GEORGIA ADJUSTER EXAM
QUESTIONS AND ANSWERS 2026
VERIFIED.
Consequential also known as Indirect Loss - ANS An insured's business is damaged because of
a fire and he is forced to close business temporarily for repairs. As a result the insured lost
income. What type of loss is this?
Combined Single - ANS The insured crashes into a porch and the person sitting on the porch.
The person on the porch is injured. The insured's insurance policy has a limit set at $500,000.
This amount applies to the total of damages for any bodily injury and property damage resulting
from one accident. Which type of limit of liability does the insured have? This single dollar limit
of liability applying to the total of damages for bodily injury and property damage combined
resulting from one accident or occurrence
$100,000 - ANS If a liability policy had split limits of 100/300/100, what is the maximum
amount that would be payable in the event of injury to a single person? The first limit shown is
the most the policy will pay for bodily injury to any one person
Absolute - ANS What kind of liability would a person with a swimming pool have?
Any conduct that is inherently dangerous imposes this liability. The claimant does not have to
prove anythhing.
Only to individuals - ANS An agent license can be issued
,A change in the risk that substantially increases the hazard insured against - ANS If a policy
has been in affect for at least 60 days or is due for renewal, a cancellation may only be affected
for this reason
Authorized Insurer - ANS An insurer that holds a Certificate of Authority in the state in which
it transacts business is considered to be
15% - ANS An insured must get advanced warning if the premiums will be increased by more
than
Written notice of an increase in premiums that exceed this amount of the current policy's
premium must be delivered or mailed to the insured at least 45 days before the effective date of
the change
Indemnity - ANS The insurance principle that states if a policy allows for greater
compensation than the financial loss incurred, the insured may only receive benefits for the
amount lost.
Loss - ANS Insurance is a contract by which one seeks to protect another from
Pair and Set Clause - ANS The loss settlement based on the reasonable and fair portion that
the lost or damaged part bears to the total value of the set
In the event of a loss to only part of a pair or set, losses will be settled either by repairing or
replacing the damaged part or by paying the difference between the actual cash value before
and after the loss.
Provides the insurer a method of settling a loss when only a part of the insured pair or set is
damaged. The insurer will pay for the loss or damage to an insured item, plus the amount that
the loss of one item detracts from the value of undamaged item(s) of the pair or set.
Insuring clause, Exclusions, Conditions - ANS The essential parts of an insurance policy
, Conditions - ANS Because an insurance policy is legal contract, it must conform to the state
laws governing contracts which require all the following statements except
Legal purpose, Consideration, Conditions, Offer and Acceptance
Beneficiary's consent - ANS An insurance contract must contain all of the following to be
considered legally binding EXCEPT
Offer and Acceptance, Consideration, Beneficiary's Consent, Competent Parties
The essential elements of a legal contract are
Offer and Acceptance, Consideration, Competent Parties, Legal Purpose
Consideration - ANS ** Something of value one party gives to another. --The consideration on
the part of the insured is the payment of premium and the representations made in the policy.
** When an insured makes truthful statements on the application for insurance and pays the
required premium, it is known as which of the following?
-Consideration is something of value that each party gives to the other. The consideration on
the part of the insured is the payment of premium and the representations made in the
application.
A specific time (usually 60 days, time may vary) - ANS In the event of a loss covered by the
policy, the named insured is required to submit to the insurer a signed sworn proof of loss
within
Garagekeepers Liability - ANS Physical damage coverage on customers' autos while in care,
custody and control of the garage operation.
QUESTIONS AND ANSWERS 2026
VERIFIED.
Consequential also known as Indirect Loss - ANS An insured's business is damaged because of
a fire and he is forced to close business temporarily for repairs. As a result the insured lost
income. What type of loss is this?
Combined Single - ANS The insured crashes into a porch and the person sitting on the porch.
The person on the porch is injured. The insured's insurance policy has a limit set at $500,000.
This amount applies to the total of damages for any bodily injury and property damage resulting
from one accident. Which type of limit of liability does the insured have? This single dollar limit
of liability applying to the total of damages for bodily injury and property damage combined
resulting from one accident or occurrence
$100,000 - ANS If a liability policy had split limits of 100/300/100, what is the maximum
amount that would be payable in the event of injury to a single person? The first limit shown is
the most the policy will pay for bodily injury to any one person
Absolute - ANS What kind of liability would a person with a swimming pool have?
Any conduct that is inherently dangerous imposes this liability. The claimant does not have to
prove anythhing.
Only to individuals - ANS An agent license can be issued
,A change in the risk that substantially increases the hazard insured against - ANS If a policy
has been in affect for at least 60 days or is due for renewal, a cancellation may only be affected
for this reason
Authorized Insurer - ANS An insurer that holds a Certificate of Authority in the state in which
it transacts business is considered to be
15% - ANS An insured must get advanced warning if the premiums will be increased by more
than
Written notice of an increase in premiums that exceed this amount of the current policy's
premium must be delivered or mailed to the insured at least 45 days before the effective date of
the change
Indemnity - ANS The insurance principle that states if a policy allows for greater
compensation than the financial loss incurred, the insured may only receive benefits for the
amount lost.
Loss - ANS Insurance is a contract by which one seeks to protect another from
Pair and Set Clause - ANS The loss settlement based on the reasonable and fair portion that
the lost or damaged part bears to the total value of the set
In the event of a loss to only part of a pair or set, losses will be settled either by repairing or
replacing the damaged part or by paying the difference between the actual cash value before
and after the loss.
Provides the insurer a method of settling a loss when only a part of the insured pair or set is
damaged. The insurer will pay for the loss or damage to an insured item, plus the amount that
the loss of one item detracts from the value of undamaged item(s) of the pair or set.
Insuring clause, Exclusions, Conditions - ANS The essential parts of an insurance policy
, Conditions - ANS Because an insurance policy is legal contract, it must conform to the state
laws governing contracts which require all the following statements except
Legal purpose, Consideration, Conditions, Offer and Acceptance
Beneficiary's consent - ANS An insurance contract must contain all of the following to be
considered legally binding EXCEPT
Offer and Acceptance, Consideration, Beneficiary's Consent, Competent Parties
The essential elements of a legal contract are
Offer and Acceptance, Consideration, Competent Parties, Legal Purpose
Consideration - ANS ** Something of value one party gives to another. --The consideration on
the part of the insured is the payment of premium and the representations made in the policy.
** When an insured makes truthful statements on the application for insurance and pays the
required premium, it is known as which of the following?
-Consideration is something of value that each party gives to the other. The consideration on
the part of the insured is the payment of premium and the representations made in the
application.
A specific time (usually 60 days, time may vary) - ANS In the event of a loss covered by the
policy, the named insured is required to submit to the insurer a signed sworn proof of loss
within
Garagekeepers Liability - ANS Physical damage coverage on customers' autos while in care,
custody and control of the garage operation.
