Fred Loya Practice Exam 2 Questions With 100% Correct Answers

Fred Loya Practice Exam 2 Questions With 100% Correct Answers If an agent, while selling a policy tells the prospect he is fully covered and everything will be taken care of, when this is not the fact, the agent is guilty of - answerMisrepresentation What would NOT be an unfair claim practice? - answerUsing an arbitrator to resolve a dispute. A homeowner discovers that a valuable painting was stolen from her home, what type of loss would this be considered? - answerDirect loss An example of a peril would be - answerA fire that damages the kitchen of a home. What part of the insurance contract states the insurance company's promise to pay? - answerInsuring agreement If a license lapses for less than 90 days, in addition to the renewal fee, the licensee must pay a penalty fee equal to ________ % of the renewal fee. - answer50 Events or conditions that increase the chances of an insured loss occurring are referred to as - answerHazard Which of the following statements is NOT correct? - answerAn agent may voluntarily surrender his license to the commissioner to avoid penalties. Under a policy, the condition that determines how the amount of damaged or lost property will be determined is known as - answerLoss valuation If an agent's license is expired less than 90 days, which of the following is not true? - answerMust retake the test. An agent discovers his newest client was the result of a referral. To show his thanks to the referring customer, the agent could - answerThank the customer. The authority granted to an agent through the agent's contract is referred to as - answerExpressed Authority The maximum amount that an insurance company will pay in the event of a loss is called - answerLiability limits