Texas all lines adjuster exam A
k k k k kk
Allkofkthekfollowingkarekcriteriakforkankaccidentktokhavekoccurredk"inkthekcoursekof"kthekemploymentkunderk
akworkers'kcompensationkpolicy,kEXCEPT:k-
kWhilekperformingkaktaskkthatkakfellowkworkerkrequested,kthatkwaskunusualktokthekemployee'skjobkdescripti
on,kbutkoccurredkonkthekemployer'skpremiseskduringkworkingkhours.
WhichkofkthekfollowingkstatementskiskNOTkTRUEkregardingkthekimpliedkwarrantieskofkankOceankMarinekpoli
cy?k-kThekimpliedkwarrantieskarekattachedktokthekpolicykaskankendorsement..
ParmeliakiskcoveredkunderktwokseparatekstandardizedkPersonalkAutomobilekpolicies,kwithkPartkCklimitskund
erkbothkpoliciesksetkatk$200,000.kParmeliakiskinvolvedkinkankaccidentkwithkankuninsuredkmotoristkandksheks
ustainskbodilykinjurykdamageskfork$262,320.kHowkmuchkwillkParmeliakreceivekwhenksheksubmitskakclaimkfor
kthesekdamagesk-k$200,000
WhichkofkthekfollowingkendorsementskmustkbekattachedktokakstandardkBusinessownerskpolicykforkcoverage
ktokapplyktokakbusinesseskfreezerkthatkwaskdamagedkbykthekinterruptionkofkakpowerksourcek-
kUtilitykServicesk-kDirectkDamagekendorsement.
Afterkcompletingkankinspectionkofkankinsured'skpressurekequipmentkandkfireksuppressionksystems,kthekinsp
ectorkdetermineskthatkthekpressurekequipmentkneedsktokbekrepairedkandktheksuppressionksystemskhavekno
tkbeenkcleanedkandkinspectedkinkthektimekframekrequiredkbykthekpolicy.kThekinsurerkwill:k-
kSuspendkcoveragekimmediatelykbykredktaggingkthekitemskuntilktheykarekrepaired,kcleanedkandkpasskreinspe
ction
TokbekeligiblekforkcoveragekunderkakstandardizedkDwellingkpolicy,kthekinsuredkmustknotkallowkmorekthank__
_____kboardersktoklivekonkthekpremises.k-k5
Allkofkthekfollowingkarek"PerilskofkthekSea"kunderkankOceankMarinekpolicy,kEXCEPT:k-kPirates
Thekamountkofkinsurancekcountersigned,kissued,korksoldkbykankagentkorkproducerktokcoverkimmediatekfamil
ykmembers,kankemployer,korkemployeeskiskknownkas:k-kControlledkbusiness
,WhichkofkthekfollowingkstandardizedkDwellingkinsurancekformskprovideskcoveragekforklosskofkrentalkincome
k-kThekDP-1,kDP-2,kandkDP-3kforms
Thek"PartkBk-
kMedicalkPayments"kcoveragekofkakpersonalkautomobilekpolicykcoverskinjurieskforkallkofkthekfollowing,kEXCE
PT:k-kAkpassengerkwhokiskinjuredkinkanotherkvehiclekthatkiskstruckkbykthekinsured'skvehiclekinkankaccident
WhichkofkthekfollowingkarekthekTexaskWorkers'kCompensationkbenefitskthatkarekincreasedkbykakcost-of-
livingkadjustmentk(COLAs)k-kLifetimekIncomekBenefitsk(LIBs)konly
Hannahkmustktakektimekawaykfromkworkktokhelpkassistkinkthekinvestigationkofkakclaimkthatkwaskmadekagains
tkherkBOPkpolicy.kThekpolicykwillkpaykforkHannah'skactualklosskofkearningskupkto:k-k$250kperkday.
SurpluskLineskcompanieskinkTexaskhavek_____ktokacknowledgekthekreceiptkofkakclaim.k-k30kdays.
Allkofkthekfollowingkarekcharacteristicskofkakprincipalkthatkaksuretykwillkscrutinizekduringkthekunderwritingkpr
ocess,kEXCEPT:k-kConsideration.
UnderkSectionkIIkofkakHomeownerskpolicy,kakcemeterykplotkownedkbykthekinsuredkiskconsideredktokbe:k-
kAnkinsuredklocation.
WhichkofkthekfollowingkiskNOTkonekofkthekfourkmajorkcoverageskofkankOceankMarinekpolicy?k-
kSeaworthiness.
