Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
An employee has been asked to use his own personal vehicle to perform certain tasks on
behalf of his employer. What coverage is used under the business auto policy to protect the
employer for lawsuits when the employee has an accident that causes legal action against the
employer? - ansEmployers non-ownership coverage. This coverage protects the employer and
not the employee. The employee is covered under his own PAP policy.
Replacement cost coverage is best defined as: - ansReplacement without deduction for
depreciation.With replacement cost coverage, the insured is permitted to replace old with new
at today's cost without a deduction for depreciation.
Which of the following would be considered a "supplementary payment" coverage under a
business auto policy? 1)All post-judgment interest in a suit defended by the insurer
2)Payment for an insured employee's truck being used by the employee on a business-related
trip 3)Costs for a private investigator hired by an employee to prove he was not involved in a
hit and run accident of which he has been accused 4)Up to $2,000 for the cost of bail bonds
for an employee involved in an accident while he was on a trip to Mexico that he won for
exceeding sales goals set by the company - ans1) All post-judgment interest in a suit
defended by the insurer.
Supplementary payments do not include physical damages, nor personal expenses of
employees. The bail bonds would be covered except that Mexico is outside the coverage area.
Which of the following professional liability policies would cover a dishonest, fraudulent or
criminal act of the manager of a LLC?
1)Fiduciary Liability
2)Malpractice Liability
3)Errors and Omissions
4)None of the policies cover these acts - ans4) None of the policies cover these acts.
When securing a recorded statement over the telephone, an adjuster must:
1 Identify him or herself.
2 Advise he or she would like to record the statement and request and receive permission to
do so.
3 State the time and date.
4 All responses listed are correct. - ans4 All responses listed are correct. The adjuster must
identify him or herself, state the date and time and get permission to record the statement.
Uninsured Motorist coverage includes the named insured's:
I. Medical bills and pain and suffering.
II. Lost wages. - ansBoth I and II is correct.
Coverage C (Uninsured Motorists) provides for payments to or on behalf of the named
insured for injuries sustained through the negligence of an uninsured driver.
Substitute services will provide: - ans$25 per day for one year.
Basic economic loss benefits will provide up to $25 per day for substitute services for a
maximum of one year if the injured party is not gainfully employed.
Which of the following is not a violation of the Unfair Trade Practices Act?
,Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
1 Not attempting in good faith to settle claims
2 Denying an uncovered claim
3 Failing to promptly settle claims under one portion of coverage in order to influence
settlements under other portions of coverage
4 Not setting forth the coverage under which a claim payment is being made - ansDenying a
claim that is not covered is not a violation.
In case of a total loss in an automobile accident, the adjuster can do the insured which of the
following?
I. Pay cost to replace the vehicle with like kind and quality if the vehicle is a current year
model.
II. Use the most recent publication of an "Official Used Car Guide."
III. If not listed in the "Guide," obtain quotations from local automobile dealers. - ansI, II and
III depending on the circumstances
All the responses listed can be options in settling a total loss claim.
Personal umbrella liability policies usually cover liability as a result of:
1 Performing a professional service.
2 Serving as an officer or director of a nonprofit corporation or association.
3 For a work related activity
4 None of the activities are covered - ans2 Serving as an officer or director of a nonprofit
corporation or association..
Coverage is included while serving as an officer or director of a nonprofit corporation or
association.
The Now Company carries a special BOP policy with a liability limit of $500,000. The
company is involved in an accident causing $200,000 bodily injury damage and $200,000
property damage. The total amount collectible under the policy is:
1 $500,000
2 $400,000
3 $200,000
4 $100,000 - ans2 $400,000
BOP policies provide a single limit of liability. Both bodily injury and property damage
coverage is provided. Since the amounts for bodily injury and property damage combined do
not exceed the 500,000 occurrence limit, the total amount of the claim would be covered.
A tram, tape and centering gauges are being used to quick reference a unibody vehicle.
Technician A says the tram gauge is used to determine vehicle centerline. Technician B says
that centering gauges should be used to determine vehicle centerline. Who is right?
1 Technician A only
2 Technician B only
3 Both technicians are correct
,Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
4 Neither technician is correct - ans2 Technician B only
Technician B is correct. Centering gauges use centering pins to locate centerline. A tram is
used to make point-to-point measurements.
The maximum payable for damage or loss to signs attached to the building covered under a
BOP is:
1 $2500
2 The building limit since it's attached to the building
3 $1000
4 $5000 - ans3 The correct answer is: $1000.
Damage or loss to a sign attached to the building is limited to $1000 even though it is
attached to the building and considered part of the building.
Which of the following basic workers compensation benefits compensates a widow or other
dependent family members of an employee whose death results from a work-related injury?
1 Disability income benefits
2 Medical benefits
3 Survivor benefits
4 Rehabilitation benefits - ans3 Survivor benefits
Survivor benefits compensate a widow or other dependent family members.
Lawful economic interest in the preservation of the subject of insurance, free from loss or
destruction or monetary impairment is the definition of:
1 Insurable Interest
2 Right of Ownership
3 An Amendatory Endorsement
4 Contractual Obligation - ans1 Insurable Interest
This is the definition of insurable interest. In property and casualty insurance, insurable
interest must exist at the time of the loss.
