6.20 All Lines Adjuster- Florida- Review of Quizzes

What is the deductible for a Personal Articles Floater (PAF)? Select one: A. $250 B. $100 C. $500 D. $0

$0

The insured is an owner and is insured for PIP. She is injured in an accident and has the following damages? medicals-$12,000, lost wages-$6,000. How much will PIP pay if there is a $1,000 deductible? Select one: A. $11,200 B. $12,400 C. $9,600 D. $10,000

$10,000

If an insured has $100,000 of unstacked UM coverage with three cars on the policy, how much is available under a UM claim? Select one: A. $0- B. $300,000 C. $100,000 D. $200,000

$100,000

What is the maximum death benefit payable to eligible dependents under WC? Select one: A. $250,000 B. $200,000 C. $150,000 D. $100,000

$150,000

Securities were purchased for $150,000. They were stolen and sold for $175,000. On the day the theft was reported the securities were valued at $162,000. How much would be paid? Select one: A. $150,000 B. No coverage C. $175,000 D. Conditionally renewable E. $162,000

$162,000

An insured has $200,000 Coverage A dwelling coverage, under his HO-3 Policy. He incurs the following damage from a covered peril: fence - $5,000; gazebo - $7,500; tool shed -$15,000. What will his HO Policy will pay? Select one: A. $10,000 B. No coverage C. $25,000 D. $20,000

$20,000

Under an HO3 policy, if Coverage A is $250,000, Coverage B is: Select one: A. $10,000 B. None of the above C. $20,000 D. $25,000

$25,000

Jane is driving Mary's car. Jane has an at-fault accident with Bob. Mary has liability limits of 10/20/10. Jane has liability limits of 100/300/100. If Bob has $40,000 in bodily injury, how much will be collected from Jane's policy? (IGNORE PIP) Select one: A. $30,000 B. $10,000 C. $50,000 D. $20,000

$30,000

Joe had a Dwelling Policy with $40,000 Coverage A limit. A covered loss occurred that totaled the dwelling and the detached garage. The loss to the detached garage was $6,000. How much will be paid to Joe to cover this loss? Select one: A. $44,000 B. $40,000 C. $46,000 D. There is no coverage

$44,000

The basic amount of Medical Payment coverage under a CGL policy is: Select one: A. $2,000 B. $3,000 C. $1,000 D. $5,000

$5,000

The minimum basic liability limit for a Boiler and Machinery policy is: Select one: A. $500,000 B. $1,000,000 C. $250,000 D. $100,000

$500,000

The insured has a PAP with single liability of $50,000. The following loss occurs: $37,000-BI pedestrian; $3,000-Display window; $10,000-Sports car; $1,500-Legal defense. How much would his policy pay for the loss? Select one: A. $51,500 B. $37,000 C. $40,000 D. $50,000

$51,500

Tom is injured in a not at-fault auto accident and has temporary injuries. What can be recovered in a tort claim if he has $16,000 in medical bills with a $1,000 PIP deductible? Select one: A. $6,000 B. $5,000 C. $15,000 D. $10,000

$6,000

The insured is driving down the road when a low hanging branch strikes and cracks his windshield. The cost to replace the windshield is $650. The insured has a $500 collision deductible and a $250 other than collision deductible. The insurance company will pay...? Select one: A. $250 B. No coverage C. $500 D. $650

$650

Jim owns an auto and he is involved in an auto accident. He suffered $4,000 in medical expenses and $4,000 of lost income. How much does his insurance pay if he has Extended PIP? Select one: A. $7,200 B. $8,200 C. $4,200 D. $5,200

$7,200

What is the amount allotted for funeral expenses under Workers Compensation benefits? Select one: A. $2,500 B. $10,000 C. $5,000 D. $7,500

$7,500

The Builders Risk Coverage Form assumes which coinsurance provision: Select one: A. 90% B. 100% C. 80% D. 70%

. 100%

Tom purchases a CGL - Occurrence form with an effective date of 1-1-03. He purchases a claims-made CGL with an effective date of 1-1-04. An injury from 8-1-03 is filed in 2005 when a claim is made. Which policy covers the injury? Select one: A. 1-1-03 policy B. 1-1-04 policy C. No coverage D. 1-1-05 policy

1-1-03 policy

Joe pays his health insurance premium on a monthly basis. If he forgets to pay this month's premium, how long will the policy remain in force after the premium date? Select one: A. 10 days B. It cancels immediately C. 31 days D. 7 days

10 days

Dan has a Personal Auto Policy with Liability of 10/20/10 and basic PIP with a $1,000 deductible. He is running one day when a car strikes him. A week later he dies. Medical bills are $7,500 and lost wages are $1,000. How much, if any, will PIP pay in this claim?

