Adjuster Pro 4 40 Exam Questions and
Answers Graded A+
Which of the following BEST describes the insurance provided by residual market
insurance programs? - Correct answer-
Zane's farmhouse was burglarized. The thieves stole his $4,000 sofa, his $3,000
silverware collection, and his $5,000 watch. Under Zane's farm insurance policy,
which has a Coverage A limit of $150,000, how much can he expect to receive in
indemnification for this loss, assuming there are no endorsements and ignoring any
deductibles? - Correct answer-$9,000
Acme Construction is in charge of building a new subdivision in the city, and hires
Jim's Masonry to lay the foundations. As part of the deal, Jim's Masonry is required
to purchase Owners & Contractors Protective Liability to protect Acme
Construction in the event Jim makes a mistake that results in a liability claim. Who
will be listed as the named insured on this policy? - Correct answer-
John has purchased a homeowners insurance policy with a percentage deductible
based on the total limit of insurance for his home. John insures his home for
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,$600,000, and the policy includes a 3% deductible. A huge thunderstorm passes
through one night and blows the roof off his house. The insurance company
estimates that covered damage totals $80,000. How much indemnification should
John expect for the losses to his roof? - Correct answer-$62,000
Which of the following statements regarding health insurance is TRUE? - Correct
answer-To be covered, members of an HMO must receive treatment for their
medical conditions within the established network of healthcare providers.
Which of the following statements best describes the Law of Large Numbers? -
Correct answer-
Which of the following is FALSE about Workers' Compensation insurance? -
Correct answer-
ABC Construction recently won a bid to reconstruct the town park. After a few
months of work, ABC Construction realizes they won't make any money on the
project and walk away, leaving the park half-finished. Luckily, the town had
required ABC Construction to hold a surety bond from Parker Sureties, who can
now step in to finance the completion of the job. Which of the following
statements is TRUE? - Correct answer-
Which of the following refers to being restored to the financial condition you were
in before a loss? - Correct answer-
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, The Valuable Papers and Records floater can cover losses to all of the following,
EXCEPT: - Correct answer-securities.
Which of the following incidents would a liability insurance policy cover? -
Correct answer-
Which of the following highlights a major difference between an insurance
contract and a surety bond? - Correct answer-
Which of the following coverage options does NOT waive the coinsurance
requirement in a commercial property policy? - Correct answer-
The purpose of the principle of indemnity is: - Correct answer-to prevent an
insured from making a profit on a loss.
The open enrollment period for a Medicare Supplement policy starts when a
person turns ____ and enrolls in Medicare, and lasts for ____. - Correct answer-
Which of the following statements is FALSE? - Correct answer-
Which of the following can NOT cover the death of the insured's cow due to a
lightning strike? - Correct answer-
Which building would fall under a General Property Form flood insurance policy?
- Correct answer-
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
Answers Graded A+
Which of the following BEST describes the insurance provided by residual market
insurance programs? - Correct answer-
Zane's farmhouse was burglarized. The thieves stole his $4,000 sofa, his $3,000
silverware collection, and his $5,000 watch. Under Zane's farm insurance policy,
which has a Coverage A limit of $150,000, how much can he expect to receive in
indemnification for this loss, assuming there are no endorsements and ignoring any
deductibles? - Correct answer-$9,000
Acme Construction is in charge of building a new subdivision in the city, and hires
Jim's Masonry to lay the foundations. As part of the deal, Jim's Masonry is required
to purchase Owners & Contractors Protective Liability to protect Acme
Construction in the event Jim makes a mistake that results in a liability claim. Who
will be listed as the named insured on this policy? - Correct answer-
John has purchased a homeowners insurance policy with a percentage deductible
based on the total limit of insurance for his home. John insures his home for
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,$600,000, and the policy includes a 3% deductible. A huge thunderstorm passes
through one night and blows the roof off his house. The insurance company
estimates that covered damage totals $80,000. How much indemnification should
John expect for the losses to his roof? - Correct answer-$62,000
Which of the following statements regarding health insurance is TRUE? - Correct
answer-To be covered, members of an HMO must receive treatment for their
medical conditions within the established network of healthcare providers.
Which of the following statements best describes the Law of Large Numbers? -
Correct answer-
Which of the following is FALSE about Workers' Compensation insurance? -
Correct answer-
ABC Construction recently won a bid to reconstruct the town park. After a few
months of work, ABC Construction realizes they won't make any money on the
project and walk away, leaving the park half-finished. Luckily, the town had
required ABC Construction to hold a surety bond from Parker Sureties, who can
now step in to finance the completion of the job. Which of the following
statements is TRUE? - Correct answer-
Which of the following refers to being restored to the financial condition you were
in before a loss? - Correct answer-
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, The Valuable Papers and Records floater can cover losses to all of the following,
EXCEPT: - Correct answer-securities.
Which of the following incidents would a liability insurance policy cover? -
Correct answer-
Which of the following highlights a major difference between an insurance
contract and a surety bond? - Correct answer-
Which of the following coverage options does NOT waive the coinsurance
requirement in a commercial property policy? - Correct answer-
The purpose of the principle of indemnity is: - Correct answer-to prevent an
insured from making a profit on a loss.
The open enrollment period for a Medicare Supplement policy starts when a
person turns ____ and enrolls in Medicare, and lasts for ____. - Correct answer-
Which of the following statements is FALSE? - Correct answer-
Which of the following can NOT cover the death of the insured's cow due to a
lightning strike? - Correct answer-
Which building would fall under a General Property Form flood insurance policy?
- Correct answer-
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
