public adjusting

Edward belongs to a religious group dedicated to voluntary service and purchased a $100,000 life insurance policy this is because this group is a?

Fraternal Benefit Society

Joes curvy driveway is a

Hazard

If covered by an insurance policy, An insured may be indemnified for all of the following except?

Home Remodels

Bobby just signed a insurance what can cause it to be void?

If Bobby has schizophrenia

Collecting more money violates principal of?

Indemnity

Trombone cost $400 collected $1400 from opposing coach what principal did greg violate?

Principal of Indemnity

A risk that carries no possibility of gain is called a ____ Risk.

Pure

When an insurer buys insurance to reduce its exposure to loss, this is called:

Re-insurance

Xavier had a tornado run through his development which insurance would have helped?

Re-insurer

Adhesion

The insurer must only honor the contract if the insured meets certain conditions

Which of the following statements best describes the law of large numbers?

The larger number of houses insured, the more accurately the insurer can predict the number of claims from that group

An insurance that adheres to the laws of the state but is located outside of the state is called a _________ Insurer

Foreign

Jim gets immediate temporary coverage but after finding out jim has been convicted of arson he gets dropped. What type of coverage did Jim have before he was dropped?

A Binder

Which of the following best defines "Insurer"?

A Company, Group, or Government agency offering financial protection.

Which of the following best describes a fraternal Benefit society?

A Fraternal Benefit society is a social organization based around common interests and beliefs

What is the primary distinguishing characteristic of a contract of adhesion?

A contract of adhesion implies an unequal balance of power in the creation of the contract.

Which of the following best describes a Premium?

A fee paid by the insured in exchange for an insurance policy

Which of the following is NOT an insurable risk

A small town

Utmost good faith

Both parties must act honestly and openly in order for the contract to be valid

Where might you find "Property dress: 245 Dr"?

Declaration

Janelle wants to make a change in her insurance policy which section does she go?

Endorsements

Which of the following statements about the principal of estoppel is true?

Estoppel is a legal principal that prevents the insurer from denying coverage if the policy holder has been led to believe, in good faith, that coverage applies

Which of the following is not an example of a legally binding contract?

It does not have to be motorized

Sarahs car is totaled and considered a

Loss

Bobs garage caught fire and he had two barrels of fuel and told his adjuster he didn't this is an example of

Misrepusentation

Cindy has a private insurance company and can participate in electoral board and collect dividends if the company does well?

Mutual insurance company

Unilateral

One party sets the terms of the contract;the other may simply agree or disagree

Conditional

Only the insurer makes a promise to act; the insurer can void the contract at any time

Lightening bolt hits house the lightening bolt is

Peril

Where can you find make and model in an insurance policy?

Policy Declaration

Which is not an example of risk management.

Risk Equality

Amy sells antique furniture and buys a storage unit with a fire alarm and smoke detector this is an example of

Risk Reduction

Bad driver higher premium

Risk Reduction

Insurance for washing machines for 10 years is an example of?

Risk Transference

Not buying a property

Risk avoidance

Which of the following is not a characteristic of Social insurance programs?

Social insurance programs are not for profit

Publicly traded

Stock insurance company

Personal

The insured person is protected from losses, not the covered property.

Contract where only one party makes a promise to preform.

Unilateral Contract

Having a 24/7 jewelry guard is a

Warranty

A legally binding contract where the risk of financial loss is transferred in exchange for premiums is called?

An insurance policy

From the insurers point of view the risk is?

An insured automobile

A reciprocal insurer is

An unincorporated Organization of subscribers that operates through an attorney-in-fact to provide insurance benefits for its members

According to the definition of a personal contract, Which most accurately describes what the insurance actually protects?

Toms financial interest in the home

Knowingly preventing disclosure of materially relevant facts in an insurance case is called?

Concealment

Which of the following in NOT a qualification of an insurable risk?

an insurable risk must have guaranteed protection from damage

Which of the following refers to being restored to the financial condition you were in before the loss?

indemnification

Which of the following about risk retention groups is False?

risk retention groups must be licensed in every state they operate.

Aleatory

The execution of the contract depends on an unknown future event.

Which of the following statements about speculative risk is true?

A speculative risk involves a conscious choice

Josephine gas station exploded and wasn't covered because it did not have an Anti-shut off where might this be located

Conditions

Bill gets claim denied then goes to court and wins because contacts are?

Contracts of adhesion

Which of the following statements is not true of an insurance policy?

The concept of utmost good faith applies only to the insurer

Which best describes insurance?

The economic device used to protect against the risk of unforeseen and extraordinary financial loss

How can an insurance afford to pay for an individuals catastrophic loss?

The insurance collects premiums from all policy holders and pools them to pay the claims of the few

An insurance applicant revealing his convictions for drunk driving to an insurer this is and example of?

Utmost good faith

A risk-retention group can provide all of the following types of insurance except?

Workers Compensation

A risk retention group can can provide all of the following kinds of insurance except?

Workers compensation