement, EXCEPT: - 100 correct answer as-The
policy will cover watercraft liability.
Which of the following statements is TRUE regarding Commercial
Property coverage? - 100 correct answer as-Commercial
property coverage can be written as both a monoline policy and
as part of a package policy.
What type of insurance is usually provided or subsidized by the
state or federal government because it is not ordinarily available
