FLORIDA CLAIMS ADJUSTER EXAM QUESTIONS WITH CORRECT
ANSWERS
1. Frank cowned ca chome cthat cwas cdestroyed cby ca churricane. cBoth cABC
cand cXYZ c Banks c were c listed c as c additional c interests c on c his c homeowner
c policy. cThe cinsurance ccompany cwill cmake ca cpayment cto:
A. The cfirst cmortgagee, cABC
B. The cInsured
C. Jointly cto cABC cand cXYZ
D. All c listed c interests: c D. c All c listed c interests
Remember cthat cthe cinsurer cis cnot cresponsible cto cknow cthe cdegrees
cof cinterest. cIn cthe cevent cof ca closs, cone cpayment cis cmade cby cthe cinsurer
cand cit cis cup cto cthe cadditional cinterests con cworking cout ctheir cshare.
2. Insurance capplies cseparately cto ceach cinsured cas cif cother cinsureds cdid
cnot cexist. cThis cis cdefined cas:
A. Severability
B. Conditional
C. Warranty
D. None c of c the c above: c A. c Severability
3. Property cinsurance cpolicies cusually ccontain ca(n) clause,
cstating c the c insured c cannot c dump c damaged c property c on c the
c insurer c and cdemandits cfull cvalue:
A. Pro cRata
B. Abandonment
C. Liberalization
D. All c of c the c above: c B. c Abandonment
4. A(n) is cone cwherein ceconomic closs cwould cbe csuffered cfrom
can cadverse chappening cto cthe csubject:
A. Conditional cContract
B. Personal cContract
C. Economic cContract
D. Insurable c Interest: c D. c Insurable c Interest
5. States cthat cif cthe cinsurer cadopts ca crevision cwhich cwould cbroaden
ccoverage cwithout cadditional cpremium cwithin csome cperiod cof ctime cprior
cto cthe cpolicy cperiod cor cduring cthe cpolicy cperiod, cthe cinsured creceives
1 c/
,cthe cbenefit cof csuch cbroadened ccoverage.
A. Cancellation cClause
B. Policy cPeriod
C. Pro cRata
D. Liberalization: cD.
cLiberalization cThe ctime cframe
cis ctypically c60 cdays.
2 c/
,6. The states cthat cwhen cthere cis can cunbroken cconnection cbe-
ctween c an c occurrence c and c damage c that c grows c out c of c the c occurrence,
c then c the cresultant cdamage cis call ca cpart cof cthe coccurrence.
A. Doctrine cof cProximate cCause
B. Doctrine cof cPerils c& cHazards
C. Insurance cPolicy cHandbook
D. Doctrine cof cProperty cInsurance: cA. cDoctrine cof cProximate cCause
For cexample, cif ca cproperty cinsurance cpolicy ccovers cthe cperil cof cfire cbut
cfurther cdamage cis ccaused cby csmoke, cwater cused cto cextinguish, cand
cthe cprocess cof cmoving cproperty c away c - c fire c is c considered c to c be c the
c *proximate c cause* c of c all c of c the c damage.
7. The cLoss cSettlement cValuation cthat csubtracts can callowance cfor
cdeprecia- ction cis cdefined cas?
A. Actual c Cash cValue
B. Replacement cCost
C. "Old cfor cNew"
D. None c of c the c Above: c A. cActual c Cash c Value
8. A c policy c condition, c either c based c on c information c in c the c insured's
c application cor cinserted cby cthe cinsurer, cis cdefined cas:
A. Warranty
B. Misrepresentation
C. Concealment
D. None c of c the c Above: c A. cWarranty
9. The cfollowing care cbasic ccharacteristics cof ca cproperty cor cliability
cinsurance ccontract, cexcept:
A. Personal cContract
B. Conditional cContract
C. Loss cof cSettlement cContract
D. Contract c of c Adhesion: c C. c Loss c of c Settlement c Contract
10. The cInsurer's cresponsibility cto cpay cfor ca cproperty closs cmay cbe
cconditioned con cthe cinsured chaving cused creasonable cmeans cto cavoid cthe
closs, cto cprotect cthe cproperty cagainst cfurther closs, cand cto cgive cthe
cinsurer cproof cof cthe closs cis cdefined cas?
A. Conditional cContract
B. Adhesion cContract
C. Indemnity cContract
D. All c of c the c Above: c A. c Conditional
c Contract c"may cbe cconditioned"
3 c/
, 11. Which cof cthe cfollowing cis cnot cone cof cthe c"Thresholds" cin cthe c"No-
Fault" claw?