Akshipkhasksufferedkdamagekandksunk.kWhichkofkthekfollowingkwouldkrespondktokcoverktheklosskofkthekship?
k-kHullkInsurance.
Askakfiduciarykagent,kankadjusterkhaskthekpowerktokbindkthekinsurer.kWhichkofkthekfollowingkstatementskiskF
ALSEkregardingkthiskpower?k-kOnlykankadjuster'skwrittenkstatementskcanklegallykbindkankinsurer.
ThekstandardizedkDwellingkformskconsiderkallkeruptionskofkakvolcanokwithinkak__________kperiodktokbekaksi
nglek"occurrence".k-k72-hour
,Whosekresponsibilitykiskitktokcompletekak"proofkofkloss"?k-kThekclaimant.
WhichkofkthekfollowingkwouldkNOTkbekdeterminedkbykakcourtkwhenkankinsurerkhaskfiledkakdeclaratorykjudg
mentkaction?k-
kThektypekandkamountkofkdamageskthatkwillkbekpaidktokakplaintiffkforkthekclaimkthatkiskbeingkdisputed.
WhichkofkthekfollowingkstatementskiskTRUEkregardingkthekHomeownersk"additionalkcoverage"kknownkaskLa
ndlord'skFurnishings?k-
kThekcoveragekisknotkadditionalkinsurancekandkdoesknotkincreasektheklimitskofkthekpolicy.
WhichkofkthekfollowingkwouldkbekcoveredkunderkthekJoneskAct?k-kCrewkmemberskofkakship.
AllkofkthekfollowingkstatementskarektruekregardingkakPersonalkLiabilitykSupplement,kEXCEPT:k-
kThekpolicykwillkcoverkwatercraftkliability.
WhichkofkthekfollowingkstatementskiskTRUEkregardingkCommercialkPropertykcoverage?k-
kCommercialkpropertykcoveragekcankbekwrittenkaskbothkakmonolinekpolicykandkaskpartkofkakpackagekpolicy.
Whatktypekofkinsurancekiskusuallykprovidedkorksubsidizedkbykthekstatekorkfederalkgovernmentkbecausekitkisk
notkordinarilykavailablekfromkprivatekinsurers?k-kResidualkmarketkinsurance.
Thekoptionalkcoveragekfork"EmployeekDishonesty"kunderkakstandardkBusinessownerskpolicykprovideskak"dis
coverykperiod"kforkthekinsuredktokdiscoverkthekdishonestkactkandkhavekcoveragekstillkapply.kWhichkofkthekfol
lowingkstatementskbestkdescribeskthek"discoverykperiod"kforkthiskoptionalkcoverage?k-
kThek"discoverykperiod"kiskonekyearkfromkthekendkofkthekpolicykperiod.
WhichkofkthekfollowingkwouldkbekconsideredkankUnfairkClaimkSettlementkPractice?k-
kFailingktokdenykcoveragekofkakclaimkwithinkakreasonablekamountkofktimekafterkconcludingkthekinvestigation
WhichkofkthekfollowingkiskTRUEkregardingkthekDP-
2kBroadkFormkcoveragekfork"artificiallykgeneratedkelectricalkcurrent"?k-
kAkfirekmustkbekthekresultkofkthekartificiallykgeneratedkelectricalkcurrentkforkcoveragektokapply..
, ThekCommercialkBuildingkandkPersonalkPropertykcoveragekformkprovideskfivekextensionskofkcoverage,kbutk
onlykif:k-
kAnk80%korkhigherkcoinsurancekpercentagekiskshownkonkthekDeclarationskpage,kandkthekpropertykamountko
fkcoverage,kbasedkonkthatkpercentage,kiskpurchased.
Allkofkthekfollowingkwouldkbekconsideredk"uninsuredkmotorists",kEXCEPT:k-
kAkmotoristkdrivingkwithkcoveragekupktokthekrequiredkstatekfinancialkresponsibilityklimitskforkliability,kbutkno
tkhighkenoughktokpaykthekclaimskforkankat-faultkaccident.
RegulationkofkthekinsurancekindustrykinkthekUnitedkStateskiskprimarilykleftkto:k-kStatekgovernments.
WhichkofkthekfollowingkcoverageskdoeskNOTkneedktokbekaddedktokakGaragekCoveragekformkbykendorsemen
tkforkcoveragektokapply?k-kCollision.
