FLORIDA ADJUSTER LICENSING EXAM 3 ACTUAL EXAM LATEST 2025 COMPLETE 60 QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) A NEW UPDATED VERSION

FLORIDA LICENSING EXAM STUDY SET FOR FLORIDA INSURAN
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CE LICENSING SOLUTIONS
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1. All of the following describe insurable interest EXCEPT:
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• It must exist at the time of the loss
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• It must exist for insurance to respond
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• Shows a similarity between insurance and wagering
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• The insured would suffer an economic loss: • Shows a similarity between
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insurance and wagering m m




2. An Insurance Policy is a contract with all the following characteristics,
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EXCEPT:
• It is a personal contract
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• parties are of unequal power with ambiguities or unclear working resolved
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in favor of the insured because it is a contract of adhesion
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• Indemnity is not part of an insurance contractm m m m m m m




• There are conditions imposed on both the insurer and insured: • Indemnity
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is not part of an insurance contract
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3. An insurance contract which may contain a "gray area" or an ambiguity
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that is generally resolved in favor of the insured because insurance is a c
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ontract of:: Adhesion m m




4. If an insured sells his car to another person, the buyer may be prohibited
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from also receiving the insured's policy. This is because the insurance con-
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tract is a contract of:: Personal nature
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5. Strict or absolute liability: Is assigned by law or statute
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6. Jack and Connie agree to have Jack burn down Connie's house for
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$10,000. What element of a valid contract is missing?: Legal Purpose
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7. Risks that are insurable are: Pure risks
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1m/m23

,FLORIDA LICENSING EXAM STUDY SET FOR FLORIDA INSURAN
M M M M M M M



CE LICENSING SOLUTIONS
M M




8. Insurance that covers the responsibility for loss arising out of negligence
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that results in payment to a party other than the insured is:: Liability Insurance
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9. The goal of insurance is to restore the insured to the same economic
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position as before the covered loss, this is the principle of: Indemnity
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10. All of the following are ways that liability limits can be expressed except:
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• PIP Limit m




• Aggregate Limit m




• Split Limit m




• Single Limit: PIP Limit
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11. An insured has A SPLIT limit liability policy with 10/20/10 limits. He owes
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the following people liability bodily injuries claims of: Passenger 1 = $12,000,
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2m/m23

,FLORIDA LICENSING EXAM STUDY SET FOR FLORIDA INSURAN
M M M M M M M



CE LICENSING SOLUTIONS
M M




Passenger 2 = $10,000, Passenger 3 = $18,000. How much liability insurance
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will his policy pay for these claims?: $20,000
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12. If a lender has an insurable interest in an auto, because of the money
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loaned to finance the purchase, the lender would appear on the policy as
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the:
• Lessee
• Loss Payee m




• Mortgagor
• Mortgagee: Loss Payee m m




13. To turn partially damaged property over to the insurance company and
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ask them to pay for a total loss is called: Abandonment
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14. Firemen caused water damage to a property by spraying water to put out
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a fire. If the property insurance policy listed fire as the only named peril:: The
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water damage is covered due to the concept of proximate cause
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15. XYZ Insurance Corp. filed its corporate charter in Tallahassee and has its
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home office in Tampa:: In Florida, XYZ is a domestic insurer
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16. An insured has a home with a replacement cost / value of $100,000, on
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which he carries an insurance policy for $80,000 with an 80% Coinsurance
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clause. The insured has a $20,000 partial loss, the insurance company will
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pay how much for this partial loss of $20,000? (Remember $80,000 is 80% of
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$100,000): $20,000 m




17. "Actual Cash Value" ACV means:: Current cost to replace minus deprecia-
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tion
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18. Which of the following is TRUE concerning Subrogation?: Allows insurer
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3m/m23

, FLORIDA LICENSING EXAM STUDY SET FOR FLORIDA INSURAN
M M M M M M M



CE LICENSING SOLUTIONS
M M




to sue a negligent third party to recover a loss paid to an insured
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19. All of the following may qualify for a dwelling policy EXCEPT:
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• A 6 - family dwelling
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• A beach house owned by ACME Corporation
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• A small single family home, rented by a salesman
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• An old frame home, built upon piers, valued at $10,000 and occupied by the
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owner, Mrs. Jones. Company underwriting minimum for a homeowner policy
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is $50,000: A 6 - family dwelling
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20. All of the following are eligible for a Homeowners Policy EXCEPT:
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• A person who rents an apartment
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• A condominium owner
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• Owner-occupant of a four-family dwelling m m m m




4m/m23