10,800.00

What is the minimum age that a person can obtain an adjuster's insurance license? Select one: A. 23 B. 21 C. 25 D. 18

18

The insured, a resident of Florida, was in an accident in Georgia. The Florida car was insured with liability limits of 10/20/10. Georgia's minimum liability limits are 20/40/10. How will the Florida policy respond? Select one: A. 10/20/10 B. 20/40/10 C. No coverage D. 20/40/20

20/40/10

Employees of ABC Manufacturing are required to wear steel-toed shoes when they are in the factory. An employee who injures their foot because they are not wearing safety shoes while in the plant would have their benefits reduced by: Select one: A. 20% B. 10% C. 25% D. 15%

25%

Joe is off the job for 27 days due to a work related injury. Joe can receive WC benefits for how many days? Select one: A. 7 days B. 14 days C. 21 days D. 27 days

27 days

An employee is injured on the job and is out of work for 10 days. How many days' wages can this employee recover? Select one: A. No recovery B. 5 days C. 3 days D. 10 days

3 days

An adjuster moved from one city on Florida to another. What length of time does she have to notify FLDFS of the address change? Select one: A. 10 days B. 60 days C. 30 days D. 45 days

30 days

How many people can a private employment hire before they are required to purchase WC? Select one: A. 1 B. 4 C. 12 D. 8

4

If an adjuster terminates their insurance appointment, how long from the date of the termination do they have to reactivate their appointment? Select one: A. 5 years B. 4 years C. 3 years D. 1 year

4 years

Under Medicare Supplement insurance, the maximum waiting period before coverage applies to pre-existing conditions is: Select one: A. 3 months B. 6 months C. 12 months D. 9 months

6 months

How long does the insured have to request the "Supplemental Extended Reporting Period" after the expiration of the claims-made CGL policy? Select one: A. 90 days B. 30 days C. 180 days D. 60 days

60 days

Under the Business and Personal Property Coverage Form the provision for suspension for certain perils applies after: Select one: A. 60 days vacancy B. 30 days vacancy C. 90 days vacancy D. 120 days vacancy

60 days vacancy

Bill was employed by Jane's Flower Shoppe for two days when he receives a work related injury. Bill misses 14 days of work. How long does Bill have to wait before he can begin receiving WC benefits? Select one: A. 14 days B. He wasn't employed long enough to have WC coverage C. 21 days D. 7 days

7 days

Under Workers Compensation, what is the waiting period for disability benefits to begin? Select one: A. 30 days B. 7 days C. 14 days D. 21 days

7 days

Under Business Income Coverage, the period of restoration begins: Select one: A. 72 hours after reporting the loss B. 72 hours after the date of direct damage C. 48 hours after the date of direct damage D. 48 hours after reporting the loss

72 hours after the date of direct damage

Under a Dwelling Policy, all of the following are eligible, EXCEPT: Select one: A. A rental apartment in a commercial building B. A 1-6 family dwelling C. A two-family dwelling owned by a corporation D. A mobile home

A 1-6 family dwelling

Which bond guarantees performance in conformity with the law? Select one: A. A Conservation Bond B. A Blue Sky Bond C. A License Bond D. A Franchise Bond

A License Bond

A selected group of hospitals and doctors in a given area who have joined together to reduce medical costs is: Select one: A. A Professional Practitioner Group B. An HMO C. A Health Managed Hospital D. A PPO

A PPO

What is a foreign insurance company? Select one: A. A company that is not an alien company B. A company chartered outside the state of Florida C. A company chartered inside the state of Florida D. A company chartered in another country

A company chartered outside the state of Florida

Both commercial property and liability were combined into one policy, thus saving money on underwriting expense. What is this combination called? Select one: A. A monocline policy B. A valid policy C. A combination policy D. A package policy

A package policy

Insurable interest

A partial owner of a building cannot receive full value for the building in the event of a loss because of?

If an insured sells his house to another person, the buyer is prohibited from receiving the seller's insurance policy because insurance is a contract of: Select one: A. Conditions B. Adhesion C. Indemnity D. A personal nature

A personal nature

Joe wrote a policy through the Florida Automobile Joint Underwriting Association, and the company issued the policy. What is the company issuing the policy called? Select one: A. A non-standard carrier B. A non-servicing carrier C. A servicing carrier D. A standard carrier

A servicing carrier

Under Boiler and Machinery insurance, an "accident" is defined as: Select one: A. Occurring within the policy period of an occurrence policy B. A continuous and repeated exposure to the same condition C. A sudden and accidental breakdown of a part D. A one-time occurrence

A sudden and accidental breakdown of a part

Failure to comply with the Workers Compensation Law is: Select one: A. A third-degree felony B. A second-degree felony C. A first-degree misdemeanor D. A first-degree felony

A third-degree felony

The provision in the Builders Risk Coverage Form that penalizes the insured for underinsurance is called: Select one: A. Coinsurance B. Full Reporting C. Agreed Value D. Adequate Insurance Clause

Adequate Insurance Clause

Trucker insurance premiums are based on all EXCEPT? Select one: A. Radius B. Age of the driver C. Type of business D. Territory garaged