A. Death cof cthe cInsured
B. Temporary cInjury cof cthe cInsured
C. A cpermanent closs cof ca cbodily cfunction
D. Permanent cscarring con cthe cface cof cthe cinsured: cB. cTemporary cInjury
cof cthe cInsured
Also cincluded: cpermanent cinjury cother cthan cscarring cand cdisfigurement
12. Under c Mechanical c Breakdown c Coverage, c new c cars c are c eligible c for
c service cup cto:
A. 36 cMonths/36,000 cMiles
B. 24 cMonths/36,000 cMiles
C. 12,000 cMonths/12,000 cMiles
D. 12 c Months/36,000 c Miles: c A. c 36 c Months/36,000
c Miles cUsed cvehicles: c12 cMonths/12,000 cMiles
13. If cfinancial cresponsibility cdoesn't cexist cat cthe ctime cof can caccident,
cwhich cof cthe cfollowing cthings cmust chappen cto cavoid cpenalties?
A. The clegally cvalid cclaims cof cothers cmust cbe csatisfied c(up cto c10/20/10)
B. The cowner cand coperator cmust cprovide ccertification cof cfuture
cresponsibility cfor cfuture caccidents
C. Both cA c& cB
D. None cof cthe cAbove: cC. cBoth cA c& cB
14. As cto crequired cproof cfor cfuture caccidents cby cpurchase cof cauto
cliability cin- csurance, c the c insurer c must c make c a c filing c (Form c SR-22)
c certifying c that c coverage cis cin ceffect, cand cthis ccertification cmust cremain
con cfile cfor years:
A. 1
B. 3
C. 4
D. c2: cB. c3
15. The cBusiness cAutomobile cPolicy cincludes call cof cthe cfollowing
ccoverage cforms cexcept:
A. The cGarage cCoverage cForm
B. The cTrailer c Interchange c Coverage c Form
C. The cTruckers c Coverage c Form
D. The c Business c Auto c Coverage c Form: c B. cThe c Trailer c Interchange
c Coverage cForm
16. Personal cInjury cProtection, cor cPIP, chas ca per cperson,
4 c/
ANSWERS
1. Frank cowned ca chome cthat cwas cdestroyed cby ca churricane. cBoth cABC
cand cXYZ c Banks c were c listed c as c additional c interests c on c his c homeowner
c policy. cThe cinsurance ccompany cwill cmake ca cpayment cto:
A. The cfirst cmortgagee, cABC
B. The cInsured
C. Jointly cto cABC cand cXYZ
D. All c listed c interests: c D. c All c listed c interests
Remember cthat cthe cinsurer cis cnot cresponsible cto cknow cthe cdegrees
cof cinterest. cIn cthe cevent cof ca closs, cone cpayment cis cmade cby cthe cinsurer
cand cit cis cup cto cthe cadditional cinterests con cworking cout ctheir cshare.
2. Insurance capplies cseparately cto ceach cinsured cas cif cother cinsureds cdid
cnot cexist. cThis cis cdefined cas:
A. Severability
B. Conditional
C. Warranty
D. None c of c the c above: c A. c Severability
3. Property cinsurance cpolicies cusually ccontain ca(n) clause,
cstating c the c insured c cannot c dump c damaged c property c on c the
c insurer c and cdemandits cfull cvalue:
A. Pro cRata
B. Abandonment
C. Liberalization
D. All c of c the c above: c B. c Abandonment
4. A(n) is cone cwherein ceconomic closs cwould cbe csuffered cfrom
can cadverse chappening cto cthe csubject:
A. Conditional cContract
B. Personal cContract
C. Economic cContract
D. Insurable c Interest: c D. c Insurable c Interest
5. States cthat cif cthe cinsurer cadopts ca crevision cwhich cwould cbroaden
ccoverage cwithout cadditional cpremium cwithin csome cperiod cof ctime cprior
cto cthe cpolicy cperiod cor cduring cthe cpolicy cperiod, cthe cinsured creceives
1 c/
,cthe cbenefit cof csuch cbroadened ccoverage.
A. Cancellation cClause
B. Policy cPeriod
C. Pro cRata
D. Liberalization: cD.
cLiberalization cThe ctime cframe
cis ctypically c60 cdays.
