Florida Certified Adjuster Pre-Licensing
Edward is a member of the Knights of Columbus, a religious group
dedicated service
voluntary to to the benefit of society. He also recently purchased a
$100,000 life
insurance policy from the organization. This was possible because the
Knights of is: correct answers a fraternal benefit
Columbus
society
Jason's auto policy states that the insurer may cancel coverage if a
premium
than is more
30 days late. However, Jason is currently more than 30 days late, and
has been
five timesso in the last year, and his insurer has done nothing about it. When
Jasonangets
into accident and files a claim, which of the following is most likely
to happen?
correct answers The insurer will pay the claim because of the implied waiver
they have
made by not cancelling Jason's policy the previous times he was late with his
payments
Jared hopes to purchase a new insurance policy for his car, but he has an
extremely
poor driving record. The insurance company decides to issue Jared an
insurance
but charges policy,
him a premium much higher than the average driver. The
insurance
company is practicing: correct answers risk
reduction
Which of the following is NOT a characteristic of insurance contracts?
(aleatory,
conditional, unilateral, universal) correct answers
universal
A few weeks ago Christopher's garage was destroyed by an out-of-control
motorist.
Fortunately, the motorist had sufficient liability insurance to cover the
damages.
However, the insurer insists that Christopher's garage is worth far
less than the
appraisals he has received from contractors. Christopher and the insurer
have and
back goneforth in negotiations for weeks, making little headway. Christopher
decides
time to: it's
correct answers issue a complaint against the
policyholder
A reciprocal insurer is: correct answers an unincorporated organization of
subscribers
that operates through an attorney-in-fact to provide insurance benefits for its
members.
Bob has been in the construction business a long time and is ready to
retire.
the He sellsto his friend Scott and then lets the insurer know that any
company
claims
his against
policy should be paid to Scott from now on. The insurer informs Bob that
they
do cannot
this due to which condition? correct answers
assignment
Cindy and her insurer cannot reach an agreement for her property claim, and
have gone
back and forth for weeks without coming within $10,000 of each other. At
this point,
since both believe they are offering a fair settlement, a third party is
needed to help
facilitate the negotiation. Both parties still want to retain their ability to
"walk-away" if
,they cannot reach an agreement. What is the next best step for Cindy and
her insurer?
correct answers
mediation
How is the power to bind transferred to an adjuster? correct answers it is
transferred
through a written
contract
Which of the following statements best describes a part of the appraisal
process?
A. The claimant and the insurer each select an appraiser, and those two
select an
umpir
e.
B. All parties must agree to the final amount in order for it to
be Abinding.
C. neutral third party, called the appraiser, plays an advisory role to help
the disputing
parties come to a
settlement.
D. The opposing parties submit their evidence to the appraiser, who makes
a final and
binding decision. correct answers A. The claimant and the insurer each
select an and those two select an
appraiser,
umpire.
Bob's home was severely damaged by a thunderstorm and he claims it will 0
cost
to $74,00
repair. His insurer has investigated the claim, found the repairs could
be done for
$49,000, and has offered Bob this amount of indemnification. Negotiation
between
and Bob seems to be failing. Due to the unpredictability of the result,
his insurer
which of the
following options should be avoided by the insurer if
possible?
A.
Appraisal
B.
Mediation
C.
Litigation
D. Arbitration correct answers C.
Litigation
In appraisal, who chooses the
umpire?
A. The
claimant
B. The two
appraisers
C. The insurance
company
D. The adjuster correct answers B. The two
appraisers
Adjuster Andy is trying to determine a final settlement amount for Stacy's
claim. was
house Stacy's
destroyed in a fire and it will cost $185,000 to rebuild it. Stacy's
homeowners
policy has a limit of $178,000 and a $1,800 deductible. Typically, how
much would
Adjuster Andy calculate Stacy's final settlement amount to be?
correct answers
$178,000 (because the cost of repairs is more than the policy limit, the final
settlement
amount is the full policy limit ($178,000) and the deductible is absorbed into
thethe
of amount
loss that exceeds the
limit.
Which of the following statements is NOT true of an insurance
adjuster?
, A. An insurance adjuster must always use reasonable judgement for both
the insurer
and the
claimant.
B. An insurance adjuster is an
agent.
C. An insurance adjuster who settles claims on behalf of an insurer has the
power
bind to insurer, even if she makes a
that
mistake.
D. An insurance adjuster receives her authority to sell products on behalf of
the insurer
through a written contract. correct answers D. An insurance adjuster
receives her
authority to sell products on behalf of the insurer through a
written contract.
After a loss covered under a dwelling policy, Ordinance or Law coverage
pays for:
A. confiscation of property by the
government.
B. increased repair costs due to laws or
codes.
C. any change that decreases the value of the
property.
D. remediation of pollutants. correct answers B. increased repair costs due
to laws or
codes
.
Coverage C - Personal Property of a homeowners policy typically
excludes:
A.
furniture.
B.
fish.
C.
dishes.
D. blanket coverage of personal property. correct
answers B. fish
Stu has a collection of rare comic books. He wants to purchase theft
insurance for
collection, his
separate from his home and other property. What term most
accurately
describes the type of policy Stu would
purchase?
A. Valuable Papers
Policy
B. Actual Cash Value
C. Standard Fire
Policy
Policy
D. Monoline Policy correct answers D. Monoline
Policy
Strong winds have torn a hole in Janet's roof. On top of that, heavy rain is
expected
her area ininthe next few days. Figuring it would simply be too much effort
to putthe
over a tarp
hole in her roof, Janet elects to do nothing. The rains come and
destroy
of her possessions
several inside her home. Janet files a claim with her insurer for
the it
but losses,
comes back denied. This is
because:
A. Homeowners insurance covers personal property at an actual cash
value, and
personal her were worth nothing after they were
items
destroyed.
B. Storm damage is not covered under a standard
homeowner's
C. Janet failed policy.
to make a reasonable effort to protect the property
from further
damage
s.
