Florida Adjuster Exam __ Questions With
Complete & Correct Solutions
Which of the following is NOT one of the duties of the Department of Financial
Services?
b. Dept does NOT set rates nor write policies Correct Ans - Set rates
and write policies for various company products
The adjuster has a particular relationship to his principal, the insurer. Which
of the following best describes this relationship? Correct Ans - It is a
fiduciary relationship.
The Claims Adjuster's role in the insurance industry includes all the following
EXCEPT: Correct Ans - Gives appropriate legal advice and writes
binding contracts
All of the following activities are illegal for an adjuster, EXCEPT: Correct
Ans - Use only company forms to prepare releases
All of the following are part of the conditions imposed upon the insured in the
event of a loss, EXCEPT: Correct Ans - Insured should negotiate on
behalf of the company for 3rd party claimants.
A claimant was given a settlement, which stipulated, that if the claimant did
not contact the company within a certain period of time, the claim would
automatically close. No release was signed. Which of the following best
describes this method of settlement? Correct Ans - No release or walk-
away
The Continuing Education requirement to maintain an Adjuster license in
Florida is: Correct Ans - Twenty four hours every two years.
An adjuster received written notice from the Department of Financial Services
regarding a claim. What length of time does he have to respond to the inquiry?
Correct Ans - 21 calendar days
,Comparative negligence is determined through Correct Ans -
Investigation & AnalysisAgreement between parties or by mediation or
arbitrationJudge and/or jury
During what period of time must an adjuster reply to communication from a
policyholder on a claim? Correct Ans - 14 days
Which of the following is NOT a goal in the adjusting process? Correct Ans
- always pay the maximum limit of the policy
An adjuster offered a claimant a settlement where the full payment would be
presented and a release was signed. This is called a: Correct Ans - A
Full Release settlement
Adjuster Jane moved from one city in Florida to another. What length of time
does she have to notify the Insurance Department of the address change?
Correct Ans - 30 Days
Which of the following is TRUE? Correct Ans - If an appointment is
terminated, an adjuster has 48 months to secure another appointment
Bad Faith & Adjusting Practices - Under the Florida Unfair Trade Practices Act
& the Unfair Methods of Competition and Unfair or Deceptive Acts, all of the
following are prohibited, EXCEPT: Correct Ans - Adjuster keeps
accurate records on a claim
Florida's Administrative Code contains a Code of Ethics for Adjuster - which of
the following is FALSE? Correct Ans - An Adjuster owes fair and
prompt treatment to their own company's policyholders only
Which of the following is a duty owed to an invitee? Correct Ans - land
owner must make reasonable efforts to maintain property in safe condition
What is the difference between liability and coverage? Correct Ans -
liability is a legal doctrine and coverage is a contractual obligation
Which of the following is NOT one of the fiduciary responsibilities of an
adjuster? Correct Ans - Withhold pertinent information from the
company to please a client
, Which of the following is NOT one of the duties of the Florida Department of
Financial Services? Correct Ans - The Department writes policies for
the non-standard insurance companies.
Continuing education requirements to maintain a Customer representative
license are: Correct Ans - 24 hours every two years.
When an insurance licensee ends his appointment with an authorized
company in Florida, he has how long to secure another appointment?
Correct Ans - 48 months
When an insurance licensee moves, he has how long to notify the Florida Dept.
of Financial Services of his change of address? Correct Ans - 30 Days
Activities that may result in license suspension or revocation include:
Correct Ans - Using discriminatory practices Making false entries on an
insurance application Defaming another agent or company
Activities that may result in license suspension or revocation include:
Correct Ans - Lacking reasonable knowledge & technical competence
Misappropriation of funds Failure to notify the Dept. of Insurance in writing
within 30 days after pleading guilty to a felony
All of the following are true concerning Joint Underwriting Associations
EXCEPT : Correct Ans - It is not possible to purchase a Homeowners or
Dwelling Policy from Citizens
John wrote a policy through the Florida Automobile Joint Underwriting
Association, and the company issued the policy. What is the company issuing
the policy called ? Correct Ans - A servicing carrier
The business auto policy has flexibility to meet the needs of various
commercial enterprises. It is used to cover vehicles NOT covered by the
Personal Auto Policy. Which the following vehicle would NOT be insured with
a business auto policy: Correct Ans - Autos used for business related
purposes on a regular basis.Autos weighing 12,000 lbs. gross vehicle
weight.Autos titled in the name of a corporation or other business interest.