Age of the driver

Homeowner policies are rated on all of the following, EXCEPT: Select one: A. Location of the dwelling B. Age of the homeowner C. Fire protection available D. Construction of the dwelling

Age of the homeowner

Unethical behavior affects? Select one: A. The claimant B. The adjuster C. All of the above D. The entire company

All of the above

Which exposures are covered by the Leaseholder Interest Coverage Form? Select one: A. All of the above B. A loss of any unused prepaid rent C. An unused part of tenant improvements D. A tenant's loss of a favorable lease/sub-lease

All of the above

Which of the following are available as HO hurricane deductibles? Select one: A. All of the above B. 2% C. 5% D. $500

All of the above

hysicians, Surgeons and Dentists Insurance will cover: Select one: A. Blood Banks B. Veterinarians C. All of these D. Optometrists

All of these

An organization that provides comprehensive health services to its members for a prepaid fixed fee, equivalent to an insurance premium is: Select one: A. A Professional Practitioner Group B. A PPO C. A Health Managed Hospital D. An HMO

An HMO

The Florida Financial Responsibility Law is triggered by? Select one: A. Registration of the vehicle B. Purchase of the vehicle C. An accident involving bodily injury or property damage D. Purchase of an auto policy

An accident involving bodily injury or property damage

Which of the following is not covered under Coverage C of a HO Policy? Select one: A. An aquarium is knocked over and the fish die B. A student away at school has his golf clubs stolen C. An insured's luggage is stolen from his hotel room D. A weekend guest loses his hearing aid during a fire

An aquarium is knocked over and the fish die

A company had its certificate of authority revoked because of bad sales practices. This type of company is known as: Select one: A. An admitted company B. An unedited company C. An unauthorized company D. An authorized company

An unauthorized company

Which Commercial Inland Marine policy protects those who ship and receive goods on an annual basis? Select one: A. Trip Transit B. Motor Truck Cargo C. Annual Transit D. Trailer Interchange

Annual Transit

Which is the largest limit available for commercial vehicles in the residual market? Select one: A. Any higher limits required by any law B. 100/300/50 C. 250/500/250 D. 250/500/100

Any higher limits required by any law

All of the following are among the broad classes of Ocean Marine Insurance, EXCEPT: Select one: A. Cargo B. Barratry C. Freight D. Hull

Barratry

Sam is an owner and not insured for PIP. Sam borrows Fred's car, which is insured for PIP. Sam has an at-fault accident when he strikes Betty's car. Betty is insured for PIP. As a result of Sam's negligence, Betty is injured and has $5,000 in medical bills. Which of the following is true? Select one: A. Sam does not have Tort Exemption B. Betty may sue Sam and Fred for $5,000 C. Betty must use her own PIP to pay her medical bills D. Sam may recover any damages from Fred's PIP

Betty must use her own PIP to pay her medical bills

Which bond protects the consumer against misrepresentation of a securities dealer? Select one: A. Blue Sky bond B. Permit bond C. Payment bond D. Lost Instrument bond

Blue Sky bond

Uninsured Motorists coverage is used to cover the insured for? Select one: A. Bodily injury only B. Bodily injury and property damage C. Medical payments D. Liability

Bodily injury only

Errors and Omissions claims are a result of? Select one: A. unethical behavior B. lack of knowledge or information C. Both unethical behavior and lack of knowledge or information are correct D. Neither unethical behavior and lack of knowledge or information are correct

Both unethical behavior and lack of knowledge or information are correct

Three types of property are covered under the Building and Personal Property coverage form. They are: Select one: A. Building; Business Personal Property; Personal Property of Others B. Building; Your Personal Property; Detached structures C. Building; Personal Property; Personal Property of Others D. Building; Your Business Personal Property; Your Personal Property

Building; Business Personal Property; Personal Property of Others

The Builders Risk coverage form covers: Select one: A. Contractors B. Buildings under construction C. Investors D. Builders

Buildings under construction

In the non-construction industry, all of the following employments are exempt from Workers Compensation EXCEPT: Select one: A. Pro athletes B. Casual labor completed in 30 days for $750 C. Labor under sentence of a court order D. Domestic servants in private homes

Casual labor completed in 30 days for $750

Tommy and Chris leave their golf clubs in the trunk of Tommy's car when they stop to eat lunch. Both sets of clubs are stolen. Which policy covers Chris' clubs? Select one: A. Tommy's HO B. Tommy's auto C. Chris' auto D. Chris' HO

Chris' HO

A homeowner could not find coverage on the open market and looked to the residual market for coverage. What Joint Underwriting Association would handle this risk? Select one: A. Citizens B. The Florida Residential Property and Casualty Joint Underwriting Association C. The Florida Workers Compensation Joint Underwriting Association D. The Florida Automobile Joint Underwriting Association

