Claims Adjuster's Exam (FL) Passed!

All of the following describe insurable interest EXCEPT correct answers -Insurable Interest must exist at the time of the loss. -Insurance Interest must exist for insurance to respond. *Show a similarity between insurance and wagering* -The insured would suffer an economic loss. An Insurance Policy is a contract with all of the following characteristics, EXCEPT correct answers -It is a personal contract. -Parties are of unequal power with ambiguities or unclear wording resolved in favor of the insured because it is a contract of adhesion. *Indemnity is not part of an insurance contract* -There are conditions imposed upon both the insurer and insured. An insurance contract may contain a "gray area" or an ambiguity, that is generally resolved in favor of the insured because insurance policies are contracts of: correct answers -Indemnity -Cohesion *Adhesion* -Conditions If an insured sells his car to another person, the buyer may be prohibited from also receiving the insured's policy. This is because the insurance contract is a contract of: correct answers *Personal nature* -Indemnity -Adhesion -Actual cash value Strict or absolute liability: correct answers -applies to school systems. -must have failure to use "due care." -considers the actions of a prudent person. *is assigned by law or statute* Jack and Connie - both 50 years old and of sound mind - agree to have Jack burn down Connie's house for $10,000. What element of a valid contract is missing? correct answers *Legal purpose* Competent parties Consideration Agreement of the parties Risks that are insurable are: correct answers Speculative risk *Pure risk* Both A & B None of the above