Page 1 of 35
FLORIDA PERSONAL LINES EXAM 100 QUESTIONS AND CORRECT
ANSWERS WITH DETAILED EXPLANATIONS/2026 LATEST VERSION
GUARANTEE OVER 80% PASSMARK
which part of an insurance policy covers claims-related expenses, reasonable expenses incurred by an
insured to protect damage property from further loss, or defense expenses?
A. Additional Coverage
B. Exclusion
C. Declaration
D. Insuring Agreement - correct answer -A. Additional coverage
The additional coverage portion of a policy provides an additional amount of coverage for a specific loss
expense, at no additional premium.
Agents who persuade insureds to cancel a policy in favor of another one when it might not be in the
insured's best interest are guilty of
A. Rebating
B. Twisting
C. Defamation
D. Misrepresentation - correct answer -B. Twisting
Twisting is a misrepresentation that persuades an insured or policyowner, to his or her detriment, to
cancel, lapse, or switch policies
Who would participate in a Write Your Own (WYO) Flood insurance Program?
A. Government insurance companies that write and service National Flood Insurance Policies
B. Businesses requiring National Flood insurance policies
C. Private Insurers that wish to write and service National Flood Policies on a no-risk-bearing basis
D. Lloyd's associations - correct answer -C. Private Insurers that wish to write and service National
Flood Policies on a no-risk-bearing basis
a WYO program made up of private insurers that write and service National Flood Insurance policies on
a no risk bearing basis through a special arrangement with the Federal Insurance Administration. WYO
program retains part of the flood insurance premium to pay for commissions and administrative costs.
The Remaining premiums, pluss investment, are used to cover losses.
, Page 2 of 35
Rental Reimbursement is only available if the policy includes which coverage?
A. named nonowner coverage
B. Other than Collision coverage
C. Extended Nonowned Coverage for Named Insured
D. Towing and Labor Costs - correct answer -B. Other than Collision Coverage
This endorsement is only available in the policy includes other than collision coverage. This endorsement
will reimburse the insured for a rental charges incurred because the covered auto is out of use because
of a covered loss.
while an insured covered auto is in the repair shop following damage by a collision, the insured would
have coverage for which of the following vehicles under a personal auto policy?
A. Any vehicle not owned by the insured, but furnished for use while the covered auto is out of normal
use because of repair
B. Any vehicle use by the insured without the reasonable belief that the insured is entitled to use such
vehicle
C. Any auto furnished for the insured's regular use, but not named on the policy
D. Any vehicle while located inside a racing facility for the purpose of racing - correct answer -A. Any
vehicle not owned by the insured, but furnished for use while the covered auto is out of normal use
because of repair
The Florida automobile joint underwriting association (FAJUA) is a market source for person unable to
purchase auto insurance thought the standard markets. All of the following statements concerning
(FAJUA) are TRUE, EXCEPT
A. Agents do not have binding Authority
B. Coverage is available to military nonresident stationed in Florida.
C. Private passenger auto are eligible for liability coverage with limits up to 100/300/50, PIP, U/M.
D. Each licensed agent in Florida is assigned to one of the servicing carries with which the agent places
all risks to be insured in FAJUA - correct answer -A. Agents do not have binding Authority
Agents have authority to immediately bind coverage upon securing a completed and signed application
upon payment of the require premium deposit by the applicant.
, Page 3 of 35
If a person is using auto with the belief that he is entitled to do so, subrogation rights under a personal
auto policy would apply to all coverages EXCEPT
A. no fault medical payments
B. Liability
C. Physical Damage
D. Uninsured Motorist - correct answer -C. Physical Damage
Subrogation rights do NOT apply to physical damage coverage if the damage is caused by a person using
the auto with a reasonable belief that they were entitled to do so.
what type of information would be found in a policy's insuring agreement?
A. Insurers' address
B. Renewal Dates
C. Location of premises
D. Policy limts - correct answer -B. Renewal Dates
The insuring agreement lists the parties to the contract, effective and renewal dates, the description of
coverage provided, and perils (among other things). Location of premises, policy limits, supplemental
representations, and insurer's name and address can all be found in the Declarations.