Citizens

The retroactive date under the CGL established the earliest date a claim will be paid by the insurance company under the: Select one: A. Claims-Made form B. Occurrence form C. Both the Occurrence and Claims-Made form D. Products and Completed Operations form

Claims-Made form

Susie is driving down the street when a dog runs in front of her car. She swerves to avoid the dog and hits a tree. This is an example of? Select one: A. Collision B. Both A and B C. Other than collision D. Neither A or B

Collision

characteristics of a contract

Consideration must be given to at least one party

Bond underwriting usually looks at the three C's which include all of the following, EXCEPT: Select one: A. Contingency B. Collateral/Capital C. Capability D. Character

Contingency

All of the following are included in the definition of a building, EXCEPT: Select one: A. Floor coverings B. Wall treatments (wallpaper) C. Temporary structures on or within 100 feet of the premises D. Copy machines

Copy machines

Under the Business and Personal Property Coverage Form, all of the following are additional coverages EXCEPT: Select one: A. Cost to hire a night watchman B. Cost to preserve property C. Debris Removal D. Fire Department Service Charge

Cost to hire a night watchman

Which of the following is not a duty of the claims adjuster? Select one: A. Investigating B. Evaluating C. Negotiating D. Counseling

Counseling

Outdoor equipment used to service the premises is covered under: Select one: A. Coverage C B. Coverage A C. Coverage B D. Coverage D

Coverage C

A house under construction is eligible for a Homeowner Policy if: Select one: A. None of these answers are correct B. The builder doesn?t qualify for a Commercial Property Policy C. The builder is licensed D. The insured will be the owner-occupant

D. The insured will be the owner-occupant

The successful adjuster/negotiator should understand that communication includes all of the following EXCEPT? Select one: A. Verbal and non-verbal messages B. Questioning C. Listening D. Decision-making

Decision-making

Which of the following is not one of the basic claims activities of the adjuster? Select one: A. Defining claims B. Negotiating claims C. Evaluating claims D. Investigating claims

Defining claims

Bob has a basic health insurance policy. He has a covered accident in which he suffers an injury to his mouth that requires dental treatment. Which of the following is true? Select one: A. Dental expenses will be paid after the first $500 B. Dental expenses will not be paid C. Dental expenses will be paid after the first $100 D. Dental expenses will be paid

Dental expenses will be paid

Which best describes health insurance? Select one: A. Disability Insurance B. Property insurance C. Liability insurance D. None of the above

Disability Insurance

All of the following are eligible for a Homeowner Policy, EXCEPT: Select one: A. Renters who maintain resident in any type of building B. Dwellings owned by a corporation C. Owner-occupants of 1-4 family dwellings D. Condominium unit owners

Dwellings owned by a corporation

Am employee of ABC Financing altered and cashed a check for $2000. The loss is payable under which insuring agreement? Select one: A. No coverage B. Robbery Inside the Premises C. Forgery or Alteration D. Employee Theft

Employee Theft

the following are part of an insurance policy

Exclusions, Declarations and Endorsementd

When covered property is damaged, the cost for temporary repairs and the cost to expedite permanent repairs or replacement is covered under: Select one: A. Defense Costs B. Supplementary Payments C. Automatic Coverage D. Expediting Expenses

Expediting Expenses

Covered losses in a Boiler and Machinery Policy include: Select one: A. Explosion, overheating, burning and cracking B. Leaking at the valve, fitting or shaft C. The functioning of a safety device D. Depletion, deterioration and wear and tear

Explosion, overheating, burning and cracking

Joe works for Sinks-R-Us, Inc. As part of his compensation package, he is supplied with a company car, which he gets to take home every night. Joe wants to make sure the Liability coverage under his PAP covers him while driving his company car. What coverage would you add to Joe's PAP? Select one: A. Named Non-owned coverage B. Extended Non-owned Liability coverage C. Drive Away Liability coverage D. False Pretense coverage

Extended Non-owned Liability coverage

The Residual Market that is a source for persons who are unable to purchase auto insurance through normal channels is: Select one: A. FRPCJUA B. FWUA C. FWCJUA D. FAJUA

FAJUA

The adjuster's duty to the insurer is best described as? Select one: A. Friendly B. Factual C. Fun D. Fiduciary

Fiduciary

Perils of the Sea includes all of the following, EXCEPT: Select one: A. Wind B. Collision and sinking C. Fire D. Waves

Fire

The master of the ship voluntarily sacrifices the ship's cargo to save the ship. If the loss is settled with each interest paying a pro-rata share of the loss, it is known as: Select one: A. Sue and Labor B. Particular Average C. General Average D. Demurrage

General Average

the claims adjuster's role in the insurance industry includes

Give appropriate legal advice and write binding contracts

Which HO form covers a condo owner? Select one: A. HO-3 B. HO-2 C. HO-6 D. HO-4

HO-6

The coverage for damage to an aircraft under the care, custody and control of the insured while the plane is in storage is: Select one: A. Hangerkeepers Liability B. Extra Expense Endorsement C. Admitted Aircraft Liability D. Storage Endorsement

