Florida Public Adjuster Licensing Exam
Practice Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which of the following best describes the primary role of a Florida
public adjuster in a property insurance claim?
A. To investigate claims solely on behalf of the insurance company
B. To evaluate losses and negotiate settlements on behalf of the state
C. To represent the insurer during litigation proceedings
D. To represent the insured in negotiating and settling insurance
claims
A public adjuster is licensed to act on behalf of the insured, assisting
in documenting, evaluating, and negotiating insurance claims to
ensure fair settlement under the policy terms.
2. Under Florida law, a public adjuster must primarily act in which
capacity when handling a claim?
A. Neutral mediator between insurer and insured
B. Fiduciary agent of the insured
C. Employee of the Department of Financial Services
D. Independent contractor for the insurer
A public adjuster owes fiduciary duties to the insured, meaning they
, must act in the insured’s best interest, maintain loyalty, and avoid
conflicts of interest.
3. Which Florida statute governs the licensing and regulation of public
adjusters?
A. Chapter 440, Florida Statutes
B. Chapter 409, Florida Statutes
C. Chapter 626, Florida Statutes
D. Chapter 120, Florida Statutes
Chapter 626 establishes the regulatory framework for insurance
representatives, including licensing, duties, and disciplinary actions
for public adjusters.
4. What is the minimum age requirement to qualify for a Florida public
adjuster license?
A. 16 years
B. 18 years
C. 18 years or older
D. 21 years or older
Applicants must be at least 18 years of age to qualify for licensure as
a public adjuster in Florida.
5. Which requirement is mandatory before a Florida public adjuster
license can be issued?
A. Completion of a college degree in insurance
B. Prior claims settlement approval from insurers
C. Submission of fingerprints for a background check
D. Employment with an insurance company
Florida requires fingerprinting and background screening to assess
the applicant’s fitness and integrity before issuing a license.
6. What type of bond is required for a licensed Florida public adjuster?
A. Performance bond
, B. Fidelity bond
C. Surety bond
D. Construction bond
A surety bond is required to protect the public from financial harm
caused by unethical or unlawful actions by the adjuster.
7. Which of the following best defines “actual cash value” (ACV)?
A. Replacement cost without depreciation
B. Market value of land and structure combined
C. Replacement cost minus depreciation
D. Original purchase price of the property
Actual cash value is calculated by subtracting depreciation from
replacement cost to reflect the item’s current value at the time of
loss.
8. Which insurance principle requires the insured to have a financial
interest in the insured property?
A. Indemnity
B. Subrogation
C. Insurable interest
D. Contribution
Insurable interest ensures that the policyholder would suffer a
financial loss if the insured property is damaged or destroyed.
9. What is the purpose of a “binder” in insurance?
A. To permanently replace the insurance policy
B. To cancel an existing policy
C. To provide temporary coverage until a policy is issued
D. To increase policy premiums
A binder serves as temporary proof of insurance coverage until the
formal policy document is issued.
Practice Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which of the following best describes the primary role of a Florida
public adjuster in a property insurance claim?
A. To investigate claims solely on behalf of the insurance company
B. To evaluate losses and negotiate settlements on behalf of the state
C. To represent the insurer during litigation proceedings
D. To represent the insured in negotiating and settling insurance
claims
A public adjuster is licensed to act on behalf of the insured, assisting
in documenting, evaluating, and negotiating insurance claims to
ensure fair settlement under the policy terms.
2. Under Florida law, a public adjuster must primarily act in which
capacity when handling a claim?
A. Neutral mediator between insurer and insured
B. Fiduciary agent of the insured
C. Employee of the Department of Financial Services
D. Independent contractor for the insurer
A public adjuster owes fiduciary duties to the insured, meaning they
, must act in the insured’s best interest, maintain loyalty, and avoid
conflicts of interest.
3. Which Florida statute governs the licensing and regulation of public
adjusters?
A. Chapter 440, Florida Statutes
B. Chapter 409, Florida Statutes
C. Chapter 626, Florida Statutes
D. Chapter 120, Florida Statutes
Chapter 626 establishes the regulatory framework for insurance
representatives, including licensing, duties, and disciplinary actions
for public adjusters.
4. What is the minimum age requirement to qualify for a Florida public
adjuster license?
A. 16 years
B. 18 years
C. 18 years or older
D. 21 years or older
Applicants must be at least 18 years of age to qualify for licensure as
a public adjuster in Florida.
5. Which requirement is mandatory before a Florida public adjuster
license can be issued?
A. Completion of a college degree in insurance
B. Prior claims settlement approval from insurers
C. Submission of fingerprints for a background check
D. Employment with an insurance company
Florida requires fingerprinting and background screening to assess
the applicant’s fitness and integrity before issuing a license.
6. What type of bond is required for a licensed Florida public adjuster?
A. Performance bond
, B. Fidelity bond
C. Surety bond
D. Construction bond
A surety bond is required to protect the public from financial harm
caused by unethical or unlawful actions by the adjuster.
7. Which of the following best defines “actual cash value” (ACV)?
A. Replacement cost without depreciation
B. Market value of land and structure combined
C. Replacement cost minus depreciation
D. Original purchase price of the property
Actual cash value is calculated by subtracting depreciation from
replacement cost to reflect the item’s current value at the time of
loss.
8. Which insurance principle requires the insured to have a financial
interest in the insured property?
A. Indemnity
B. Subrogation
C. Insurable interest
D. Contribution
Insurable interest ensures that the policyholder would suffer a
financial loss if the insured property is damaged or destroyed.
9. What is the purpose of a “binder” in insurance?
A. To permanently replace the insurance policy
B. To cancel an existing policy
C. To provide temporary coverage until a policy is issued
D. To increase policy premiums
A binder serves as temporary proof of insurance coverage until the
formal policy document is issued.
