Florida 2-20 General Lines Insurance Questions And Answers Latest Top Score.

Florida 2-20 General Lines Insurance Questions And Answers Latest Top Score. 5 qualifications to become a General Lines agent - correct answer. 1. At least 18 years of age 2. United States citizen or legal alien 3. Bona fide resident of Florida 4. Place of business located in Florida 5. Not licensed for purpose of writing controlled business Department of Financial Services (DFS) - correct answer. 1. Approves issuance of licenses to agents, CR, and adjusters 2. Supervisions of claims 3. Investigate charges of unethical conduct and take judicial actions Office of Insurance Regulation (OIR) - correct answer. 1. Examines the qualifications of the insurance companies doing business in FL 2. Examines the financial conditions of companies 3. Approves forms, rules, and rates Office of Financial Regulation (OFR) - correct answer. 1. Provides regulatory oversight to FL's financial providers 2. Reports to the FL Service Commission FL Surplus Lines Service Office - correct answer. 1. Oversees the surplus lines industry 2. Reviews all surplus lines policies and documents 3. Collects surplus lines and taxes and fees Risk - correct answer. Chance of financial loss Policy - correct answer. Is a written contract for effecting insurance and includes clauses, riders, endorsements, and papers which are apart of the contract Insurance - correct answer. Is a contract where one undertakes to indemnify another or pay a specified amount determined on contingencies Binders - correct answer. Temporary insurance which can be made orally or written. The insurer shall give 5 days' prior notice of cancelling a binder unless the binder is replace by a policy. No notice is required unless the binder exceeds 60 days. Property Insurance - correct answer. Where payment is made directly to the insured or other named interest Liability Insurance - correct answer. Where payment is made on behalf of the insured to another Contract of Adhesion - correct answer. Parties have unequal bargaining power such as the insured cannot negotiate the terms of the insurer. Ambiguities found in the policy are usually found in favor of the insured. Indemnity Contract - correct answer. One party should be put back in the same financial condition they were before the loss. Never profit from a loss. Peril - correct answer. Contingency that may cause a loss Hazard - correct answer. Condition that increases the likelihood of a loss from a covered peril. Physical Hazard - correct answer. Physical Characteristics that increases the probability and severity of loss (i.e. Ice-covered steps) Moral Hazard - correct answer. Intentional Loss (i.e. Intentionally burning down your house to collect insurance payout) Morale Hazard - correct answer. Accident-prone or carelessness (i.e. Insured drives recklessly because that's what insurance is for) Proximate Cause - correct answer. A doctrine that states when there is an unbroken connection between an occurrence and damage that grows out of the occurrence, then the resultant damage is all part of the occurrence. Direct Loss - correct answer. Physical harm to tangible property Indirect Loss - correct answer. Economic loss which flows as a consequence of the direct loss.