Hangerkeepers Liability

An insured borrows his neighbor's trailer to pick up his new furniture. Which of the following best describes the insured if he has an accident? Select one: A. His PAP will extend coverage if the proper endorsement is added B. Only the liability of the PAP extends to the trailer C. His auto is insured, but not the borrowed trailer D. His PAP extends liability to the trailer and Part D-Physical Damage extends $1,500 coverage to the borrowed trailer

His PAP extends liability to the trailer and Part D-Physical Damage extends $1,500 coverage to the borrowed trailer

Joe is injured when the jack slips as he is changing a tire in his driveway. The bill for his treatment in the emergency room is $450. Where will Joe go first to collect for his medical expenses? Select one: A. Worker's Compensation B. His PIP insurance C. His homeowner insurance D. His health insurance

His PIP insurance

Percentage

Hurricane insurance in coastal areas in Florida is written subject to which of the following deductibles?

The insured

If an insurance policy is unclear or ambiguous, in whose favor does the policy respond?

Joe is an owner insured for PIP. In which of the following situations does Joe have his PIP benefits available to him? Select one: A. In a slip and fall accident in the mall in Florida B. In an accident while riding his motorcycle C. Struck as a pedestrian in Georgia D. In an accident while riding as a passenger in a friend's car in Florida

In an accident while riding as a passenger in a friend's car in Florida

A fourth party to a bond is called a: Select one: A. Surety B. Principal C. Indemnitor D. Obligee

Indemnitor

Health insurance protects against all of the following, EXCEPT: Select one: A. Bodily injury B. Disablement C. Death by accident D. Injury of the job

Injury of the job

Severability

Insurance may apply separately to each insured, as if the other insureds did not exist. This is known as the doctrine of?

What is unique about lawyer's professional liability insurance? Select one: A. It covers claims that existed before the policy was effective. B. It deducts claims expenses first and the balance is payable for the claim. C. It covers lawyers for fraudulent activities. D. It covers only lawyers in group practice.

It deducts claims expenses first and the balance is payable for the claim.

How is funding determined for Tier Three employers? Select one: A. It is based on an assessment of Tier Three participants B. None of the above C. It is based on an assessment of Tier One participants D. It is based on an assessment of Tier Two participants

It is based on an assessment of Tier Three participants

All of the following are true concerning Joint Underwriting Associations, EXCEPT: Select one: A. Policyholders must be unable to purchase insurance on the open market B. Citizens replaced FRP&CJUA and Florida Windstorm C. It is not possible to purchase Homeowner policies under JUA, only Dwelling policies D. JUA operations are overseen by a Board of Governors

It is not possible to purchase Homeowner policies under JUA, only Dwelling policies

A contract condition of the Homeowners policy which provides that the insured gets the benefit of broadened coverage if the company adopts a broader form without an increase in premium is: Select one: A. Subrogation B. Liberalization C. Assignment D. Coinsurance

Liberalization

following are examples of a peril

Lighting, Explosion and Fire

Bill sent a cashier's check through the mail, but it never arrived at the destination of the recipient. Under which bond can the cashier's check be replaced? Select one: A. Fiduciary bond B. Blue Sky bond C. Lost Instrument bond D. Payment bond

Lost Instrument bond

All of the following are covered under Supplemental Payments in a CGL EXCEPT: Select one: A. Expenses incurred at the company's request B. Lost wages up to $100/day C. Bails bonds up to $250 D. Interest on judgments

Lost wages up to $100/day

All of the following UM options are available to an insured, EXCEPT? Select one: A. May purchase UM coverage less than liability limits B. May purchase UM coverage more than liability limits C. May reject UM coverage in writing D. May elect non-stacked UM coverage in writing

May purchase UM coverage more than liability limits

Which of the following is not a covered territory for a CGL policy? Select one: A. Canada B. United States C. Puerto Rico D. Mexico

Mexico

Which situation is not covered for liability under an HO3 policy? Select one: A. Mike used a 4-wheel ATV to haul yard clippings to his compost pile. A neighbor is on Mike's property and Mike accidentally runs into him with the ATV. B. Mike rents the community center for his son's wedding reception. A guest falls and the guest sues Mike for injuries. C. Mike owns a 16 foot. 100 H.P. outboard motor boat and he has an at-fault accident in which he totally destroys another boat. The owner of the boat sues Mike. D. Someone falls at the house Mike is planning to live in after it is built

Mike owns a 16 foot. 100 H.P. outboard motor boat and he has an at-fault accident in which he totally destroys another boat. The owner of the boat sues Mike.

