AdjusterPro Practice EXAM QUESTIONS AND
VERIFIED CORRECT ANSWERS LATEST 2026-2027
NEW VERSION
Who must fill out a proof of loss form?
A. The claimant
B. The insurance company
C. The adjuster
D. The agent - answer>>>A. The claimant
An adjuster's preliminary claim report should:
A. update the insurer every 30 days with any new or important information.
B. list the disposition of the claim.
C. establish a claim reserve.
D. list all of the evidence of the claim. - answer>>>C. establish a claim reserve.
Tom is an experienced insurance agent looking for a new job where he works for
one insurer and has the responsibility of training and supervising other agents.
Which of the following would best fit the type of job Tom is looking for?
A. Captive Agent
B. Independent Agent
C. Direct Writer
D. General Agent - answer>>>D. General Agent
Appraisal is used to decide:
A. the settlement amount.
, -
B. whether the guilty party's insurance can cover the loss.
C. whether the loss is covered.
D. who is responsible for a loss. - answer>>>A. the settlement amount.
Paul and his wife have three separate insurance policies covering their home: Policy
X with a limit of $100,000, Policy Y with $50,000, and Policy Z with $25,000. These
policies are set up to pay covered claims by contribution of equal shares. After a fire
causes $125,000 in damage to their home, how much will each policy pay (ignoring
any deductibles)?
A. Policy X pays $50,000; Policy Y pays $50,000; and Policy Z pays $25,000
B. Policy X pays $71,250; Policy Y pays $36,250; and Policy Z pays $17,500
C. Each policy pays $41,667
D. Policy X pays $100,000; Policy Y pays $12,500; and Policy Z pays $12,500 -
answer>>>A. Policy X pays $50,000; Policy Y pays $50,000; and Policy Z pays $25,000
In a third-party claim, the injured person has a duty to:
A. accept any settlement offered by the insurer.
B. join the insurer in a lawsuit against the insured.
C. authorize the insurer to examine her medical records.
D. rectify the situation which directly caused the injury. - answer>>>C. authorize the
insurer to examine her medical records.
Due to an E-coli contamination in its production facility, Company F is facing multiple
lawsuits from customers who became sick after eating its product. The resulting
negative press, lost revenue, and added expenses have proven too much for the
small company to handle, so it has filed for bankruptcy. Which of the following is
true?
,A. Company F's insurer will still pay the claims, up to the policy limit.
B. The Assignment clause allows Company F's insurer to assign all of the claims to
each claimant's respective insurer because of Company F's bankruptcy.
C. Company F's insurer is relieved of its duty to pay any claims because Company F
filed for bankruptcy and can write off all of its debts.
D. The Apportionment clause allows Company F's insurer to share the loss with each
claimant's insurer equally. - answer>>>A. Company F's insurer will still pay the
claims, up to the policy limit.
Nichole's car was damaged while it was being serviced at Don's Auto Shop. Nichole's
auto insurance policy covers physical damage to her vehicle, but it will not cover the
damage that occurred while the vehicle was under the control of Don's Auto Shop.
Which provision in her policy states this?
A. Control of Property
B. No Benefit to Bailee
C. Assignment
D. Severability of Interests - answer>>>B. No Benefit to Bailee
In an insurance contract, exclusions can be used for all of the following reasons,
EXCEPT:
A. manage moral and morale hazards.
B. eliminate duplication of coverages.
C. add coverages that need special treatment.
D. lower premiums. - answer>>>C. add coverages that need special treatment.
Joanne sells her house to her sister, Dianne. To save Dianne the trouble of finding
her own homeowners policy, Joanne calls up her insurance company and tells them
that Dianne bought her house and any future claim settlements should be paid to
, -
Dianne. Joanne's insurer tells her that they can't do that because of which
condition?
A. Additional Insured
B. Control of Property
C. Liberalization
D. Assignment - answer>>>D. Assignment
An HO-3 policy is intended for a/an:
A. corporation.
B. individual.
C. small business.
D. government entity. - answer>>>B. individual.
A tornado completely destroys Cheyenne's property. Her losses include her $95,000
home, $4,700 privacy fence, $5,000 detached garage, and $1,600 in patio furniture.
Cheyenne has a $90,000 homeowners policy. How much of Cheyenne's losses will be
covered under Coverage B - Other Structures?
A. $9,000
B. $90,000
C. $11,300
D. $9,700 - answer>>>A. $9,000
Which of the following is a requirement of an insurer if it does not intend to renew a
Homeowners policy?