A neighbor's tree has fallen into the insured's yard. The insured's homeowners policy will only pay to
remove the tree if
a)The damage is more than $1,000.
b)The neighbor has no homeowners insurance.
c)The tree has caused damage to the insured's vehicle.
d)The tree is blocking the driveway. - correct answer -d)The tree is blocking the driveway.
An insured's homeowners policy will pay up to $1,000 to remove from premises if a neighbor's tree fell
by a covered peril, or if the tree blocks a driveway or handicapped ramp, even if no damage to a covered
structure has occurred.
A sworn written statement that must be furnished by the insured to the insurer before any loss under a
policy can be paid is called?
A. Binder
, Page 4 of 35
B. Proof of lose
C. Notice of Claim
D. Claim Report - correct answer -B. Proof of lose
Proof of loss is a sworn statement that must usually be furnished by the insured to an insurer before any
loss under a policy can be paid. Proof of loss must be in writing.
According to the standard mortgage clause, who has the right to bring a suit in their own name to
recover damages, pay policy premiums, and submit a proof of loss?
a)Policyholder
b)Mortgagee
c)Insurance company
d)Governor - correct answer -b)Mortgagee
The standard mortgage clause, a basis provision of all property policies for real property, also ensures
that mortgagees have the right to receive prior notice if an insurance policy is to be cancelled.
An agent transacts business for Insurer A and Insurer B, both selling life insurance, and for Insurer C,
selling health insurance. How many appointments must the agent hold?
a)No appointments are required.
b)Only one - for any of the insurers
c)Two - one for life and one for health
d)Three - one for each insurer - correct answer -d)Three - one for each insurer
An agent must have a separate appointment for each insurer.
Which of the following losses would NOT be covered by a homeowners policy?
a)A coin collection valued at $500 lost in a fire
b)A $550 utility trailer blown away by a tornado
c)A stolen silver tea set worth $2,000
d)A $800 outboard motor destroyed by hail - correct answer -a)A coin collection valued at $500 lost in
a fire
An HO policy will pay up to $2,500 for silverware by theft, $1,500 for boats, motors, trailers, $1,500 for
loss of trailers not used with boats, but no more than $200 for coins.
FLORIDA PERSONAL LINES EXAM 100 QUESTIONS AND CORRECT
ANSWERS WITH DETAILED EXPLANATIONS/2026 LATEST VERSION
GUARANTEE OVER 80% PASSMARK
which part of an insurance policy covers claims-related expenses, reasonable expenses incurred by an
insured to protect damage property from further loss, or defense expenses?
A. Additional Coverage
B. Exclusion
C. Declaration
D. Insuring Agreement - correct answer -A. Additional coverage
The additional coverage portion of a policy provides an additional amount of coverage for a specific loss
expense, at no additional premium.
Agents who persuade insureds to cancel a policy in favor of another one when it might not be in the
insured's best interest are guilty of
A. Rebating
B. Twisting
C. Defamation
D. Misrepresentation - correct answer -B. Twisting
Twisting is a misrepresentation that persuades an insured or policyowner, to his or her detriment, to
cancel, lapse, or switch policies
Who would participate in a Write Your Own (WYO) Flood insurance Program?
A. Government insurance companies that write and service National Flood Insurance Policies
B. Businesses requiring National Flood insurance policies
C. Private Insurers that wish to write and service National Flood Policies on a no-risk-bearing basis
D. Lloyd's associations - correct answer -C. Private Insurers that wish to write and service National
Flood Policies on a no-risk-bearing basis
a WYO program made up of private insurers that write and service National Flood Insurance policies on
a no risk bearing basis through a special arrangement with the Federal Insurance Administration. WYO
program retains part of the flood insurance premium to pay for commissions and administrative costs.
The Remaining premiums, pluss investment, are used to cover losses.
, Page 2 of 35
Rental Reimbursement is only available if the policy includes which coverage?
A. named nonowner coverage
B. Other than Collision coverage
C. Extended Nonowned Coverage for Named Insured
D. Towing and Labor Costs - correct answer -B. Other than Collision Coverage
This endorsement is only available in the policy includes other than collision coverage. This endorsement
will reimburse the insured for a rental charges incurred because the covered auto is out of use because
of a covered loss.
while an insured covered auto is in the repair shop following damage by a collision, the insured would
have coverage for which of the following vehicles under a personal auto policy?
A. Any vehicle not owned by the insured, but furnished for use while the covered auto is out of normal
use because of repair
B. Any vehicle use by the insured without the reasonable belief that the insured is entitled to use such
vehicle
C. Any auto furnished for the insured's regular use, but not named on the policy
D. Any vehicle while located inside a racing facility for the purpose of racing - correct answer -A. Any
vehicle not owned by the insured, but furnished for use while the covered auto is out of normal use
because of repair
The Florida automobile joint underwriting association (FAJUA) is a market source for person unable to
purchase auto insurance thought the standard markets. All of the following statements concerning
(FAJUA) are TRUE, EXCEPT
A. Agents do not have binding Authority
B. Coverage is available to military nonresident stationed in Florida.
C. Private passenger auto are eligible for liability coverage with limits up to 100/300/50, PIP, U/M.
D. Each licensed agent in Florida is assigned to one of the servicing carries with which the agent places
all risks to be insured in FAJUA - correct answer -A. Agents do not have binding Authority
Agents have authority to immediately bind coverage upon securing a completed and signed application
upon payment of the require premium deposit by the applicant.
, Page 3 of 35
If a person is using auto with the belief that he is entitled to do so, subrogation rights under a personal
auto policy would apply to all coverages EXCEPT
A. no fault medical payments
B. Liability
C. Physical Damage
D. Uninsured Motorist - correct answer -C. Physical Damage
Subrogation rights do NOT apply to physical damage coverage if the damage is caused by a person using
the auto with a reasonable belief that they were entitled to do so.
what type of information would be found in a policy's insuring agreement?
A. Insurers' address
B. Renewal Dates
C. Location of premises
D. Policy limts - correct answer -B. Renewal Dates
The insuring agreement lists the parties to the contract, effective and renewal dates, the description of
coverage provided, and perils (among other things). Location of premises, policy limits, supplemental
representations, and insurer's name and address can all be found in the Declarations.
A neighbor's tree has fallen into the insured's yard. The insured's homeowners policy will only pay to
remove the tree if
a)The damage is more than $1,000.
b)The neighbor has no homeowners insurance.
c)The tree has caused damage to the insured's vehicle.
d)The tree is blocking the driveway. - correct answer -d)The tree is blocking the driveway.
An insured's homeowners policy will pay up to $1,000 to remove from premises if a neighbor's tree fell
by a covered peril, or if the tree blocks a driveway or handicapped ramp, even if no damage to a covered
structure has occurred.
A sworn written statement that must be furnished by the insured to the insurer before any loss under a
policy can be paid is called?
A. Binder
, Page 4 of 35
B. Proof of lose
C. Notice of Claim
D. Claim Report - correct answer -B. Proof of lose
Proof of loss is a sworn statement that must usually be furnished by the insured to an insurer before any
loss under a policy can be paid. Proof of loss must be in writing.
According to the standard mortgage clause, who has the right to bring a suit in their own name to
recover damages, pay policy premiums, and submit a proof of loss?
a)Policyholder
b)Mortgagee
c)Insurance company
d)Governor - correct answer -b)Mortgagee
The standard mortgage clause, a basis provision of all property policies for real property, also ensures
that mortgagees have the right to receive prior notice if an insurance policy is to be cancelled.
An agent transacts business for Insurer A and Insurer B, both selling life insurance, and for Insurer C,
selling health insurance. How many appointments must the agent hold?
a)No appointments are required.
b)Only one - for any of the insurers
c)Two - one for life and one for health
d)Three - one for each insurer - correct answer -d)Three - one for each insurer
An agent must have a separate appointment for each insurer.
Which of the following losses would NOT be covered by a homeowners policy?
a)A coin collection valued at $500 lost in a fire
b)A $550 utility trailer blown away by a tornado
c)A stolen silver tea set worth $2,000
d)A $800 outboard motor destroyed by hail - correct answer -a)A coin collection valued at $500 lost in
a fire
An HO policy will pay up to $2,500 for silverware by theft, $1,500 for boats, motors, trailers, $1,500 for
loss of trailers not used with boats, but no more than $200 for coins.
