HAWAII ADJUSTER EXAM 500 QUESTIONS &
CORRECT ANSWERS LATEST 2025
Which of the following statements is NOT TRUE regarding the "Extended Period of
Indemnity" option of the Business Income form? - ANSWER-The coverage applies
for 120 days following the period of restoration
When a Hawaii employee sustains an injury requiring medical treatment beyond
first aid, how long does the employer have to report the accident to the Director
of Labor and Industry relations? - ANSWER-7 working days
After paying a claim an insurance company may have the right to pursue legal
action against the negligent party. This is known as: - ANSWER-Subrogation
What coverage under the BOP automatically applies if a customer slips and falls
on the named insured's premises, regardless of legal liability? - ANSWER-Medical
expense coverage
All of the following are examples of unfair claim practices, EXCEPT: - ANSWER-
Making claim payments and stating the coverage under which payment is made
What is the bond requirement for a Surplus Lines broker license in Hawaii? -
ANSWER-$100,000.
,Which of the following would be covered under the personal property (contents)
coverage of an NFIP policy? - ANSWER-The insured's riding lawn mower kept
inside an attached garage..
The BOP has limitations on the square footage in regard to eligible retail and
service risks. What is the maximum square footage a building can contain and still
be eligible for the policy? - ANSWER-35,000 square feet
What is the purpose of the Hawaii Property Insurance Association? - ANSWER-To
assure the availability of basic property insurance.
The NAIC Model Unfair Claim Settlement Practices Act specifies that the insurance
company must provide the proper claim forms with a reasonable explanation of
how to use them to the claimant within: - ANSWER-15 calendar days of the
request
If an agent offers an inducement to a perspective client in an attempt to write his
or her insurance, this is called: - ANSWER-Rebating.
St. Michael's Church is having their annual rigatoni dinner. Mary is volunteering to
serve the guests. Which of the following situations would be covered by the CGL
for the church? - ANSWER-Mary spills hot coffee on a guest
Bill may be negligent if he: - ANSWER-Fails to do what a reasonably prudent
person would do in the same circumstance
Assume a Hawaii employee is injured in the course of work, and the employer
later receives a report from the treating physician indicating that the employee is
a candidate for vocational rehabilitation. In this instance, how many days from
,the date of injury must the employer provide information to the employee
regarding his or her rights to vocational rehabilitation benefits? - ANSWER-120
days
The MCS-90 endorsement provides coverage for all of the following, EXCEPT: -
ANSWER-Personal injury
No radio or television broadcast, nor published written communication in Hawaii
may: - ANSWER-Advertise for any insurer that is not authorized to transact
insurance in Hawaii
Which of the following is considered an Unfair Claim Settlement Practice? -
ANSWER-Requiring a claimant to submit a preliminary claim report before moving
forward on the claim
The Earthquake Endorsement to a Homeowners policy will provide coverage to
the dwelling and/or personal property with the deductible stated as: - ANSWER-
5% of the limit that applies to all Section I coverages
Personal Excess Liability policies provide coverage for all of the following, EXCEPT:
- ANSWER-Damage to an insured's property due to fire.
Under the Equipment Breakdown Protection form that covers boilers and
machinery, what is considered to be one loss event? - ANSWER-The initial
breakdown that causes other breakdowns
Commercial inland marine policies require the insured to submit a signed, sworn
statement of loss: - ANSWER-Within 60 days of the insurer requesting it
, An insured purchases several different insurance policies that provide coverage in
an amount that would allow him to make a profit from a covered loss. This is
known as: - ANSWER-Overinsurance
All of the following are situations where a Commercial Umbrella policy would be
triggered to provide coverage, EXCEPT: - ANSWER-The underlying liability policy
limits are sufficient to pay the entire claim
A claim is brought against the named insured under a CGL policy. Before
settlement is made the insured files for bankruptcy. This action: - ANSWER-Does
not relieve the insurance company from paying the claim
When the Hawaii Commissioner deems that current rates may be excessive and
mandates that insurers submit new rate filings, when must the new filings be
submitted? - ANSWER-Within 120 days of the mandate
Which of the following best describes how the peril of "theft" is covered under
the 1943 New York Standard Fire policy? - ANSWER-Theft is a covered peril under
the removal coverage
In situations where the insured and the insurer could disagree on the value of an
item, it would be best to insure that item on a(n) __________ basis - ANSWER-
Agreed Value
Gottfried, an insurance agent, has posted information online in an forum for
insurance professionals. This information stated that Greta's insurance agency has
been engaging in rebating and her appointing insurer is about to file for
bankruptcy. Gottfried knows this information is untrue, but he is angry that some
CORRECT ANSWERS LATEST 2025
Which of the following statements is NOT TRUE regarding the "Extended Period of
Indemnity" option of the Business Income form? - ANSWER-The coverage applies
for 120 days following the period of restoration
When a Hawaii employee sustains an injury requiring medical treatment beyond
first aid, how long does the employer have to report the accident to the Director
of Labor and Industry relations? - ANSWER-7 working days
After paying a claim an insurance company may have the right to pursue legal
action against the negligent party. This is known as: - ANSWER-Subrogation
What coverage under the BOP automatically applies if a customer slips and falls
on the named insured's premises, regardless of legal liability? - ANSWER-Medical
expense coverage
All of the following are examples of unfair claim practices, EXCEPT: - ANSWER-
Making claim payments and stating the coverage under which payment is made
What is the bond requirement for a Surplus Lines broker license in Hawaii? -
ANSWER-$100,000.
