NEW YORK INDEPENDENT GENERAL
ADJUSTER EXAM SIMULATOR - SERIES 17-70
QUESTIONS WITH COMPLETE SOLUTIONS
Which |of |the |following |would |NOT |be |found |in |the |conditions |section |of |a |homeowners |
insurance |policy?
Subrogation |rights |
Duties |of |the |insured |
Insurance |premium |
Mortgagee |clause |- |CORRECT |ANSWER✔✔-The |insurance |premium |is |not |shown |in |the |
conditions |section |of |the |homeowner |policy.
Which |of |the |following |is |true |regarding |dealers |physical |damage |coverage |under |a |garage |
policy?
It |is |a |blanket |limit |for |covered |autos. |
It |extends |coverage |to |customers' |autos. |
It |is |an |annual |maximum |limit |for |comprehensive |and |collision |losses. |
It |is |a |maximum |limit |per |auto. |- |CORRECT |ANSWER✔✔-It |is |a |blanket |limit |for |covered |autos.
EXPLANATION:
The |dealer's |physical |damage |limit |would |be |done |on |a |blanket |limit |basis. |This |would |apply |
to |comprehensive |and |collision |losses |to |the |auto |inventory |of |the |dealer. |This |is |done |
because |it |is |simply |not |practical |to |schedule |each |dealer |owned |vehicle |for |physical |damage. |
This |is |generally |accomplished |by |the |use |of |a |monthly |reporting |form.
,Which |of |the |following |would |not |be |considered |an |occupational |disease?
Black |lung. |
Mesothelioma. |
Pulmonary |fibrosis. |
Bending |over |to |pick |up |a |box |and |hurting |your |back. |- |CORRECT |ANSWER✔✔-Bending |over |
to |pick |up |a |box |and |hurting |your |back. |is |correct.
EXPLANATION:
Bending |over |to |pick |up |a |box |and |causing |an |injury |is |a |work |related |injury |and |not |a |disease.
Which |of |the |following |is |correct |in |order |for |the |additional |coverage |of |"collapse" |to |be |
available |under |special |BOP?
The |collapse |must |be |such |that |the |building |can |not |be |used |as |intended |
The |remaining |part |of |the |structure |standing |must |be |demolished |
The |remaining |part |of |the |structure |must |be |judged |unsound |to |rebuild |on |
The |building |must |be |leaning, |settling |or |in |danger |of |collapsing |- |CORRECT |ANSWER✔✔-The |
correct |answer |is: |The |collapse |must |be |such |that |the |building |can |not |be |used |as |intended.
EXPLANATION:
The |definition |of |collapse |in |the |policy |is |the |"abrupt |falling |down |or |caving |in |of |the |structure
|or |part |of |the |structure" |and |it |must |render |the |building |as |unusable |as |intended.
Which |of |the |following |would |not |be |eligible |for |coverage |under |a |livestock |floater?
Poultry |
Cattle |
Sheep |
,Swine |- |CORRECT |ANSWER✔✔-EXPLANATION:
Poultry |is |not |eligible |property |under |the |livestock |floater.
The |insured |owns |a |motorhome |that |is |not |covered |by |the |insured's |Personal |Auto |policy. |This
|vehicle |can |be |added |to |the |policy |by |using |which |of |the |following |endorsements?
|
Miscellaneous |Type |Vehicle |endorsement |
Special |Type |Vehicle |endorsement |
Recreational |Vehicle |endorsement |
Motorhome |endorsement |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |Miscellaneous |Type |
Vehicle |endorsement.
EXPLANATION:
The |Miscellaneous |Type |Vehicle |endorsement |can |be |used |to |cover |motorhomes, |motorcycles,
|etc.
Insurers |must |maintain |a |complaint |record |for |_________ |after |all |elements |of |the |complaint |
are |resolved |and |the |file |is |closed.
five |years |
three |calendar |years |
one |year |
six |calendar |years |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |six |calendar |years.
EXPLANATION:
Insurers |are |required |to |maintain |complaint |records |for |six |calendar |years.
, A |BOP |policy |has |a |$500,000 |occurrence |limit |for |liability |and |a |$1,000,000 |aggregate |limit. |If |
claims |for |$600,000 |and |$400,000 |have |been |filed |in |two |separate |incidents, |how |much |
coverage |remains, |if |any, |for |any |future |claims |submitted |during |the |policy |term?
Answer |Choices: |
$500,000 |
-0- |
$100,000 |
$1,000,000 |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |$100,000.
EXPLANATION:
The |most |the |policy |will |pay |for |any |one |single |occurrence |is |$500,000. |So |that |amount |would
|be |payable |for |the |first |loss. |Once |paid |that |amount |must |be |subtracted |from |the |Aggregate |
limit |(the |most |available |for |all |claims |in |the |policy |year) |leaving |$500,000 |remaining |in |the |
aggregate. |The |second |claim |is |within |the |occurrence |limit |and |since |there |is |enough |left |in |
the |aggregate, |the |entire |$400,000 |is |payable. |After |subtracting |the |$400,000 |loss |from |the |
remaining |aggregate, |$100,000 |is |left |to |pay |any |and |all |future |claims |for |the |remainder |of |the
|policy |term.
All |of |the |following |are |uniform |mandatory |policy |provisions, |except |the:
entire |contract |provision. |
grace |period |provision. |
reinstatement |provision. |
cancellation |provision. |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |cancellation |provision..