A. Notify the insured 45 days before the policy will expire
VERIFIED CORRECT ANSWERS LATEST 2026-2027
NEW VERSION
Who must fill out a proof of loss form?
A. The claimant
B. The insurance company
C. The adjuster
D. The agent - answer>>>A. The claimant
An adjuster's preliminary claim report should:
A. update the insurer every 30 days with any new or important information.
B. list the disposition of the claim.
C. establish a claim reserve.
D. list all of the evidence of the claim. - answer>>>C. establish a claim reserve.
Tom is an experienced insurance agent looking for a new job where he works for
one insurer and has the responsibility of training and supervising other agents.
Which of the following would best fit the type of job Tom is looking for?
A. Captive Agent
B. Independent Agent
C. Direct Writer
D. General Agent - answer>>>D. General Agent
Appraisal is used to decide:
A. the settlement amount.
, -
B. whether the guilty party's insurance can cover the loss.
C. whether the loss is covered.
D. who is responsible for a loss. - answer>>>A. the settlement amount.
Paul and his wife have three separate insurance policies covering their home: Policy
X with a limit of $100,000, Policy Y with $50,000, and Policy Z with $25,000. These
policies are set up to pay covered claims by contribution of equal shares. After a fire
causes $125,000 in damage to their home, how much will each policy pay (ignoring
any deductibles)?
A. Policy X pays $50,000; Policy Y pays $50,000; and Policy Z pays $25,000
B. Policy X pays $71,250; Policy Y pays $36,250; and Policy Z pays $17,500
C. Each policy pays $41,667
D. Policy X pays $100,000; Policy Y pays $12,500; and Policy Z pays $12,500 -
answer>>>A. Policy X pays $50,000; Policy Y pays $50,000; and Policy Z pays $25,000
In a third-party claim, the injured person has a duty to:
A. accept any settlement offered by the insurer.
B. join the insurer in a lawsuit against the insured.
C. authorize the insurer to examine her medical records.
D. rectify the situation which directly caused the injury. - answer>>>C. authorize the
insurer to examine her medical records.
Due to an E-coli contamination in its production facility, Company F is facing multiple
lawsuits from customers who became sick after eating its product. The resulting
negative press, lost revenue, and added expenses have proven too much for the
small company to handle, so it has filed for bankruptcy. Which of the following is
true?
,A. Company F's insurer will still pay the claims, up to the policy limit.
B. The Assignment clause allows Company F's insurer to assign all of the claims to
each claimant's respective insurer because of Company F's bankruptcy.
C. Company F's insurer is relieved of its duty to pay any claims because Company F
filed for bankruptcy and can write off all of its debts.
D. The Apportionment clause allows Company F's insurer to share the loss with each
claimant's insurer equally. - answer>>>A. Company F's insurer will still pay the
claims, up to the policy limit.
Nichole's car was damaged while it was being serviced at Don's Auto Shop. Nichole's
auto insurance policy covers physical damage to her vehicle, but it will not cover the
damage that occurred while the vehicle was under the control of Don's Auto Shop.
Which provision in her policy states this?
A. Control of Property
B. No Benefit to Bailee
C. Assignment
D. Severability of Interests - answer>>>B. No Benefit to Bailee
In an insurance contract, exclusions can be used for all of the following reasons,
EXCEPT:
A. manage moral and morale hazards.
B. eliminate duplication of coverages.
C. add coverages that need special treatment.
D. lower premiums. - answer>>>C. add coverages that need special treatment.
Joanne sells her house to her sister, Dianne. To save Dianne the trouble of finding
her own homeowners policy, Joanne calls up her insurance company and tells them
that Dianne bought her house and any future claim settlements should be paid to
, -
Dianne. Joanne's insurer tells her that they can't do that because of which
condition?
A. Additional Insured
B. Control of Property
C. Liberalization
D. Assignment - answer>>>D. Assignment
An HO-3 policy is intended for a/an:
A. corporation.
B. individual.
C. small business.
D. government entity. - answer>>>B. individual.
A tornado completely destroys Cheyenne's property. Her losses include her $95,000
home, $4,700 privacy fence, $5,000 detached garage, and $1,600 in patio furniture.
Cheyenne has a $90,000 homeowners policy. How much of Cheyenne's losses will be
covered under Coverage B - Other Structures?
A. $9,000
B. $90,000
C. $11,300
D. $9,700 - answer>>>A. $9,000
Which of the following is a requirement of an insurer if it does not intend to renew a
Homeowners policy?
A. Notify the insured 45 days before the policy will expire