,Which of the following would be covered under the personal property (contents)
coverage of an NFIP policy? - ANSWER-The insured's riding lawn mower kept
inside an attached garage..
The BOP has limitations on the square footage in regard to eligible retail and
service risks. What is the maximum square footage a building can contain and still
be eligible for the policy? - ANSWER-35,000 square feet
What is the purpose of the Hawaii Property Insurance Association? - ANSWER-To
assure the availability of basic property insurance.
The NAIC Model Unfair Claim Settlement Practices Act specifies that the insurance
company must provide the proper claim forms with a reasonable explanation of
how to use them to the claimant within: - ANSWER-15 calendar days of the
request
If an agent offers an inducement to a perspective client in an attempt to write his
or her insurance, this is called: - ANSWER-Rebating.
St. Michael's Church is having their annual rigatoni dinner. Mary is volunteering to
serve the guests. Which of the following situations would be covered by the CGL
for the church? - ANSWER-Mary spills hot coffee on a guest
Bill may be negligent if he: - ANSWER-Fails to do what a reasonably prudent
person would do in the same circumstance
Assume a Hawaii employee is injured in the course of work, and the employer
later receives a report from the treating physician indicating that the employee is
a candidate for vocational rehabilitation. In this instance, how many days from
,the date of injury must the employer provide information to the employee
regarding his or her rights to vocational rehabilitation benefits? - ANSWER-120
days
The MCS-90 endorsement provides coverage for all of the following, EXCEPT: -
ANSWER-Personal injury
No radio or television broadcast, nor published written communication in Hawaii
may: - ANSWER-Advertise for any insurer that is not authorized to transact
insurance in Hawaii
Which of the following is considered an Unfair Claim Settlement Practice? -
ANSWER-Requiring a claimant to submit a preliminary claim report before moving
forward on the claim
The Earthquake Endorsement to a Homeowners policy will provide coverage to
the dwelling and/or personal property with the deductible stated as: - ANSWER-
5% of the limit that applies to all Section I coverages
Personal Excess Liability policies provide coverage for all of the following, EXCEPT:
- ANSWER-Damage to an insured's property due to fire.
Under the Equipment Breakdown Protection form that covers boilers and
machinery, what is considered to be one loss event? - ANSWER-The initial
breakdown that causes other breakdowns
Commercial inland marine policies require the insured to submit a signed, sworn
statement of loss: - ANSWER-Within 60 days of the insurer requesting it
, An insured purchases several different insurance policies that provide coverage in
an amount that would allow him to make a profit from a covered loss. This is
known as: - ANSWER-Overinsurance
All of the following are situations where a Commercial Umbrella policy would be
triggered to provide coverage, EXCEPT: - ANSWER-The underlying liability policy
limits are sufficient to pay the entire claim
A claim is brought against the named insured under a CGL policy. Before
settlement is made the insured files for bankruptcy. This action: - ANSWER-Does
not relieve the insurance company from paying the claim
When the Hawaii Commissioner deems that current rates may be excessive and
mandates that insurers submit new rate filings, when must the new filings be
submitted? - ANSWER-Within 120 days of the mandate
Which of the following best describes how the peril of "theft" is covered under
the 1943 New York Standard Fire policy? - ANSWER-Theft is a covered peril under
the removal coverage
In situations where the insured and the insurer could disagree on the value of an
item, it would be best to insure that item on a(n) __________ basis - ANSWER-
Agreed Value
Gottfried, an insurance agent, has posted information online in an forum for
insurance professionals. This information stated that Greta's insurance agency has
been engaging in rebating and her appointing insurer is about to file for
bankruptcy. Gottfried knows this information is untrue, but he is angry that some
