TEXAS ADJUSTER ALL-LINES LICENSE
BASIC EXAM 2026/2027 WITH 170 PREP
QUESTIONS AND EXPERT-VERIFIED
CORRECT ANSWERS | ALREADY
GRADED A+ | GUARANTEED PASS |
TEXAS ALL ADJUSTER LATEST EXAM
The amount the insured must pay in a loss before any payment is due? -
ANSWER-Deductible
The typical deductible on a Homeowner's policy is a percentage deductible. If you
have a percentage deductible, that percentage is always taken from the
___________. - ANSWER-Coverage A Limit of Liability.
Homeowner's policy Coverage A applies to ___________. - ANSWER-The
structure or the dwelling (not the contents)
Homeowner's policy Coverage B applies to ___________. - ANSWER-Other
structures (example: detached garage)
Homeowner's policy Coverage C applies to ___________. - ANSWER-Personal
property or contents
,The insured has a Homeowner's Policy with a Coverage A Limit of $300,000 and a
Coverage C Limit of $100,000, with a 1% Deductible. You're the adjuster handling
a claim for hail damage to the insured's roof. What is the deductible on this claim?
- ANSWER-$3,000
The insured has a Homeowner's Policy with a Coverage A Limit of $400,000 and a
Coverage C Limit of $100,000, with a 1% Deductible. You're the adjuster handling
a claim for theft of stolen contents. What is the deductible on this claim? -
ANSWER-$4,000
What is the tendency for people with a greater than average exposure to loss to
purchase insurance? - ANSWER-Adverse Selection
What is defined as the cause that was responsible for the loss, either indirectly or
indirectly, through that chain of events? - ANSWER-Proximate cause
Documents attached to an insurance policy that change or modify the policy in
some way. In most instances, they broaden coverage? - ANSWER-Endorsement
A temporary contract pending issue of the policy, that is subject to the terms of the
contract to be written later? - ANSWER-Binder
When a loss occurs, an individual should be restored to the approximate financial
condition he or she was in before the loss. This is known as? - ANSWER-Principle
of indemnity
An interest by the insured person in the value of the subject of insurance, including
any legal or financial relationship? - ANSWER-Insurable interest
, This section of an insurance policy that describes the coverage provided by the
insurer. It may also specify the perils covered by the policy? - ANSWER-Insuring
agreement
This department is responsible for making rates and determines the rates charged
by the insurer. - ANSWER-Actuarial Department
What type of contract exists when the insurance policy is valid even though there
is an unequal coverage? For example, the insured pays $300 for $300,000 of
coverage. - ANSWER-Aleatory contract
A condition of habits that increases the probability of a loss from a peril and is
typically presented by a dishonest person is called ___________. - ANSWER-
Moral hazard
County Mutual Insurance Company is attempting to make Maytag reimburse them
for water damages that were caused by a defective valve on their refrigerator. This
process is known as ___________? - ANSWER-Subrogation
What is the property insurance provision for when an insurer and an insured have a
dispute regarding the amount of damage on a claim? - ANSWER-Appraisal clause
___________ is a significant misstatement in an application form. If a company
had access to the correct information at the time of application, the company might
not have agreed to accept the application - ANSWER-Material misrepresentation
As an adjuster, you should base depreciation on these three factors? - ANSWER-
Age, condition, and life expectancy
BASIC EXAM 2026/2027 WITH 170 PREP
QUESTIONS AND EXPERT-VERIFIED
CORRECT ANSWERS | ALREADY
GRADED A+ | GUARANTEED PASS |
TEXAS ALL ADJUSTER LATEST EXAM
The amount the insured must pay in a loss before any payment is due? -
ANSWER-Deductible
The typical deductible on a Homeowner's policy is a percentage deductible. If you
have a percentage deductible, that percentage is always taken from the
___________. - ANSWER-Coverage A Limit of Liability.
Homeowner's policy Coverage A applies to ___________. - ANSWER-The
structure or the dwelling (not the contents)
Homeowner's policy Coverage B applies to ___________. - ANSWER-Other
structures (example: detached garage)
Homeowner's policy Coverage C applies to ___________. - ANSWER-Personal
property or contents
,The insured has a Homeowner's Policy with a Coverage A Limit of $300,000 and a
Coverage C Limit of $100,000, with a 1% Deductible. You're the adjuster handling
a claim for hail damage to the insured's roof. What is the deductible on this claim?
- ANSWER-$3,000
The insured has a Homeowner's Policy with a Coverage A Limit of $400,000 and a
Coverage C Limit of $100,000, with a 1% Deductible. You're the adjuster handling
a claim for theft of stolen contents. What is the deductible on this claim? -
ANSWER-$4,000
What is the tendency for people with a greater than average exposure to loss to
purchase insurance? - ANSWER-Adverse Selection
What is defined as the cause that was responsible for the loss, either indirectly or
indirectly, through that chain of events? - ANSWER-Proximate cause
Documents attached to an insurance policy that change or modify the policy in
some way. In most instances, they broaden coverage? - ANSWER-Endorsement
A temporary contract pending issue of the policy, that is subject to the terms of the
contract to be written later? - ANSWER-Binder
When a loss occurs, an individual should be restored to the approximate financial
condition he or she was in before the loss. This is known as? - ANSWER-Principle
of indemnity
An interest by the insured person in the value of the subject of insurance, including
any legal or financial relationship? - ANSWER-Insurable interest
, This section of an insurance policy that describes the coverage provided by the
insurer. It may also specify the perils covered by the policy? - ANSWER-Insuring
agreement
This department is responsible for making rates and determines the rates charged
by the insurer. - ANSWER-Actuarial Department
What type of contract exists when the insurance policy is valid even though there
is an unequal coverage? For example, the insured pays $300 for $300,000 of
coverage. - ANSWER-Aleatory contract
A condition of habits that increases the probability of a loss from a peril and is
typically presented by a dishonest person is called ___________. - ANSWER-
Moral hazard
County Mutual Insurance Company is attempting to make Maytag reimburse them
for water damages that were caused by a defective valve on their refrigerator. This
process is known as ___________? - ANSWER-Subrogation
What is the property insurance provision for when an insurer and an insured have a
dispute regarding the amount of damage on a claim? - ANSWER-Appraisal clause
___________ is a significant misstatement in an application form. If a company
had access to the correct information at the time of application, the company might
not have agreed to accept the application - ANSWER-Material misrepresentation
As an adjuster, you should base depreciation on these three factors? - ANSWER-
Age, condition, and life expectancy