In a property loss the insured is required to do all of the following, EXCEPT: - ansRepair the
property within 20 days of notifying the insurer.
The insured should not repair the property until agreed upon by the insurer.
The prefix "neo" refers to:
1 Old.
2 New.
3 Flat.
4 After. - ans2 New
"Neo" refers to something that is new.
, Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
neo-: new or recent, or in a modern form:
If a commercial building has been vacant for more than sixty days, which of the perils are
affected as regards coverage?
1 Vandalism
2 Freezing
3 Fire
4 All of the perils are affected - ans4 All of the perils are affected
All of the perils listed are affected as a result of the vacancy. Some of the coverage for certain
perils is voided and fire losses are reduced by 15%.
Automobile Medical Payments covers:
1 The insured as an occupant of a car, an occupant of the insured vehicle and the insured as a
pedestrian when hit by a car.
2 The insured as an occupant of a car only.
3 An occupant of the insured vehicle only.
4 The insured as a pedestrian only. - ans1 The insured as an occupant of a car, an occupant of
the insured vehicle and the insured as a pedestrian when hit by a car.
It also covers any family member. In addition, any other person while occupying the insured's
covered auto.
The Federal Terrorism Act covers property and casualty losses that exceed ______in the
aggregate. - ans$100,000,000
The Act covers losses from a certified terrorism act that exceed $100,000,000 (the trigger) in
the aggregate. The Federal Terrorism Act was amended in 2007 to this limit. The Act has was
further amended and extended 2015. The trigger remains the same, but will increase each
year by $20 million starting in 2016. Please refer to your testing vendor outline to determine
if it is testing on the prevous amendment or if it is testing on the 2015 extension of the Act.
The answer to this question is correct for either year.
All the following are the insured's duties after a loss in regards to the physical damage
coverage of the policy, EXCEPT:
1 Take reasonable steps after the loss to protect the property from further damage
2 Promptly notify the police if the vehicle is stolen
3 Allow the insurer to inspect and appraise the damaged property
4 Facilitate the repairs to the vehicle and submit the invoice to the insurer. - ans4 Facilitate
the repairs to the vehicle and submit the invoice to the insurer..
The insured is not permitted to make repairs on the vehicle until after the vehicle has been
inspected and/or appraised and an agreement as to the damages has been reached with the
insurer.
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
An employee has been asked to use his own personal vehicle to perform certain tasks on
behalf of his employer. What coverage is used under the business auto policy to protect the
employer for lawsuits when the employee has an accident that causes legal action against the
employer? - ansEmployers non-ownership coverage. This coverage protects the employer and
not the employee. The employee is covered under his own PAP policy.
Replacement cost coverage is best defined as: - ansReplacement without deduction for
depreciation.With replacement cost coverage, the insured is permitted to replace old with new
at today's cost without a deduction for depreciation.
Which of the following would be considered a "supplementary payment" coverage under a
business auto policy? 1)All post-judgment interest in a suit defended by the insurer
2)Payment for an insured employee's truck being used by the employee on a business-related
trip 3)Costs for a private investigator hired by an employee to prove he was not involved in a
hit and run accident of which he has been accused 4)Up to $2,000 for the cost of bail bonds
for an employee involved in an accident while he was on a trip to Mexico that he won for
exceeding sales goals set by the company - ans1) All post-judgment interest in a suit
defended by the insurer.
Supplementary payments do not include physical damages, nor personal expenses of
employees. The bail bonds would be covered except that Mexico is outside the coverage area.
Which of the following professional liability policies would cover a dishonest, fraudulent or
criminal act of the manager of a LLC?
1)Fiduciary Liability
2)Malpractice Liability
3)Errors and Omissions
4)None of the policies cover these acts - ans4) None of the policies cover these acts.
When securing a recorded statement over the telephone, an adjuster must:
1 Identify him or herself.
2 Advise he or she would like to record the statement and request and receive permission to
do so.
3 State the time and date.
4 All responses listed are correct. - ans4 All responses listed are correct. The adjuster must
identify him or herself, state the date and time and get permission to record the statement.
Uninsured Motorist coverage includes the named insured's:
I. Medical bills and pain and suffering.
II. Lost wages. - ansBoth I and II is correct.
Coverage C (Uninsured Motorists) provides for payments to or on behalf of the named
insured for injuries sustained through the negligence of an uninsured driver.
Substitute services will provide: - ans$25 per day for one year.
Basic economic loss benefits will provide up to $25 per day for substitute services for a
maximum of one year if the injured party is not gainfully employed.
Which of the following is not a violation of the Unfair Trade Practices Act?
,Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
1 Not attempting in good faith to settle claims
2 Denying an uncovered claim
3 Failing to promptly settle claims under one portion of coverage in order to influence
settlements under other portions of coverage
4 Not setting forth the coverage under which a claim payment is being made - ansDenying a
claim that is not covered is not a violation.
