All Lines Texas Adjuster
Exam Questions & Answers
Study Guide
What is “express authority” under the law of agency?
Correct Answer:
The authority given to the agent as specified in the contract.
Which of the following factors is the most crucial in distinguishing between an
employee-employer relationship and an independent contractor relationship?
Correct Answer:
Whether the employer controls the manner in which the work is performed
Tori owns a cabin in the Ozark Mountains that she rents to Vincent. Tori has
the cabin covered under a DP-2 policy. One cold evening, Vincent started a
large fire in the cabin’s fireplace and left the room to start dinner in the
kitchen. Vincent didn’t realize that he forgot to open the chimney flue before
starting the fire and by the time he came back into the living room, it was
completely filled with smoke. Vincent immediately opened the doors and
windows to “air-out” the cabin but when the smoke cleared, there was
extensive soot damage to the walls, ceilings and furnishings in the room. Which
of the following statements is true regarding how this claim will be handled?
Correct Answer:
The claim will be paid because the DP-2 extends the peril of “smoke” to cover
smoke damage from a fireplace.<\/p>\n\n\n\n
Most aircraft physical damage (hull) policies are settled on a
Correct Answer:
Insured value basis
Which of the following losses would NOT be covered by an unendorsed
Commercial Property policy with the special cause of loss form attached?
Correct Answer:
Carolyn’s Fine Gifts must shut down for a month to repair flood damage.
Under a standardized NCCI workers’ compensation policy, the insurance
company will pay to the insured, as part of any claim, proceeding, or suit
defended, all of the following expenses
Correct Answer:
Loss of earnings
Joseph Jones purchased a new car stereo system from Dailey’s Auto
Enhancements. Daily’s permanently installed the stereo system in the console
area of the car, where he could access it easier while driving than the typical
area in the dashboard. The cost of the new system, disregarding any
installation costs, was $2,000. One year after installation, Joseph’s car was
broken into and the stereo was stolen. At this point, the ACV of the system had
fallen to $1,700. Disregarding any deductible, how much will Joseph’s policy
pay on this claim?
Correct Answer:
Part D of the Personal Auto policy provides for a limit of $1,000 for electronic
equipment that reproduces, receives or transmits audio, visual or data signals
that is permanently installed in an auto, but not in the location typically used
by the auto manufacturer.<\/p>\n\n\n\n
Indemnify Insurance has been using a specific ISO Homeowners forms for Mr. York had his pickup truck stolen while it was parked in a “no parking” All Lines Texas AdjusterExam Questions & AnswersStudy GuideWhat is “express authority” under the law of agency?Correct Answer:The authority given to the agent as specified in the contract.Which of the following factors is the most crucial in distinguishing between anemployee-employer relationship and an independent contractor relationship?Correct Answer:Whether the employer controls the manner in which the work […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[25],"tags":[],"class_list":["post-120162","post","type-post","status-publish","format-standard","hentry","category-exams-certification"],"_links":{"self":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/120162","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/comments?post=120162"}],"version-history":[{"count":0,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/120162\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/media?parent=120162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/categories?post=120162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/tags?post=120162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
several years in all the states where they are an admitted insurer. Indemnify
Insurance has recently been admitted to an additional state, but the laws of
that state contradict a few of the provisions in the ISO form. How is this
situation likely to be handled?
Correct Answer:
A statutory form will be drawn up and attached to each Homeowners policy
Indemnify Insurance writes in the state.
The information provided by the insured in a proof of loss form is considered
Correct Answer:
A representation
Representation
Correct Answer:
Statements made by the insured that are assumed to be truthful to the best of
the insured’s knowledge.
The NAIC Model Unfair Claim Settlement Practice Act provides for a financial
penalty of _<\/em><\/strong> for each violation of the Act.
Correct Answer:
1,000<\/p>\n\n\n\n
zone outside his office. The value of the truck was $18,500. In addition, tools
valued at $200, extra tires and hubcaps for the truck valued at $550 and a
tarp worth $50 were in the truck. Mr. York has a collision deductible of $500
and a comprehensive deductible of $250. The insurance company will pay what
amount?
Correct Answer:
18,800
The loss of the truck plus the extra tires and hubcaps would be considered in
this claim. These total $19,050 less the deductible of $250 equals $18,800.
Who makes the offer in an insurance contract?
Correct Answer:
Applicant
Underinsured motorist coverage provides first-party protection to an insured
after an accident in which of the following situations?
Correct Answer:
The other driver has insufficient liability limits and is “at-fault”
Structures connected by a fence or utility line are considered to be “other
structures” and would be covered under
Correct Answer:
Coverage B of the under Homeowners forms.<\/p>\n","protected":false},"excerpt":{"rendered":"