Maine Adjuster Property and Casualty Exam 2 Questions and Answers 100% Pass

Maine Adjuster Property and Casualty Exam 2 Questions and Answers 100% Pass The required minimum amounts of liability car insurance coverage in Maine - Answer- 50/100/25 Would a ferry crashing between the coast of Maine and Nova Scotia a be covered by the personal auto insurance policy - Answer- No Limit on Theft of Unscheduled Jewelry - Answer- $1500 When insurer and insured cannot agree on loss - Answer- they each hire an appraiser If the appraisers cannot agree on loss - Answer- they select an umpire If the appraisers cannot agree on an umpire - Answer- a judge will decide Insurable interest must exist - Answer- Both at the time the insurance policy is purchased and at the time a loss occurs. If a Corporation rents a plane and the President of Corporation is flying the plane they need - Answer- Non-owned Aircraft Liability Policy. what is purpose of the Maine Auto Insurance plan - Answer- to provide insurance when it cannot be obtained in the voluntary market. what type of loss is it when you have to rent a car as a result of a loss - Answer- indirect loss Loss x Did Have/ Should have - Answer- deductible The insured pays a small premium and the insurer promises to pay a large amount if a covered loss occurs. This is an example of a - Answer- Aleatory Contract Kim shows up at the agent's office to pay her premium on her policy that cancelled last night. The agent accepts the premium and Kim believes her policy is paid. This is an example of what kind of agent authority? - Answer- apparent Only one of the parties, the insurer, can be legally bound to honor their promise. This is an example of a - Answer- Unilateral Contract Rules have to be followed in order for an insurance contract to work. This is an example of a - Answer- Conditional Contract Tiffany buys a policy and is not happy with the claim denial based on the wording. She feels the language is vague. The court agrees with her and awards her coverage. This is an example of a - Answer- Contract of Adhesion The insurer relies on the application information to be truthful and the insured relies on the insurer to be truthful and fair in the claim settlement. This is an example of a - Answer- Contract of Utmost Good Faith An insurance policy drafted by the company and offered to the insured for acceptance or rejection without negotiation is called a: - Answer- Contract of Adhesion What is NOT a requirement to sit for the exam? - Answer- high school diploma or equivalency If a violation has caused or is about to cause substantial and material harm, the Superintendent may issue an order that the person in violation cease and desist from the activity. Notice of the order must be mailed - Answer- by certified mail. The privacy disclosure notice must not - Answer- require the applicant to give permission to in writing to use the information The agent contract with an insurance company is an example of what type of agent authority? - Answer- express Loss is measurable, loss must be accidental, loss must NOT be catastrophic in nature. These are all elements of - Answer- an insurable risk. Binders of insurance - Answer- can be both oral and written. Since the policy is written by the insurer and the insured has no input in the wording, any vagueness or ambiguity will always be ruled in favor of the insured. This is known as - Answer- the doctrine of adhesion Katelyn is upset she was denied coverage because of vague wording. The court agrees and tells the insurer to give her the coverage. This decision is based on: - Answer- Contract of adhesion What is it called when someone does something so inherently dangerous that the public decided they are responsible - Answer- Strict liability Lost wages, and medical bills are examples of what type of compensatory damages? - Answer- special damages Endorsements to change the terms of a policy mu