In case of a total loss in an automobile accident, the adjuster can do the insured which of the
following?
I. Pay cost to replace the vehicle with like kind and quality if the vehicle is a current year
model.
II. Use the most recent publication of an "Official Used Car Guide."
III. If not listed in the "Guide," obtain quotations from local automobile dealers. - ansI, II and
III depending on the circumstances
All the responses listed can be options in settling a total loss claim.
Personal umbrella liability policies usually cover liability as a result of:
1 Performing a professional service.
2 Serving as an officer or director of a nonprofit corporation or association.
3 For a work related activity
4 None of the activities are covered - ans2 Serving as an officer or director of a nonprofit
corporation or association..
Coverage is included while serving as an officer or director of a nonprofit corporation or
association.
The Now Company carries a special BOP policy with a liability limit of $500,000. The
company is involved in an accident causing $200,000 bodily injury damage and $200,000
property damage. The total amount collectible under the policy is:
1 $500,000
2 $400,000
3 $200,000
4 $100,000 - ans2 $400,000
BOP policies provide a single limit of liability. Both bodily injury and property damage
coverage is provided. Since the amounts for bodily injury and property damage combined do
not exceed the 500,000 occurrence limit, the total amount of the claim would be covered.
A tram, tape and centering gauges are being used to quick reference a unibody vehicle.
Technician A says the tram gauge is used to determine vehicle centerline. Technician B says
that centering gauges should be used to determine vehicle centerline. Who is right?
1 Technician A only
2 Technician B only
3 Both technicians are correct
,Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
4 Neither technician is correct - ans2 Technician B only
Technician B is correct. Centering gauges use centering pins to locate centerline. A tram is
used to make point-to-point measurements.
The maximum payable for damage or loss to signs attached to the building covered under a
BOP is:
1 $2500
2 The building limit since it's attached to the building
3 $1000
4 $5000 - ans3 The correct answer is: $1000.
Damage or loss to a sign attached to the building is limited to $1000 even though it is
attached to the building and considered part of the building.
Which of the following basic workers compensation benefits compensates a widow or other
dependent family members of an employee whose death results from a work-related injury?
1 Disability income benefits
2 Medical benefits
3 Survivor benefits
4 Rehabilitation benefits - ans3 Survivor benefits
Survivor benefits compensate a widow or other dependent family members.
Lawful economic interest in the preservation of the subject of insurance, free from loss or
destruction or monetary impairment is the definition of:
1 Insurable Interest
2 Right of Ownership
3 An Amendatory Endorsement
4 Contractual Obligation - ans1 Insurable Interest
This is the definition of insurable interest. In property and casualty insurance, insurable
interest must exist at the time of the loss.
In a property loss the insured is required to do all of the following, EXCEPT: - ansRepair the
property within 20 days of notifying the insurer.
The insured should not repair the property until agreed upon by the insurer.
The prefix "neo" refers to:
1 Old.
2 New.
3 Flat.
4 After. - ans2 New
"Neo" refers to something that is new.
, Comprehensive Guide on New York
State General Adjuster Covering
Chapter 17-70.
Latest Updated Exam Study Guide
2026/2027.
neo-: new or recent, or in a modern form:
If a commercial building has been vacant for more than sixty days, which of the perils are
affected as regards coverage?
1 Vandalism
2 Freezing
3 Fire
4 All of the perils are affected - ans4 All of the perils are affected
All of the perils listed are affected as a result of the vacancy. Some of the coverage for certain
perils is voided and fire losses are reduced by 15%.
Automobile Medical Payments covers:
1 The insured as an occupant of a car, an occupant of the insured vehicle and the insured as a
pedestrian when hit by a car.
2 The insured as an occupant of a car only.
3 An occupant of the insured vehicle only.
4 The insured as a pedestrian only. - ans1 The insured as an occupant of a car, an occupant of
the insured vehicle and the insured as a pedestrian when hit by a car.
It also covers any family member. In addition, any other person while occupying the insured's
covered auto.
The Federal Terrorism Act covers property and casualty losses that exceed ______in the
aggregate. - ans$100,000,000
The Act covers losses from a certified terrorism act that exceed $100,000,000 (the trigger) in
the aggregate. The Federal Terrorism Act was amended in 2007 to this limit. The Act has was
further amended and extended 2015. The trigger remains the same, but will increase each
year by $20 million starting in 2016. Please refer to your testing vendor outline to determine
if it is testing on the prevous amendment or if it is testing on the 2015 extension of the Act.
The answer to this question is correct for either year.
All the following are the insured's duties after a loss in regards to the physical damage
coverage of the policy, EXCEPT:
1 Take reasonable steps after the loss to protect the property from further damage
2 Promptly notify the police if the vehicle is stolen
3 Allow the insurer to inspect and appraise the damaged property
4 Facilitate the repairs to the vehicle and submit the invoice to the insurer. - ans4 Facilitate
the repairs to the vehicle and submit the invoice to the insurer..
The insured is not permitted to make repairs on the vehicle until after the vehicle has been
inspected and/or appraised and an agreement as to the damages has been reached with the
insurer.