ChazktakeskhiskgirlfriendktokankexpensivekrestaurantkforkValentine'skDay.kItkiskraining,ksokhekdecidesktokhavek
thekvaletkparkkhiskcar,ksavingkhiskgirlfriendkfromkgettingkwet.kThekvaletkiskdrivingkthekcarkintokthekrestaurant'
skparkingkgarage,kwhenkhekclipsktheksidekofkthekgaragekentrancekwithkthekfrontkfenderkofkChaz'skcar.kThekgar
agekwallkneedsktokbekrepairedkaskwellkaskthekfenderkandkheadlightkofkChaz'skcar.kHowkwouldkPartkDkofkChaz'
skPersonalkAutomobilekrespondktokthiskloss?k-
kItkwouldkcoverktheklossktokChaz'skcarkbecausekitkiskthekinsuredkautomobile,kbutkwouldknotkcoverkthekdamag
ektokthekgarage..
WhichkofkthekfollowingkstatementskiskTRUEkregardingkthekcoveragekextensionkofkthekstandardkBusinessown
erskpolicykfork"BusinesskPersonalkPropertykTemporarilykinkPortablekStoragekUnits"?k-
kCoveragekwillknotkapplykifkthekstoragekunitkhaskbeenkonkthekinsuredkpremiseskforklongerkthank90kdays,keve
nkifkthekbusinesskpersonalkpropertykhaskonlykbeenkstoredktherekforklesskthank90kdays.
WhichkofkthekfollowingkwouldkbekconsideredkakPartkDk-
kOtherkThankCollisionkclaimkunderkakPersonalkAutomobilekclaim?k-
kAkloadkofkbrickskfallingkfromkankapartmentkbuildingkontokthekcar.
ThekSectionkIkAdditionalkCoveragekofkthekstandardkBusinessownerskpolicykprovideskcoveragekfork"DebriskRe
moval".kWhichkofkthekfollowingkstatementskbestkdescribesktheklimitkforkthiskcoverage?k-
kThektotalklimitkmaykbekupktok25%kofkthekpolicyklimitkforktheklosskpayablekwithkthekdeductiblekincluded,kplus
kupktokankadditionalk$25,000kifkthekpolicyklimitskarekexhausted
k k k k kk
Allkofkthekfollowingkarekcriteriakforkankaccidentktokhavekoccurredk"inkthekcoursekof"kthekemploymentkunderk
akworkers'kcompensationkpolicy,kEXCEPT:k-
kWhilekperformingkaktaskkthatkakfellowkworkerkrequested,kthatkwaskunusualktokthekemployee'skjobkdescripti
on,kbutkoccurredkonkthekemployer'skpremiseskduringkworkingkhours.
WhichkofkthekfollowingkstatementskiskNOTkTRUEkregardingkthekimpliedkwarrantieskofkankOceankMarinekpoli
cy?k-kThekimpliedkwarrantieskarekattachedktokthekpolicykaskankendorsement..
ParmeliakiskcoveredkunderktwokseparatekstandardizedkPersonalkAutomobilekpolicies,kwithkPartkCklimitskund
erkbothkpoliciesksetkatk$200,000.kParmeliakiskinvolvedkinkankaccidentkwithkankuninsuredkmotoristkandksheks
ustainskbodilykinjurykdamageskfork$262,320.kHowkmuchkwillkParmeliakreceivekwhenksheksubmitskakclaimkfor
kthesekdamagesk-k$200,000
WhichkofkthekfollowingkendorsementskmustkbekattachedktokakstandardkBusinessownerskpolicykforkcoverage
ktokapplyktokakbusinesseskfreezerkthatkwaskdamagedkbykthekinterruptionkofkakpowerksourcek-
kUtilitykServicesk-kDirectkDamagekendorsement.
