Florida General Lines Agent Exam
questions with correct answers
What is the definition of a risk that is insurable?
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a.Risk is defined as a chance or the possibility of financial loss; only pure risks are
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insurable as there is no possibility of a gain
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b.A chance of a loss or gain
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c.A risk where there is a possibility of a gain
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d.A chance for insurance coverage - CORRECT ANSWER✔✔-a
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What is an insurance policy?
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a.A binder that offers initial insurance coverage
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b.An oral agreement related to insurance
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c.A temporary agreement for insurance coverage
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d.A written agreement or contract for insurance coverage - CORRECT
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ANSWER✔✔-d.
What is an insurance binder?
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a.An agreement with an insurer for coverage
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,b.A temporary agreement for insurance coverage subject to the decision of the
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insurer
c.A permanent agreement for insurance coverage
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d.An agreement with an agent - CORRECT ANSWER✔✔-b
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The term casualty is related to all the following insurance lines except?
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a.Life and health insurance
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b.Marine insurance |
c.Insurance on property | |
d.Liability insurance - CORRECT ANSWER✔✔-a
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What is the mathematical concept where the actual results from an event being
| | | | | | | | | | | | |
measured will equal the predicted or expected results as the number of units or
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trials increases? - CORRECT ANSWER✔✔-The concept of The Law of Large
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Numbers.
What insurance principle acts to place an insured in the same or similar financial
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position after a loss as was prior to the loss event?
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a.The indemnity principle
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b.The waiver principle
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c.The principle of utmost good faith
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d.The principle of subrogation - CORRECT ANSWER✔✔-a
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,What type of contract prevents an insured from transferring the interest of an
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insurance policy to another?| | |
a.A personal contract
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b.An indemnity contract
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c.A subrogation contract
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d.A contract of good faith - CORRECT ANSWER✔✔-a
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What type of contract is one where the obligation of the insurer is to perform the
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terms of the contract and is based on the insured satisfying certain conditions?
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a.A binding contract
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b.A personal contract
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c.A conditional contract
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d.An adhesion contract - CORRECT ANSWER✔✔-c
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What type of contract is it that the insured cannot negotiate the terms of the
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contract and must accept the terms specified in the contract?
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a.An indemnity contract
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b.A conditional contract
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c.A contract of adhesion
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d.A personal contract - CORRECT ANSWER✔✔-c
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, What type of interest (financial or legal) in property must an insured have to
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benefit from a loss that is insured?
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a.Insurable interest |
b.An adhesion interest
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c.An indemnity interest
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d.A personal interest - CORRECT ANSWER✔✔-a
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What insurance doctrine states that a cause of a loss and all other directly related
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events flowing from the same cause of the loss would be considered as one
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event?
a.The doctrine of insurable interest
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b.The doctrine of proximate cause
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c.The loss doctrine
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d.The doctrine of classification - CORRECT ANSWER✔✔-b
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John got in an accident that damaged his automobile, what would be considered
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as what type of loss?
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a.Direct loss |
b.Insured loss |
c.Insurable loss |
d.Indirect loss - CORRECT ANSWER✔✔-a
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questions with correct answers
What is the definition of a risk that is insurable?
| | | | | | | | |
a.Risk is defined as a chance or the possibility of financial loss; only pure risks are
| | | | | | | | | | | | | | | |
insurable as there is no possibility of a gain
| | | | | | | |
b.A chance of a loss or gain
| | | | | |
c.A risk where there is a possibility of a gain
| | | | | | | | |
d.A chance for insurance coverage - CORRECT ANSWER✔✔-a
| | | | | | |
What is an insurance policy?
| | | |
a.A binder that offers initial insurance coverage
| | | | | |
b.An oral agreement related to insurance
| | | | |
c.A temporary agreement for insurance coverage
| | | | |
d.A written agreement or contract for insurance coverage - CORRECT
| | | | | | | | | |
ANSWER✔✔-d.
What is an insurance binder?
| | | |
a.An agreement with an insurer for coverage
| | | | | |
,b.A temporary agreement for insurance coverage subject to the decision of the
| | | | | | | | | | | |
insurer
c.A permanent agreement for insurance coverage
| | | | |
d.An agreement with an agent - CORRECT ANSWER✔✔-b
| | | | | | |
The term casualty is related to all the following insurance lines except?
| | | | | | | | | | |
a.Life and health insurance
| | |
b.Marine insurance |
c.Insurance on property | |
d.Liability insurance - CORRECT ANSWER✔✔-a
| | | |
What is the mathematical concept where the actual results from an event being
| | | | | | | | | | | | |
measured will equal the predicted or expected results as the number of units or
| | | | | | | | | | | | | |
trials increases? - CORRECT ANSWER✔✔-The concept of The Law of Large
| | | | | | | | | | |
Numbers.
What insurance principle acts to place an insured in the same or similar financial
| | | | | | | | | | | | | |
position after a loss as was prior to the loss event?
| | | | | | | | | |
a.The indemnity principle
| |
b.The waiver principle
| |
c.The principle of utmost good faith
| | | | |
d.The principle of subrogation - CORRECT ANSWER✔✔-a
| | | | | |
,What type of contract prevents an insured from transferring the interest of an
| | | | | | | | | | | | |
insurance policy to another?| | |
a.A personal contract
| |
b.An indemnity contract
| |
c.A subrogation contract
| |
d.A contract of good faith - CORRECT ANSWER✔✔-a
| | | | | | |
What type of contract is one where the obligation of the insurer is to perform the
| | | | | | | | | | | | | | |
terms of the contract and is based on the insured satisfying certain conditions?
| | | | | | | | | | | | |
a.A binding contract
| |
b.A personal contract
| |
c.A conditional contract
| |
d.An adhesion contract - CORRECT ANSWER✔✔-c
| | | | |
What type of contract is it that the insured cannot negotiate the terms of the
| | | | | | | | | | | | | | |
contract and must accept the terms specified in the contract?
| | | | | | | | |
a.An indemnity contract
| |
b.A conditional contract
| |
c.A contract of adhesion
| | |
d.A personal contract - CORRECT ANSWER✔✔-c
| | | | |
, What type of interest (financial or legal) in property must an insured have to
| | | | | | | | | | | | | |
benefit from a loss that is insured?
| | | | | |
a.Insurable interest |
b.An adhesion interest
| |
c.An indemnity interest
| |
d.A personal interest - CORRECT ANSWER✔✔-a
| | | | |
What insurance doctrine states that a cause of a loss and all other directly related
| | | | | | | | | | | | | |
events flowing from the same cause of the loss would be considered as one
| | | | | | | | | | | | | | |
event?
a.The doctrine of insurable interest
| | | |
b.The doctrine of proximate cause
| | | |
c.The loss doctrine
| |
d.The doctrine of classification - CORRECT ANSWER✔✔-b
| | | | | |
John got in an accident that damaged his automobile, what would be considered
| | | | | | | | | | | | |
as what type of loss?
| | | |
a.Direct loss |
b.Insured loss |
c.Insurable loss |
d.Indirect loss - CORRECT ANSWER✔✔-a
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