Georgia Adjuster Exam 2 Questions With Complete Solutions Which of the following is the most precise synonym for an "authorized" insurer?Insurers who meet the state's financial requirements and are approved to transact business in the state are considered authorized or admitted into the state as a legal insurer. - Correct Answers ✅Admitted All of the following are additional causes of loss included in the broad form of a commercial property policy EXCEPT Broad form causes of loss adds falling objects; weight of ice, snow, or sleet; water damage; collapse; and breakage of glass to those perils covered under the basic causes of loss. - Correct Answers ✅Replacement cost Three years ago, an insured moved to an unfurnished apartment. She bought new furniture that cost $9,000. Last week, there was a fire in the apartment that destroyed the furniture. Replacement cost is $10,500. The adjuster told the insured her furniture depreciated $2,500. If insurance is written on an actual cash value basis, how much will it pay for the loss?When insurance coverage is written on an actual cash value basis, losses paid are for the replacement cost (at the time of loss), minus depreciation. - Correct Answers ✅$8,000 1 / 2
Georgia Adjuster Exam 2 Questions With Complete Solutions When an employee benefit plan pays the premium for a fiduciary liability policy, what provision must be included in that policy?If the premiums are paid from the fund, the policy must allow for subrogation against the individual trustees involved in any loss. - Correct Answers ✅Subrogation The failure to disclose all known facts is called Withholding information that is material to the risk to be insured is concealment and makes a policy voidable. - Correct Answers ✅Concealment Which common policy condition prohibits the insured from changing the rights or duties as defined under the policy to any other person or entity without the written consent of the insurance company?Under the "transfer of rights and duties under the policy" condition, the insured cannot transfer any rights or duties under the policy to any other person or organization without the written consent of the insurance company. - Correct Answers ✅Transfer of rights and duties under the policy
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