Claims Adjuster Exam Questions With
Correct Answers
Insurance - CORRECT ANSWER✔✔--an economic device used to protect
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against extreme unforeseen loss
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- the transfer of risk from one party to another
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Premium - CORRECT ANSWER✔✔--the fee paid by the insured in
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exchange for insurance | |
Principle of Indemnity - CORRECT ANSWER✔✔--the insurer should be
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restored to where they were before the incident
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-no profit can be made
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Idemnification - CORRECT ANSWER✔✔--to compensate for loss or
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damage; to provide security for financial reimbursement to an
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individual in case of a specified loss incurred by the person
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4 Elements of a Legal Contract - CORRECT ANSWER✔✔--Agreement-
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signature or handshake | |
-Consideration- money exchange | |
,-Competent Parties-18 yrs. old, sober, sane | | | | |
-Legal Purpose-no contracts for money laundering
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Insured - CORRECT ANSWER✔✔-individual who pays premiums in
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exchange for protection | |
-can be a person, person's or an organization
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- "You," "Your," or "Your's"
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(if the insured is a group it is important to list the "first named insured,"-
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because that is the only one that can authorize changes to the policy)
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Insurer - CORRECT ANSWER✔✔--company or group offering insurance
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-can be a government organization
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-terms- "We," "Us," and "Our| | | |
6 Characteristics of a Contract:
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|Personal - CORRECT ANSWER✔✔--protects the person (insured) from
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loss
-does not protect property from becoming damaged
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-coverage follows the person not the property| | | | | |
6 Characteristics of a Contract:
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, | Adhesion - CORRECT ANSWER✔✔--one party dictates terms
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-the insured has no power to write the contract
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-courses will favor the insured in a case of ambiguity
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6 Characteristics of a Contract:
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Utmost Good Faith - CORRECT ANSWER✔✔--applicants are expected
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not to withhold any information or the contract can be voided
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6 Characteristics of a Contract:
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Aleatory - CORRECT ANSWER✔✔--depending on a unknown future
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event
-Insurer only has to pay in and when covered losses occur
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6 Characteristics of a Contract:
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| Unilateral - CORRECT ANSWER✔✔--only the insurer make an obligation
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| to pay for covered losses
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6 Characteristics of a Contract:
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Correct Answers
Insurance - CORRECT ANSWER✔✔--an economic device used to protect
| | | | | | | | |
against extreme unforeseen loss
| | |
- the transfer of risk from one party to another
| | | | | | | | |
Premium - CORRECT ANSWER✔✔--the fee paid by the insured in
| | | | | | | | | |
exchange for insurance | |
Principle of Indemnity - CORRECT ANSWER✔✔--the insurer should be
| | | | | | | | |
restored to where they were before the incident
| | | | | | | |
-no profit can be made
| | | |
Idemnification - CORRECT ANSWER✔✔--to compensate for loss or
| | | | | | | |
damage; to provide security for financial reimbursement to an
| | | | | | | | |
individual in case of a specified loss incurred by the person
| | | | | | | | | |
4 Elements of a Legal Contract - CORRECT ANSWER✔✔--Agreement-
| | | | | | | | |
signature or handshake | |
-Consideration- money exchange | |
,-Competent Parties-18 yrs. old, sober, sane | | | | |
-Legal Purpose-no contracts for money laundering
| | | | |
Insured - CORRECT ANSWER✔✔-individual who pays premiums in
| | | | | | | |
exchange for protection | |
-can be a person, person's or an organization
| | | | | | |
- "You," "Your," or "Your's"
| | | |
(if the insured is a group it is important to list the "first named insured,"-
| | | | | | | | | | | | | |
because that is the only one that can authorize changes to the policy)
| | | | | | | | | | | | |
Insurer - CORRECT ANSWER✔✔--company or group offering insurance
| | | | | | |
-can be a government organization
| | | |
-terms- "We," "Us," and "Our| | | |
6 Characteristics of a Contract:
| | | |
|Personal - CORRECT ANSWER✔✔--protects the person (insured) from
| | | | | | | |
loss
-does not protect property from becoming damaged
| | | | | |
-coverage follows the person not the property| | | | | |
6 Characteristics of a Contract:
| | | |
, | Adhesion - CORRECT ANSWER✔✔--one party dictates terms
| | | | | |
-the insured has no power to write the contract
| | | | | | | |
-courses will favor the insured in a case of ambiguity
| | | | | | | | |
6 Characteristics of a Contract:
| | | |
Utmost Good Faith - CORRECT ANSWER✔✔--applicants are expected
| | | | | | | | |
not to withhold any information or the contract can be voided
| | | | | | | | | |
6 Characteristics of a Contract:
| | | |
Aleatory - CORRECT ANSWER✔✔--depending on a unknown future
| | | | | | | | |
event
-Insurer only has to pay in and when covered losses occur
| | | | | | | | | |
6 Characteristics of a Contract:
| | | |
| Unilateral - CORRECT ANSWER✔✔--only the insurer make an obligation
| | | | | | | |
| to pay for covered losses
| | | |
6 Characteristics of a Contract:
| | | |
