ADJUSTER PRO INSURANCE ADJUSTER TEST
Co-insurance penalty - ANSWERS-If property is underinsured, the insurer will only
cover a percentage of partial losses
If multiple partial losses occur, the low premiums are not enough for the insurer
to cover all the damages
Calculating co insurance penalty - ANSWERS-Had / should X the loss
Negligence - ANSWERS-Failure to use a reasonable degree of care in a particular
situation- includes both wrongful acts and acts of omission
4 elements of negligence - ANSWERS-1. Defendant had a legal duty to act or not
act in a prescribed manner
2. The defendant failed to act accordingly
3. The plaintiff suffered actual loss or injury due to the defendants action or
inaction
4. The loss or injury to the plaintiff was a direct result of the breach of duty of the
defendant
,Degrees of Liability - ANSWERS-Full liability- the insured party is 100% at fault for
damages to a third party
Partial liability - the insured party is only partially at fault, or shares fault, with a
third party. The third party had some parts in his own damages
No liability - the insured party has 0% or no liability
Assumption of risk - ANSWERS-Claimant knew he had the potential to experience
damage
Contributory Negligence - ANSWERS-A legal defense that may be raised when the
defendant feels that the conduct of the plaintiff somehow contributed to any
injuries or damages that were sustained by the plaintiff.
Comparative Negligence - ANSWERS-A theory in tort law under which the liability
for injuries resulting from negligent acts is shared by all parties who were
negligent (including the injured party), on the basis of each person's
proportionate negligence.
Dangerous Instrumentality Doctrine - ANSWERS-States that anyone involved in
the use of inherently dangerous products or machines is held 100% liable for their
own damages.
, strict (absolute) liability - ANSWERS-liability is imposed regardless of negligence or
fault
Policy limit - ANSWERS-The maximum amount the insurance company will pay for
covered losses
Single limits - ANSWERS-Establishes maximum payout for liability damages caused
by the policy holder
Split limits - ANSWERS-Establishes 3 different limits on how much the policy will
pay out
1. Maximum payout for bodily injury for each person injured
2. Maximum payout for multiple persons
3. Maximum payout for property damage
Aggregate limits - ANSWERS-2 limits
1. Max payout for damage or injury per occurrence
2. Maximum payout amount the policy will pay per term
Res Ipsa - ANSWERS-Means "the thing speaks for itself" and is only applied n rare
instances when no one knows how exactly the accident happened
Statutory law - ANSWERS-Based on written laws
Co-insurance penalty - ANSWERS-If property is underinsured, the insurer will only
cover a percentage of partial losses
If multiple partial losses occur, the low premiums are not enough for the insurer
to cover all the damages
Calculating co insurance penalty - ANSWERS-Had / should X the loss
Negligence - ANSWERS-Failure to use a reasonable degree of care in a particular
situation- includes both wrongful acts and acts of omission
4 elements of negligence - ANSWERS-1. Defendant had a legal duty to act or not
act in a prescribed manner
2. The defendant failed to act accordingly
3. The plaintiff suffered actual loss or injury due to the defendants action or
inaction
4. The loss or injury to the plaintiff was a direct result of the breach of duty of the
defendant
,Degrees of Liability - ANSWERS-Full liability- the insured party is 100% at fault for
damages to a third party
Partial liability - the insured party is only partially at fault, or shares fault, with a
third party. The third party had some parts in his own damages
No liability - the insured party has 0% or no liability
Assumption of risk - ANSWERS-Claimant knew he had the potential to experience
damage
Contributory Negligence - ANSWERS-A legal defense that may be raised when the
defendant feels that the conduct of the plaintiff somehow contributed to any
injuries or damages that were sustained by the plaintiff.
Comparative Negligence - ANSWERS-A theory in tort law under which the liability
for injuries resulting from negligent acts is shared by all parties who were
negligent (including the injured party), on the basis of each person's
proportionate negligence.
Dangerous Instrumentality Doctrine - ANSWERS-States that anyone involved in
the use of inherently dangerous products or machines is held 100% liable for their
own damages.
, strict (absolute) liability - ANSWERS-liability is imposed regardless of negligence or
fault
Policy limit - ANSWERS-The maximum amount the insurance company will pay for
covered losses
Single limits - ANSWERS-Establishes maximum payout for liability damages caused
by the policy holder
Split limits - ANSWERS-Establishes 3 different limits on how much the policy will
pay out
1. Maximum payout for bodily injury for each person injured
2. Maximum payout for multiple persons
3. Maximum payout for property damage
Aggregate limits - ANSWERS-2 limits
1. Max payout for damage or injury per occurrence
2. Maximum payout amount the policy will pay per term
Res Ipsa - ANSWERS-Means "the thing speaks for itself" and is only applied n rare
instances when no one knows how exactly the accident happened
Statutory law - ANSWERS-Based on written laws