On the way to the bank to make a deposit, an employee loses the bank bag. How is this money covered? Select one: A. Money and Securities B. Robbery C. Burglary D. Employee Theft

Money and Securities

The clause that protects the lender in a real property policy is the: Select one: A. Coinsurance Clause B. Loss Payee Clause C. Appraiser Clause D. Mortgagee Clause

Mortgagee Clause

Which of the following is not a requirement to qualify for the FWCJUA? Select one: A. Must have been unable to obtain coverage from at least three other carriers B. Must have been unable to obtain coverage from at least two other carriers C. Must not be indebted for any previous unpaid WC premiums D. Must be an employer

Must have been unable to obtain coverage from at least three other carriers

The coverage that provides Liability, Medical Payments and Uninsured Motorist for a named individual who does not own an automobile is? Select one: A. Extended Non Owned B. Driver Other Car C. Named Non Owned D. Extended PIP

Named Non Owned

Mr. Smith buys a CGL claims-made policy on 1-1-04 with a retroactive date of the policy's inception of 1-1-04. He buys another CGL claims-made policy on 1-1-05 with a retroactive date of 1-1-05. An accident occurs on 7-1-04 and the claimant files this injury on 9-1-05. Which policy covers? Select one: A. 1-1-04 claims-made policy B. 1-1-05 claims made policy C. 1-1-04 is primary and 1-1-05 policy is excess D. Neither policy covers

Neither policy covers

The insured bought a new car with a Mechanical Breakdown Policy. When the odometer reaches 40,000 the car has a serious breakdown involving the transmission. How does the Mechanical Breakdown Policy respond? Select one: A. No coverage because the policy expired B. No coverage because a transmission is not covered C. ACV coverage will apply D. Replacement cost coverage will apply

No coverage because the policy expired

Under Part One of the WC policy, what is the limit for recovery of medical bills incurred by an employee as a result of work related injuries? Select one: A. $100, 000 B. $150,000 C. No limit D. $250,000

No limit

describe a franchise deductible

No payment is made until the loss equals or exceeds the amount of the deductible and then the loss is paid in full

An employee is hurt on the insured's premises. Three months later the employee dies. Are the employees funeral expenses covered under the company's CGL Medical Payments? Select one: A. Yes, the claim was made within one year time period B. No, the claim was filed too late C. Yes, the employee is automatically covered D. No, employees are not covered for Med Pay

No, employees are not covered for Med Pay

A claim is made under a CGL for a slip and fall injury. Two years later the injured person comes back saying the injury has flared-up. Is the reoccurrence covered under CGL Medical Payments? Select one: A. Yes, expenses are covered because of proximate cause. B. No, slip and falls are not covered under Medical Payment coverage C. Yes, expenses are covered within three years of the injury. D. No, expenses are covered within one year of the injury.

No, expenses are covered within one year of the injury.

If a health insurance policy cannot be cancelled and can be renewed at the option of the insured to a stated age with no premium increases, this policy is: Select one: A. Guaranteed renewable B. Optionally renewable C. Noncancelable D. Conditionally renewable

Noncancelable

Admitted Liability is: Select one: A. Requires a legal action for injuries B. None of the above C. Applicable to passengers carried for hire D. Not applicable to passengers carried for hire

Not applicable to passengers carried for hire

If a claimant is represented by an attorney, the adjuster should?

Only meet with the client when the attorney is present

ane has a health insurance policy that prevents cancellation during the policy period, but reserves the right of the insurer to non-renew the policy once it expires. This is an example of: Select one: A. Conditionally renewable B. Noncancelable C. Optionally renewable D. Guaranteed renewable

Optionally renewable

Hail damage to an auto is an example of? Select one: A. An exclusion to Part A\-Liability B. An exclusion to Part D-Physical Damage C. Other than collision D. Collision

Other than collision

If flooding is confined to one area, the flood water must cover: Select one: A. The building B. Over three acres of land C. Over two acres of land D. Over an acre of land

Over two acres of land

Property or first-party insurance

Payment the insurance company makes directly to the insured is?

The insured owns a fireworks factory, which is especially busy during the months of June and July. Which endorsement should he purchase to cover his inventory during these months? Select one: A. Building Ordinance B. Value Reporting C. Peak Season D. Inflation Guard

Peak Season

Which of the following is covered under PAP liability? Select one: A. Intentional damage B. Permissive use of insured's automobile C. Damage to property owned by the insured D. Injury to an employee in the course of employment

Permissive use of insured's automobile

Contract bonds include all of the following, EXCEPT: Select one: A. Permit bond B. Performance bond C. Bid bond D. Maintenance bond

Permit bond

Underwriting an aircraft hull policy includes all of the following considerations, EXCEPT: Select one: A. Pilot's age B. Age and condition of the plane C. Type of plane D. Size of the plane

Pilot's age

All of the following are characteristics of an insurance contract EXCEPT? Personal, Private, Conditional, Adhesion?