2 c/
,6. The states cthat cwhen cthere cis can cunbroken cconnection cbe-
ctween c an c occurrence c and c damage c that c grows c out c of c the c occurrence,
c then c the cresultant cdamage cis call ca cpart cof cthe coccurrence.
A. Doctrine cof cProximate cCause
B. Doctrine cof cPerils c& cHazards
C. Insurance cPolicy cHandbook
D. Doctrine cof cProperty cInsurance: cA. cDoctrine cof cProximate cCause
For cexample, cif ca cproperty cinsurance cpolicy ccovers cthe cperil cof cfire cbut
cfurther cdamage cis ccaused cby csmoke, cwater cused cto cextinguish, cand
cthe cprocess cof cmoving cproperty c away c - c fire c is c considered c to c be c the
c *proximate c cause* c of c all c of c the c damage.
7. The cLoss cSettlement cValuation cthat csubtracts can callowance cfor
cdeprecia- ction cis cdefined cas?
A. Actual c Cash cValue
B. Replacement cCost
C. "Old cfor cNew"
D. None c of c the c Above: c A. cActual c Cash c Value
8. A c policy c condition, c either c based c on c information c in c the c insured's
c application cor cinserted cby cthe cinsurer, cis cdefined cas:
A. Warranty
B. Misrepresentation
C. Concealment
D. None c of c the c Above: c A. cWarranty
9. The cfollowing care cbasic ccharacteristics cof ca cproperty cor cliability
cinsurance ccontract, cexcept:
A. Personal cContract
B. Conditional cContract
C. Loss cof cSettlement cContract
D. Contract c of c Adhesion: c C. c Loss c of c Settlement c Contract
10. The cInsurer's cresponsibility cto cpay cfor ca cproperty closs cmay cbe
cconditioned con cthe cinsured chaving cused creasonable cmeans cto cavoid cthe
closs, cto cprotect cthe cproperty cagainst cfurther closs, cand cto cgive cthe
cinsurer cproof cof cthe closs cis cdefined cas?
A. Conditional cContract
B. Adhesion cContract
C. Indemnity cContract
D. All c of c the c Above: c A. c Conditional
c Contract c"may cbe cconditioned"
3 c/
, 11. Which cof cthe cfollowing cis cnot cone cof cthe c"Thresholds" cin cthe c"No-
Fault" claw?
A. Death cof cthe cInsured
B. Temporary cInjury cof cthe cInsured
C. A cpermanent closs cof ca cbodily cfunction
D. Permanent cscarring con cthe cface cof cthe cinsured: cB. cTemporary cInjury
cof cthe cInsured
Also cincluded: cpermanent cinjury cother cthan cscarring cand cdisfigurement
12. Under c Mechanical c Breakdown c Coverage, c new c cars c are c eligible c for
c service cup cto:
A. 36 cMonths/36,000 cMiles
B. 24 cMonths/36,000 cMiles
C. 12,000 cMonths/12,000 cMiles
D. 12 c Months/36,000 c Miles: c A. c 36 c Months/36,000
c Miles cUsed cvehicles: c12 cMonths/12,000 cMiles
13. If cfinancial cresponsibility cdoesn't cexist cat cthe ctime cof can caccident,
cwhich cof cthe cfollowing cthings cmust chappen cto cavoid cpenalties?
A. The clegally cvalid cclaims cof cothers cmust cbe csatisfied c(up cto c10/20/10)
B. The cowner cand coperator cmust cprovide ccertification cof cfuture
cresponsibility cfor cfuture caccidents
C. Both cA c& cB
D. None cof cthe cAbove: cC. cBoth cA c& cB
14. As cto crequired cproof cfor cfuture caccidents cby cpurchase cof cauto
cliability cin- csurance, c the c insurer c must c make c a c filing c (Form c SR-22)
c certifying c that c coverage cis cin ceffect, cand cthis ccertification cmust cremain
con cfile cfor years:
A. 1
B. 3
C. 4
D. c2: cB. c3
15. The cBusiness cAutomobile cPolicy cincludes call cof cthe cfollowing
ccoverage cforms cexcept:
A. The cGarage cCoverage cForm
B. The cTrailer c Interchange c Coverage c Form
C. The cTruckers c Coverage c Form
D. The c Business c Auto c Coverage c Form: c B. cThe c Trailer c Interchange
c Coverage cForm
16. Personal cInjury cProtection, cor cPIP, chas ca per cperson,
4 c/