Complete & Correct Solutions
Which of the following is NOT one of the duties of the Department of Financial
Services?
b. Dept does NOT set rates nor write policies Correct Ans - Set rates
and write policies for various company products
The adjuster has a particular relationship to his principal, the insurer. Which
of the following best describes this relationship? Correct Ans - It is a
fiduciary relationship.
The Claims Adjuster's role in the insurance industry includes all the following
EXCEPT: Correct Ans - Gives appropriate legal advice and writes
binding contracts
All of the following activities are illegal for an adjuster, EXCEPT: Correct
Ans - Use only company forms to prepare releases
All of the following are part of the conditions imposed upon the insured in the
event of a loss, EXCEPT: Correct Ans - Insured should negotiate on
behalf of the company for 3rd party claimants.
A claimant was given a settlement, which stipulated, that if the claimant did
not contact the company within a certain period of time, the claim would
automatically close. No release was signed. Which of the following best
describes this method of settlement? Correct Ans - No release or walk-
away
The Continuing Education requirement to maintain an Adjuster license in
Florida is: Correct Ans - Twenty four hours every two years.
An adjuster received written notice from the Department of Financial Services
regarding a claim. What length of time does he have to respond to the inquiry?
Correct Ans - 21 calendar days
,Comparative negligence is determined through Correct Ans -
Investigation & AnalysisAgreement between parties or by mediation or
arbitrationJudge and/or jury
During what period of time must an adjuster reply to communication from a
policyholder on a claim? Correct Ans - 14 days
Which of the following is NOT a goal in the adjusting process? Correct Ans
- always pay the maximum limit of the policy
An adjuster offered a claimant a settlement where the full payment would be
presented and a release was signed. This is called a: Correct Ans - A
Full Release settlement
Adjuster Jane moved from one city in Florida to another. What length of time
does she have to notify the Insurance Department of the address change?
Correct Ans - 30 Days
Which of the following is TRUE? Correct Ans - If an appointment is
terminated, an adjuster has 48 months to secure another appointment
Bad Faith & Adjusting Practices - Under the Florida Unfair Trade Practices Act
& the Unfair Methods of Competition and Unfair or Deceptive Acts, all of the
following are prohibited, EXCEPT: Correct Ans - Adjuster keeps
accurate records on a claim
Florida's Administrative Code contains a Code of Ethics for Adjuster - which of
the following is FALSE? Correct Ans - An Adjuster owes fair and
prompt treatment to their own company's policyholders only
Which of the following is a duty owed to an invitee? Correct Ans - land
owner must make reasonable efforts to maintain property in safe condition
What is the difference between liability and coverage? Correct Ans -
liability is a legal doctrine and coverage is a contractual obligation
Which of the following is NOT one of the fiduciary responsibilities of an
adjuster? Correct Ans - Withhold pertinent information from the
company to please a client
, Which of the following is NOT one of the duties of the Florida Department of
Financial Services? Correct Ans - The Department writes policies for
the non-standard insurance companies.
Continuing education requirements to maintain a Customer representative
license are: Correct Ans - 24 hours every two years.
When an insurance licensee ends his appointment with an authorized
company in Florida, he has how long to secure another appointment?
Correct Ans - 48 months
When an insurance licensee moves, he has how long to notify the Florida Dept.
of Financial Services of his change of address? Correct Ans - 30 Days
Activities that may result in license suspension or revocation include:
Correct Ans - Using discriminatory practices Making false entries on an
insurance application Defaming another agent or company
Activities that may result in license suspension or revocation include:
Correct Ans - Lacking reasonable knowledge & technical competence
Misappropriation of funds Failure to notify the Dept. of Insurance in writing
within 30 days after pleading guilty to a felony
All of the following are true concerning Joint Underwriting Associations
EXCEPT : Correct Ans - It is not possible to purchase a Homeowners or
Dwelling Policy from Citizens
John wrote a policy through the Florida Automobile Joint Underwriting
Association, and the company issued the policy. What is the company issuing
the policy called ? Correct Ans - A servicing carrier
The business auto policy has flexibility to meet the needs of various
commercial enterprises. It is used to cover vehicles NOT covered by the
Personal Auto Policy. Which the following vehicle would NOT be insured with
a business auto policy: Correct Ans - Autos used for business related
purposes on a regular basis.Autos weighing 12,000 lbs. gross vehicle
weight.Autos titled in the name of a corporation or other business interest.