Private

he Valuation Clause in Boiler and Machinery coverage provides for replacement cost if: Select one: A. Property is repaired or replaced within 18 months B. Property is repaired or replaced within 24 months C. Property is repaired or replaced within 36 months D. Property is repaired or replaced within 48 months

Property is repaired or replaced within 18 months

Comparative negligence

Reduces the insured's damages by the degree of negligence

An HO-4 Policy is designed for a: Select one: A. Condo owner B. Home owner C. All of the above D. Renter

Renter

The insured lives in his principal residence 80% of the year. A flood loss would be paid at which of the following? Select one: A. At 80% coinsurance B. Replacement Cost C. ACV D. Valued Policy

Replacement Cost

Which of the following would not result in license suspension? Select one: A. Selling a product for which one is not licensed B. Calling another agent or adjuster a crook C. Representing a policy truthfully D. Making false entries on an insurance application

Representing a policy truthfully

Representing to an applicant that a specific ancillary coverage or product is required by law in conjunction with the purchase of a motor vehicle insurance when such a coverage or product is not required by law is known as: Select one: A. Churning B. Rebating C. Twisting D. Sliding

Sliding

The three parties to a bond are: Select one: A. Surety, principal and cosigner B. Surety, insured and insurer C. Surety, obligee and indemnitor D. Surety, obligee and principal

Surety, obligee and principal

In the event that the Condominium Association Coverage form and the Condominium Unit Owners Coverage form both cover a loss, which of the following is true? Select one: A. Both forms pay equally B. The Unit Owner form is primary and the Association form is excess. C. The two forms are prorated D. The Association form is primary and the Unit Owner form is excess

The Association form is primary and the Unit Owner form is excess

Workers Compensation in Florida is regulated by: Select one: A. The Department of Labor B. The Department of Labor Security C. The Department of Labor & Employment Security D. The Division of Workers' Compensation of the Department of Financial Services

The Division of Workers' Compensation of the Department of Financial Services

When a community applies for flood coverage, until they are approved they are under: Select one: A. The Regular Program B. The Special Program C. The Emergency Program D. The Flood Program

The Emergency Program

The insured's house is totally destroyed in a fire. The house is insured for $200,000. The adjuster who investigates the claims determines the ACV of the home is $185,000.

The Florida Valued Policy Law requires the insurer to pay $200,000

If an Umbrella Policy serves as primary coverage, what part of the policy allows the insurer to apply a deductible? Select one: A. The Stand Alone Form B. The Follow Form C. The Self-insured Retention D. None of these answers are correct

The Self-insured Retention

Risk

The chance of financial loss is known as?

All of the following are components of negotiating EXCEPT? Select one: A. The issue should be negotiable B. There must be an exchange of value for value C. The parties should trust each other D. The claimant must be satisfied

The claimant must be satisfied

The abandonment clause

The clause that prohibits the insured from dumping damaged property on the insurance company and demanding to be paid in full is?

Mortgagee Clause

The clause that protects the lender in a real property policy is the?

Who does the adjuster represent when they are working on a claim? Select one: A. The company B. The insurance agent C. The customer D. The State of Florida

The company

Indemnity

The concept that one should not profit from the payment provided by an insurance policy is known as?

The deductible

The dollar amount that the insured pays before the insurer is required to pay the remainder of the loss is known as?

All of the following are penalties for non-compliance with Workers Compensation laws, EXCEPT: Select one: A. The employer may be charged a $1000 fine, plus $100 for each day of non-compliance B. The employer may be charged with a second-degree misdemeanor C. The employer's business property may be seized D. The employer's business may be closed

The employer's business property may be seized

A Florida employee was sent Boston to work for one week. While in Boston, they were injured on the job. How is the injury covered under WC benefits? Select one: A. The injury is covered under Florida's WC law B. There is no coverage under either state law C. The injury is covered under Massachusetts WC law D. None of the above

The injury is covered under Florida's WC law

What condition must be met in a HO Policy for replacement cost to settle the loss? Select one: A. The insured must replace the item lost or damaged B. All of these answers are correct C. The insured must file the claim within 10 days D. The insured must carry insurance of at least 80% of the cost to replace the dwelling

The insured must carry insurance of at least 80% of the cost to replace the dwelling

Which of the following describes a Guaranteed Renewable Policy? Select one: A. The insurer is required to renew to a stated age with no increase in premiums B. None of the above C. The insurer is required to renew to a stated age, but may increase premium D. The insurer cannot cancel during the policy term, but reserves the right to non-renew

The insurer is required to renew to a stated age, but may increase premium

Safe Burglary is defined as: Select one: A. The taking of property by someone who has caused bodily harm B. The taking of property by someone who has entered the premises unlawfully as evidenced by visible signs of forced entry C. The taking of property by someone who has entered the premises unlawfully as evidenced by visible signs of forced entry and caused bodily harm D. Any act of stealing

The taking of property by someone who has entered the premises unlawfully as evidenced by visible signs of forced entry

An insured wants to fly to Canada and then down to Mexico. Will he have coverage available for this trip? Select one: A. He cannot go outside the U.S. B. There is coverage in Canada, but not in Mexico C. There is coverage in Canada, and 100 miles into Mexico D. There is coverage in Mexico, but not in Canada