Afterkcompletingkankinspectionkofkankinsured'skpressurekequipmentkandkfireksuppressionksystems,kthekinsp
ectorkdetermineskthatkthekpressurekequipmentkneedsktokbekrepairedkandktheksuppressionksystemskhavekno
tkbeenkcleanedkandkinspectedkinkthektimekframekrequiredkbykthekpolicy.kThekinsurerkwill:k-
kSuspendkcoveragekimmediatelykbykredktaggingkthekitemskuntilktheykarekrepaired,kcleanedkandkpasskreinspe
ction
TokbekeligiblekforkcoveragekunderkakstandardizedkDwellingkpolicy,kthekinsuredkmustknotkallowkmorekthank__
_____kboardersktoklivekonkthekpremises.k-k5
Allkofkthekfollowingkarek"PerilskofkthekSea"kunderkankOceankMarinekpolicy,kEXCEPT:k-kPirates
Thekamountkofkinsurancekcountersigned,kissued,korksoldkbykankagentkorkproducerktokcoverkimmediatekfamil
ykmembers,kankemployer,korkemployeeskiskknownkas:k-kControlledkbusiness
,WhichkofkthekfollowingkstandardizedkDwellingkinsurancekformskprovideskcoveragekforklosskofkrentalkincome
k-kThekDP-1,kDP-2,kandkDP-3kforms
Thek"PartkBk-
kMedicalkPayments"kcoveragekofkakpersonalkautomobilekpolicykcoverskinjurieskforkallkofkthekfollowing,kEXCE
PT:k-kAkpassengerkwhokiskinjuredkinkanotherkvehiclekthatkiskstruckkbykthekinsured'skvehiclekinkankaccident
WhichkofkthekfollowingkarekthekTexaskWorkers'kCompensationkbenefitskthatkarekincreasedkbykakcost-of-
livingkadjustmentk(COLAs)k-kLifetimekIncomekBenefitsk(LIBs)konly
Hannahkmustktakektimekawaykfromkworkktokhelpkassistkinkthekinvestigationkofkakclaimkthatkwaskmadekagains
tkherkBOPkpolicy.kThekpolicykwillkpaykforkHannah'skactualklosskofkearningskupkto:k-k$250kperkday.
SurpluskLineskcompanieskinkTexaskhavek_____ktokacknowledgekthekreceiptkofkakclaim.k-k30kdays.
Allkofkthekfollowingkarekcharacteristicskofkakprincipalkthatkaksuretykwillkscrutinizekduringkthekunderwritingkpr
ocess,kEXCEPT:k-kConsideration.
UnderkSectionkIIkofkakHomeownerskpolicy,kakcemeterykplotkownedkbykthekinsuredkiskconsideredktokbe:k-
kAnkinsuredklocation.
WhichkofkthekfollowingkiskNOTkonekofkthekfourkmajorkcoverageskofkankOceankMarinekpolicy?k-
kSeaworthiness.
Akshipkhasksufferedkdamagekandksunk.kWhichkofkthekfollowingkwouldkrespondktokcoverktheklosskofkthekship?
k-kHullkInsurance.
Askakfiduciarykagent,kankadjusterkhaskthekpowerktokbindkthekinsurer.kWhichkofkthekfollowingkstatementskiskF
ALSEkregardingkthiskpower?k-kOnlykankadjuster'skwrittenkstatementskcanklegallykbindkankinsurer.
ThekstandardizedkDwellingkformskconsiderkallkeruptionskofkakvolcanokwithinkak__________kperiodktokbekaksi
nglek"occurrence".k-k72-hour
,Whosekresponsibilitykiskitktokcompletekak"proofkofkloss"?k-kThekclaimant.
WhichkofkthekfollowingkwouldkNOTkbekdeterminedkbykakcourtkwhenkankinsurerkhaskfiledkakdeclaratorykjudg
mentkaction?k-
kThektypekandkamountkofkdamageskthatkwillkbekpaidktokakplaintiffkforkthekclaimkthatkiskbeingkdisputed.
WhichkofkthekfollowingkstatementskiskTRUEkregardingkthekHomeownersk"additionalkcoverage"kknownkaskLa
ndlord'skFurnishings?k-
kThekcoveragekisknotkadditionalkinsurancekandkdoesknotkincreasektheklimitskofkthekpolicy.
WhichkofkthekfollowingkwouldkbekcoveredkunderkthekJoneskAct?k-kCrewkmemberskofkakship.
AllkofkthekfollowingkstatementskarektruekregardingkakPersonalkLiabilitykSupplement,kEXCEPT:k-
kThekpolicykwillkcoverkwatercraftkliability.
WhichkofkthekfollowingkstatementskiskTRUEkregardingkCommercialkPropertykcoverage?k-
kCommercialkpropertykcoveragekcankbekwrittenkaskbothkakmonolinekpolicykandkaskpartkofkakpackagekpolicy.
Whatktypekofkinsurancekiskusuallykprovidedkorksubsidizedkbykthekstatekorkfederalkgovernmentkbecausekitkisk
notkordinarilykavailablekfromkprivatekinsurers?k-kResidualkmarketkinsurance.