EXPLANATION:
ADJUSTER EXAM SIMULATOR - SERIES 17-70
QUESTIONS WITH COMPLETE SOLUTIONS
Which |of |the |following |would |NOT |be |found |in |the |conditions |section |of |a |homeowners |
insurance |policy?
Subrogation |rights |
Duties |of |the |insured |
Insurance |premium |
Mortgagee |clause |- |CORRECT |ANSWER✔✔-The |insurance |premium |is |not |shown |in |the |
conditions |section |of |the |homeowner |policy.
Which |of |the |following |is |true |regarding |dealers |physical |damage |coverage |under |a |garage |
policy?
It |is |a |blanket |limit |for |covered |autos. |
It |extends |coverage |to |customers' |autos. |
It |is |an |annual |maximum |limit |for |comprehensive |and |collision |losses. |
It |is |a |maximum |limit |per |auto. |- |CORRECT |ANSWER✔✔-It |is |a |blanket |limit |for |covered |autos.
EXPLANATION:
The |dealer's |physical |damage |limit |would |be |done |on |a |blanket |limit |basis. |This |would |apply |
to |comprehensive |and |collision |losses |to |the |auto |inventory |of |the |dealer. |This |is |done |
because |it |is |simply |not |practical |to |schedule |each |dealer |owned |vehicle |for |physical |damage. |
This |is |generally |accomplished |by |the |use |of |a |monthly |reporting |form.
,Which |of |the |following |would |not |be |considered |an |occupational |disease?
Black |lung. |
Mesothelioma. |
Pulmonary |fibrosis. |
Bending |over |to |pick |up |a |box |and |hurting |your |back. |- |CORRECT |ANSWER✔✔-Bending |over |
to |pick |up |a |box |and |hurting |your |back. |is |correct.
EXPLANATION:
Bending |over |to |pick |up |a |box |and |causing |an |injury |is |a |work |related |injury |and |not |a |disease.
Which |of |the |following |is |correct |in |order |for |the |additional |coverage |of |"collapse" |to |be |
available |under |special |BOP?
The |collapse |must |be |such |that |the |building |can |not |be |used |as |intended |
The |remaining |part |of |the |structure |standing |must |be |demolished |
The |remaining |part |of |the |structure |must |be |judged |unsound |to |rebuild |on |
The |building |must |be |leaning, |settling |or |in |danger |of |collapsing |- |CORRECT |ANSWER✔✔-The |
correct |answer |is: |The |collapse |must |be |such |that |the |building |can |not |be |used |as |intended.
EXPLANATION:
The |definition |of |collapse |in |the |policy |is |the |"abrupt |falling |down |or |caving |in |of |the |structure
|or |part |of |the |structure" |and |it |must |render |the |building |as |unusable |as |intended.
Which |of |the |following |would |not |be |eligible |for |coverage |under |a |livestock |floater?
Poultry |
Cattle |
Sheep |
,Swine |- |CORRECT |ANSWER✔✔-EXPLANATION:
Poultry |is |not |eligible |property |under |the |livestock |floater.
The |insured |owns |a |motorhome |that |is |not |covered |by |the |insured's |Personal |Auto |policy. |This
|vehicle |can |be |added |to |the |policy |by |using |which |of |the |following |endorsements?
|
Miscellaneous |Type |Vehicle |endorsement |
Special |Type |Vehicle |endorsement |
Recreational |Vehicle |endorsement |
Motorhome |endorsement |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |Miscellaneous |Type |
Vehicle |endorsement.
EXPLANATION:
The |Miscellaneous |Type |Vehicle |endorsement |can |be |used |to |cover |motorhomes, |motorcycles,
|etc.
Insurers |must |maintain |a |complaint |record |for |_________ |after |all |elements |of |the |complaint |
are |resolved |and |the |file |is |closed.
five |years |
three |calendar |years |
one |year |
six |calendar |years |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |six |calendar |years.
EXPLANATION:
Insurers |are |required |to |maintain |complaint |records |for |six |calendar |years.
, A |BOP |policy |has |a |$500,000 |occurrence |limit |for |liability |and |a |$1,000,000 |aggregate |limit. |If |
claims |for |$600,000 |and |$400,000 |have |been |filed |in |two |separate |incidents, |how |much |
coverage |remains, |if |any, |for |any |future |claims |submitted |during |the |policy |term?
Answer |Choices: |
$500,000 |
-0- |
$100,000 |
$1,000,000 |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |$100,000.
EXPLANATION:
The |most |the |policy |will |pay |for |any |one |single |occurrence |is |$500,000. |So |that |amount |would
|be |payable |for |the |first |loss. |Once |paid |that |amount |must |be |subtracted |from |the |Aggregate |
limit |(the |most |available |for |all |claims |in |the |policy |year) |leaving |$500,000 |remaining |in |the |
aggregate. |The |second |claim |is |within |the |occurrence |limit |and |since |there |is |enough |left |in |
the |aggregate, |the |entire |$400,000 |is |payable. |After |subtracting |the |$400,000 |loss |from |the |
remaining |aggregate, |$100,000 |is |left |to |pay |any |and |all |future |claims |for |the |remainder |of |the
|policy |term.
All |of |the |following |are |uniform |mandatory |policy |provisions, |except |the:
entire |contract |provision. |
grace |period |provision. |
reinstatement |provision. |
cancellation |provision. |- |CORRECT |ANSWER✔✔-The |correct |answer |is: |cancellation |provision..
EXPLANATION:
