Florida Claims Adjuster Exam Questions
With All Correct Answer Graded A+
Severability - Answer-Insurance applies separately to each insured as if other insureds
did not exist.
/.Abandonment - Answer-Property insurance policies usually contain a(n) __________
clause, *stating the insured cannot dump damaged property on the insurer and demand
its full value.*
/.Insurable Interest - Answer-One wherein economic loss would be suffered from an
adverse happening to the subject.
/.Liberalization - Answer-States that if the insurer adopts a revision which would
broaden coverage without additional premium within some period of time prior to the
policy period or during the policy period, the insured receives the benefit of such
broadened coverage..
/.Doctrine of Proximate Cause - Answer-States that when there is an unbroken
connection between an occurrence and damage that grows out of the occurrence, then
the resultant damage is all a part of the occurrence.
/.Actual Cash Value - Answer-The Loss Settlement Valuation that subtracts an
allowance for depreciation
/.Warranty - Answer-A policy condition, either based on information in the insured's
application or inserted by the insurer
/.Conditional Contract - Answer-The Insurer's responsibility to pay for a property loss
may be conditioned on the insured having used reasonable means to avoid the loss, to
protect the property against further loss, and to give the insurer proof of the loss is
defined as?
/.Under Mechanical Breakdown Coverage, *new cars are eligible for service up to:* -
Answer-36 Months/36,000 Miles
Used vehicles: 12 Months/12,000 Miles
/.If financial responsibility doesn't exist at the time of an accident, what happens? -
Answer-The legally valid claims of others must be satisfied (10/20/10)
The owner and operator must provide certification of future responsibility for future
accidents
,/.As to required proof for future accidents by purchase of auto liability insurance, the
insurer must make a filing (Form SR-22) certifying that coverage is in effect, and this
certification must remain on file for __________ years - Answer-3
/.The Business Automobile Policy includes all of the following coverage forms except: -
Answer-The Trailer Interchange Coverage Form
/.Personal Injury Protection, or PIP, has a __________ per person, per accident limit. -
Answer-10,000
/.Used to insure businesses engaged in selling, servicing, repairing, parking or storing
automobiles: - Answer-Garage Coverage Form
/.The following examples are referred to as __________ liability limits: 25/50/25 or
10/20/10. - Answer-Split
10/20/10 =
10,000 per person injured
20,000 all injuries combined
10,000 property damage
Example of straight liability limit = $30,000
/.Jeremy has a not at fault accident. If he has PIP with a $1,000 deductible, how much
can he expect his PIP coverage to pay toward his medical bills that total $3,000? -
Answer-$1,600
3000 (bills) - 1000 (deductible) =
2000 x .80 (eighty percent)
/.Frank has a not-at-fault accident, he has basic PIP, no deductible and Med pay of
$5,000. How much will his Med Pay contribute to medical bills of $15,000? - Answer-
$5,000
Medical Payment limits apply per person; Frank will receive full amount towards medical
bills.
/.Which of the following is not one of the rating factors for a Homeowner's Policy? -
Answer-Age & Gender of Insured
/.On a Homeowner's Policy, covers items that are not permanently attached to the
dwelling. This is defined as: - Answer-Other Structures
Examples include sheds, fences, pool houses, detached car ports, etc.
/.A lender has an insurable interest in a home and finds protection in the: - Answer-
Mortgagee Clause
, Mortgagee - Homeowner's policy
Loss Payee - Automobile policy
/.Which of the following forms is "all-risk" on the dwelling policy? - Answer-DP-3, or the
Special Form
/.When the basic liability limits provided by the policy are insufficient for an insureds
needs, two coverage forms are used to provide the additional amounts of coverage:
A. Excess Liability
B. Umbrella
C. Both A & B
D. None of the Above - Answer-Both A & B
/.Which of the following is not covered under Coverage C, Personal Property?
A. A fire breaks out in the residence and an overnight guest loses his clothes in the fire
B. A fish dies because he has been left alone for a week without food
C. The insureds daughters tennis racket is stolen from her locker
D. The insureds suitcase and clothing, valued at $1,500, are stolen from his hotel -
Answer-B. A fish dies because he has been left alone for a week without food
Animals are listed as an "exclusion" under a Homeowner's policy.
/.All of the following are eligible for a Homeowner's Policy, except?
A. An apartment tenant
B. A condominium owner
C. Four-family dwelling owner-occupant
D. A business condo owned by a local insurance company - Answer-D. A business
condo owned by a local insurance company
Commercial property is not eligible for a Homeowner's policy.
/.Which of the following are characteristics of Homeowner's Insurance?
A. Protects against economic loss to residences and household property and legal
liabilities
B. Owner-occupants of 1-4 family dwellings
C. Renters who maintain residential occupancy in any type of building
D. All of the Above - Answer-D. All of the Above
Also included: personal, non-business risk, no more than 2 roomers/boarders,
condominium unit owners and cooperative apartment occupants