Thekoptionalkcoveragekfork"EmployeekDishonesty"kunderkakstandardkBusinessownerskpolicykprovideskak"dis
coverykperiod"kforkthekinsuredktokdiscoverkthekdishonestkactkandkhavekcoveragekstillkapply.kWhichkofkthekfol
lowingkstatementskbestkdescribeskthek"discoverykperiod"kforkthiskoptionalkcoverage?k-
kThek"discoverykperiod"kiskonekyearkfromkthekendkofkthekpolicykperiod.
WhichkofkthekfollowingkwouldkbekconsideredkankUnfairkClaimkSettlementkPractice?k-
kFailingktokdenykcoveragekofkakclaimkwithinkakreasonablekamountkofktimekafterkconcludingkthekinvestigation
WhichkofkthekfollowingkiskTRUEkregardingkthekDP-
2kBroadkFormkcoveragekfork"artificiallykgeneratedkelectricalkcurrent"?k-
kAkfirekmustkbekthekresultkofkthekartificiallykgeneratedkelectricalkcurrentkforkcoveragektokapply..
, ThekCommercialkBuildingkandkPersonalkPropertykcoveragekformkprovideskfivekextensionskofkcoverage,kbutk
onlykif:k-
kAnk80%korkhigherkcoinsurancekpercentagekiskshownkonkthekDeclarationskpage,kandkthekpropertykamountko
fkcoverage,kbasedkonkthatkpercentage,kiskpurchased.
Allkofkthekfollowingkwouldkbekconsideredk"uninsuredkmotorists",kEXCEPT:k-
kAkmotoristkdrivingkwithkcoveragekupktokthekrequiredkstatekfinancialkresponsibilityklimitskforkliability,kbutkno
tkhighkenoughktokpaykthekclaimskforkankat-faultkaccident.
RegulationkofkthekinsurancekindustrykinkthekUnitedkStateskiskprimarilykleftkto:k-kStatekgovernments.
WhichkofkthekfollowingkcoverageskdoeskNOTkneedktokbekaddedktokakGaragekCoveragekformkbykendorsemen
tkforkcoveragektokapply?k-kCollision.
ChazktakeskhiskgirlfriendktokankexpensivekrestaurantkforkValentine'skDay.kItkiskraining,ksokhekdecidesktokhavek
thekvaletkparkkhiskcar,ksavingkhiskgirlfriendkfromkgettingkwet.kThekvaletkiskdrivingkthekcarkintokthekrestaurant'
skparkingkgarage,kwhenkhekclipsktheksidekofkthekgaragekentrancekwithkthekfrontkfenderkofkChaz'skcar.kThekgar
agekwallkneedsktokbekrepairedkaskwellkaskthekfenderkandkheadlightkofkChaz'skcar.kHowkwouldkPartkDkofkChaz'
skPersonalkAutomobilekrespondktokthiskloss?k-
kItkwouldkcoverktheklossktokChaz'skcarkbecausekitkiskthekinsuredkautomobile,kbutkwouldknotkcoverkthekdamag
ektokthekgarage..
WhichkofkthekfollowingkstatementskiskTRUEkregardingkthekcoveragekextensionkofkthekstandardkBusinessown
erskpolicykfork"BusinesskPersonalkPropertykTemporarilykinkPortablekStoragekUnits"?k-
kCoveragekwillknotkapplykifkthekstoragekunitkhaskbeenkonkthekinsuredkpremiseskforklongerkthank90kdays,keve
nkifkthekbusinesskpersonalkpropertykhaskonlykbeenkstoredktherekforklesskthank90kdays.
WhichkofkthekfollowingkwouldkbekconsideredkakPartkDk-
kOtherkThankCollisionkclaimkunderkakPersonalkAutomobilekclaim?k-
kAkloadkofkbrickskfallingkfromkankapartmentkbuildingkontokthekcar.
ThekSectionkIkAdditionalkCoveragekofkthekstandardkBusinessownerskpolicykprovideskcoveragekfork"DebriskRe
moval".kWhichkofkthekfollowingkstatementskbestkdescribesktheklimitkforkthiskcoverage?k-
kThektotalklimitkmaykbekupktok25%kofkthekpolicyklimitkforktheklosskpayablekwithkthekdeductiblekincluded,kplus
kupktokankadditionalk$25,000kifkthekpolicyklimitskarekexhausted