There is coverage in Canada, and 100 miles into Mexico

A company was incorporated in Massachusetts and has their home office in that state. What type of company is this when they do business in Florida? Select one: A. They are an unauthorized company B. They are a domestic company C. They are a foreign company D. They are an alien company

They are a foreign company

Jettison is defined as: Select one: A. Fraud by the ship's master or crew B. Throwing cargo overboard to save the ship C. Taking the insured property by force D. Winds, waves, collision or sinking

Throwing cargo overboard to save the ship

What is the function of the insurance department? Select one: A. To pass insurance laws B. To administer insurance laws C. To negotiate ethical standards within the insurance industry D. To act as an advocate for agents and adjusters

To administer insurance laws

Written

To be considered an insurance contract, a policy must be?

Which of the following is not one of the duties of FLDFS? Select one: A. To investigate charges of unethical conduct of adjusters B. To set rates for various company products C. To license adjusters D. To supervise the claims activity of adjusters

To set rates for various company products

Which of the following is not eligible for a homeowners policy? Select one: A. Tom who owns the house he rents to his neighbor B. Joe who lives is a garage apartment C. A husband and wife who own a vacation home in Georgia D. Betty who rent a condominium unit

Tom who owns the house he rents to his neighbor

One category of Commercial Inland Marine insurance is "Instrumentalities of Transportation and Communication. All of the following are covered under this form, EXCEPT: Select one: A. Tractor trailer trucks B. Pipelines C. Radio and TV towers D. Bridges and tunnels

Tractor trailer trucks

The Truckers form that provides liability coverage for damage to non-owned trailers is called? Select one: A. Interchange coverage B. Commercial Trailer coverage C. Trailer Interchange coverage D. Trailer coverage

Trailer Interchange coverage

Which Commercial Inland Marine policy would cover those who ship and receive goods on a single trip basis? Select one: A. Motor Truck Cargo B. Trip Transit C. Trailer Interchange D. Annual Transit

Trip Transit

The Civil Remedies Provision of the Insurance Code states that adjusters should not? Select one: A. Handle claims in a prompt manner B. Accompany claims payments with statements explaining coverage C. Settle claims in good faith D. Try to influence settlements

Try to influence settlements

The continuing education requirement to maintain an adjuster's license in Florida is: Select one: A. Five hours every two years B. Twenty four hours every two years C. Ten hours every two years D. Not required for any adjuster license

Twenty four hours every two years

A florist wanted coverage on business contents, which vary in amount over the course of a year. Which form best fits this situation? Select one: A. Peak Season Endorsement B. None of the above C. Value Reporting Endorsement D. An automatic increase in insurance

Value Reporting Endorsement

The insured has a building that has been vacant for 75 days. Which of the following are covered? Select one: A. Theft B. Glass breakage C. Weight of ice and snow D. Vandalism

Weight of ice and snow

Liberalization

When a policy change results in broadened coverage with no additional premium, the insured automatically receives the benefit under the principle of?

Subrogation

When the insured transfers his/her rights to collect for damages to the insurer, it is known as?

Under a PAP, when does the insurance company cease to defend the insured? Select one: A. The insurance company is not obligated to defend the insured B. After the case has been resolved C. When the policy limit is exhausted D. At the policy's expiration

When the policy limit is exhausted

The principle of proximate cause

When there is an unbroken connection between an occurrence and the damage that arises from the occurrence, and all the resulting damage happened on account of that occurrence, this is known as?

Primary

When two or more policies apply to the same loss, the one that pays first is called?

Replacement cost

Which loss settlement provides new for old?

Acme Toys has a CGL policy. They hold a party and one of the guests has a little too much to drink. If the guest injures someone and the injured party sues the Acme Toys, the CGL policy: Select one: A. Will cover if the insure has Liquor Liability Coverage B. Will not cover C. Will cover if the insured has Legal Liability Coverage D. Will cover the claim

Will cover the claim

Which is not a fiduciary responsibility of a claims adjuster? Select one: A. Maintain loyalty to the company B. Reveal all underwriting facts to the underwriter C. Withhold pertinent information from the company D. Properly account for all monies

Withhold pertinent information from the company

The coverage territory for Personal Inland Marine Insurance (PAF) is: Select one: A. Whatever is specified in the policy B. Worldwide C. United States D. U.S., Canada, and U.S. territories

Worldwide

An adjuster is required to notify a claimant when a claim is denied. The notification must be?

Written

Adjusters should advise claimants on?

claims information

Which is not a requirement for licensure as an adjuster? Select one: A. Be a bonafied resident of Florida B. Be appointed by a company C. Be appointed by an office manager D. Take an approved course and pass a state exam

e appointed by a company

ACV

replacement cost minus depreciation

The term ethics refers to?

service to others, personal respect and proper mode of conduct

When an adjuster deals with a claimant who is not a policyholder, this claim is known as an?

third party claim