Florida Adjuster licensing questions with complete solutions 2023

Florida Adjuster licensing questions with complete solutions 2023While driving, Ben was struck by another driver, Roxanne. Ben then filed a claim with Roxanne's insurer. In essence, what was Ben doing when he filed this claim? Alerting Roxanne's insurer of his intent to take the case to court Submitting a formal request to settle the damages with Roxanne's insurer Ordering Roxanne's insurer to pay for his damages within 15 days Admitting he was actually "at fault" Submitting a formal request to settle the damages with Roxanne's insurer Mark incurred $8,000 damage to his car in an accident. He received $8,000 from his insurance company and $4,000 from the other driver. By receiving a profit from the loss, Mark could be in violation of: the principle of financial status. the principle of financial restoration. the principle of profit and loss. the principle of indemnity. the principle of indemnity What is a reserve, in insurance terms? The amount of revenue that the insurer sets aside to pay employee salaries A group of policyholders who pay into the same pool of premiums A pool of collected premiums that the insurer sets aside to pay claims A set of rules governing how the insurance industry should work A pool of collected premiums that the insurer sets aside to pay claims The purpose of the principle of indemnity is: to prevent an insured from making a profit on a loss. to transfer the risk of financial loss from one party to another. to transfer the right to collect a debt from one party to another. to prevent an insurer from making a profit on a loss. to prevent an insured from making a profit on a loss. Greg plays trombone in his school band during football games. During a rally song in the stands one day, Greg annoys one of the opposing team's fans, who grabs his $400 trombone and hurls it down the bleachers, completely destroying it. Greg's insurance pays him $400 to replace the trombone, but then the opposing team's coach also offers to replace the instrument, at whatever the cost. So Greg orders a new $3,200 trombone and has the opposing team's athletic department absorb the cost. Which principle has Greg violated? The principle of consideration The principle of legal purpose The principal of the opposing team The principle of indemnity The principle of indemnity Which of the following refers to being restored to the financial condition you were in before a loss? Indemnification Restoration Estoppel Subrogation Indemnification Bobby just purchased an insurance policy for his home from XYZ Insurance. Which of the following would be a reason this policy may not be legally binding? Bobby has an outstanding warrant for selling marijuana. Bobby has been diagnosed with schizophrenia. Bobby paid his first premium when he and his agent agreed on a policy, but he is waiting for the policy documents to be prepared so he can sign them Bobby is only 19 years old. Bobby has been diagnosed with schizophrenia. Indemnification may include all of the following except: reimbursement for hotel costs. reimbursement for rental car costs. payment for pain and suffering. payment for repairs to property. payment for pain and suffering. Which of the following is NOT a requirement for a legally binding contract? There must be a legal purpose. There must be mutual consent. Both parties must bring something of value. It must be a notarized document. It must be a notarized document. The fee paid by the insured in exchange for an insurance policy is called a: premium. legal purpose. binder. contract. premium Which of the following best defines the principle of indemnity? Both parties to an insurance contract must contribute something of value. After a loss, the insured should be restored to his approximate financial condition before the loss. In order to be legally binding, a contract must have agreement, consideration, competent parties, and legal purpose. In exchange for a premium, the insurer grants peace of mind by reducing the insured's insecurity about the future. After a loss, the insured should be restored to his approximate financial condition before the loss. Which of the following is found in the declarations page of an insurance policy? The perils insured against A description of how to file a claim The obligations of the insured after a loss The name of the insured party The name of the insured party In which section of an insurance policy might you find the following statement? "'We, us, and our' refers to ABC Insurance company." Definitions Declarations Conditions Exclusions Definitions In which section of an insurance policy might you find the following statement? "Damage to insured property must be reported within 15 days of the damaging occurrence." Exclusions Definitions Conditions Declarations Page Conditions Which section of an insurance policy is designed to OMIT certain risks from coverage? Exclusions Insuring Agreement Coverage Forms Definitions Exclusions Which of the following would you find in the Conditions section of an insurance policy? The meaning of certain important words in the contract Causes of loss that are not covered Policy limits The insured's duty after a loss The insured's duty after a loss All of the following are typical exclusions in an insurance policy, EXCEPT: nuclear hazards. explosion. earthquakes. flooding. explosion. All of the following pieces of information can be found in the Conditions section of an insurance policy, EXCEPT: causes of loss that are not covered. what the insured must do in the event of a lawsuit. anything the insured must do for coverage to remain in effect. the insured's duties after a loss. causes of loss that are not covered. Which of the following statements is true about an insurance policy? The insured is obligated to the terms of the contract for the entire policy period. It relies on the utmost good faith of both the insured and the insurer. It is transferable if the property is sold to another party. The insured sets the terms of the policy. It relies on the utmost good faith of both the insured and the insurer. In an insurance policy, the summary of what the insurer will do in the event of a covered loss is called: the insuring agreement. the dec page. the conditions section. the definitions section. the insuring agreement. In a __________, only one party is legally obligated to perform. unilateral contract conditional contract contract of adhesion contract of utmost good faith unilateral contract unilateral contract