Florida Certified Adjuster Pre-Licensing
2025/2026 Exam Questions with 100%
Correct Answers | Latest Update
Edward is a member of the Knights of Columbus, a religious group
dedicated to voluntary service 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 Columbus is: - 🧠 ANSWER ✔✔a fraternal
benefit society
Jason's auto policy states that the insurer may cancel coverage if a
premium is more than 30 days late. However, Jason is currently more than
30 days late, and has been so five times in the last year, and his insurer
has done nothing about it. When Jason gets into an accident and files a
claim, which of the following is most likely to happen? - 🧠 ANSWER ✔✔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
1
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,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 policy, but charges him a premium much higher than
the average driver. The insurance company is practicing: - 🧠 ANSWER
✔✔risk reduction
Which of the following is NOT a characteristic of insurance contracts?
(aleatory, conditional, unilateral, universal) - 🧠 ANSWER ✔✔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 gone back and forth in negotiations for
weeks, making little headway. Christopher decides it's time to: - 🧠
ANSWER ✔✔issue a complaint against the policyholder
A reciprocal insurer is: - 🧠 ANSWER ✔✔an unincorporated organization of
subscribers that operates through an attorney-in-fact to provide insurance
benefits for its members.
2
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Bob has been in the construction business a long time and is ready to
retire. He sells the company to his friend Scott and then lets the insurer
know that any claims against his policy should be paid to Scott from now
on. The insurer informs Bob that they cannot do this due to which
condition? - 🧠 ANSWER ✔✔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? - 🧠
ANSWER ✔✔mediation
How is the power to bind transferred to an adjuster? - 🧠 ANSWER ✔✔it is
transferred through a written contract
Which of the following statements best describes a part of the appraisal
process?
3
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, A. The claimant and the insurer each select an appraiser, and those two
select an umpire.
B. All parties must agree to the final amount in order for it to be binding.
C. A 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. - 🧠 ANSWER ✔✔A. The claimant and the
insurer each select an appraiser, and those two select an umpire.
Bob's home was severely damaged by a thunderstorm and he claims it will
cost $74,000 to 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 Bob and his insurer seems to be
failing. Due to the unpredictability of the result, which of the following
options should be avoided by the insurer if possible?
A. Appraisal
B. Mediation
C. Litigation
4
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
2025/2026 Exam Questions with 100%
Correct Answers | Latest Update
Edward is a member of the Knights of Columbus, a religious group
dedicated to voluntary service 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 Columbus is: - 🧠 ANSWER ✔✔a fraternal
benefit society
Jason's auto policy states that the insurer may cancel coverage if a
premium is more than 30 days late. However, Jason is currently more than
30 days late, and has been so five times in the last year, and his insurer
has done nothing about it. When Jason gets into an accident and files a
claim, which of the following is most likely to happen? - 🧠 ANSWER ✔✔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
1
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,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 policy, but charges him a premium much higher than
the average driver. The insurance company is practicing: - 🧠 ANSWER
✔✔risk reduction
Which of the following is NOT a characteristic of insurance contracts?
(aleatory, conditional, unilateral, universal) - 🧠 ANSWER ✔✔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 gone back and forth in negotiations for
weeks, making little headway. Christopher decides it's time to: - 🧠
ANSWER ✔✔issue a complaint against the policyholder
A reciprocal insurer is: - 🧠 ANSWER ✔✔an unincorporated organization of
subscribers that operates through an attorney-in-fact to provide insurance
benefits for its members.
2
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Bob has been in the construction business a long time and is ready to
retire. He sells the company to his friend Scott and then lets the insurer
know that any claims against his policy should be paid to Scott from now
on. The insurer informs Bob that they cannot do this due to which
condition? - 🧠 ANSWER ✔✔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? - 🧠
ANSWER ✔✔mediation
How is the power to bind transferred to an adjuster? - 🧠 ANSWER ✔✔it is
transferred through a written contract
Which of the following statements best describes a part of the appraisal
process?
3
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, A. The claimant and the insurer each select an appraiser, and those two
select an umpire.
B. All parties must agree to the final amount in order for it to be binding.
C. A 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. - 🧠 ANSWER ✔✔A. The claimant and the
insurer each select an appraiser, and those two select an umpire.
Bob's home was severely damaged by a thunderstorm and he claims it will
cost $74,000 to 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 Bob and his insurer seems to be
failing. Due to the unpredictability of the result, which of the following
options should be avoided by the insurer if possible?
A. Appraisal
B. Mediation
C. Litigation
4
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
