Texas All Lines Adjuster Test Questions and Answers
Latest Update 2024
GRADED A+
Texas All Lines Adjuster Test 2024
Measures taken by
... [Show More] an insurance company to ensure that their exposure is not too high and to control the effect of a loss; for example, an insurer might charge higher premiums to drivers who have received speeding tickets. - correct answer ✅Risk Management
A federal agency under the USDA that administers the Federal Crop Insurance Program. - correct answer ✅Risk Management Agency
Groups of people with similar insurance needs who form an organization to buy insurance as a group. - correct answer ✅Risk Purchasing Groups
The deadline for providing the insurer with an acreage report, which is used to determine the amount of coverage needed and the premium charged for a particular crop. - correct answer ✅Acreage Reporting Date
A valuation method used by insurers to reflect an item's current market value right before being damaged or destroyed. Formula: (Replacement cost
- Accumulated Depreciation) - correct answer ✅Actual Cash Value (ACV)
A negotiation method in which the opposing parties each submit their evidence to a mutually-agreed-upon and neutral third party, called an arbitrator. The arbitrator reviews the positions of each opposing side, and makes a final and legally binding decision. - correct answer ✅Arbitration
The mutually-agreed-upon and neutral third party in an arbitration who reviews the positions of each opposing side, and makes a final and legally binding decision. - correct answer ✅Arbitrator
A history of a farmer's crop yields over a multi-year period, which is used to determine the normal production level of a farm. - correct answer ✅Actual Production History
Characteristic of an insurance contract. Means that one party (the insurer) sets the terms, and the other (the policyholder) can "take it or leave it." - correct answer ✅Adhesion
Narrowest (and least expensive) form of Crop Revenue Insurance. Insures farm revenue as a whole instead of individual crops. Guarantees a percentage of the insured farm's average revenue. - correct answer
✅Adjusted Gross Revenue (Crop Insurance)
An agent who, for compensation, processes insurance claims. Can represent either the insured or the insurer. - correct answer ✅Adjuster
Adjusters who are temporarily licensed by the insurance commissioner to handle claims during catastrophes or emergencies that produce an overwhelming number of claims in a short period of time. - correct answer
✅Adjuster - Emergency
Self-employed adjusters who contract with multiple insurers at the same time. Paid on a commission or fee-plus-expenses basis for each claim. Also called: Fee Adjuster, Bureau Adjuster - correct answer ✅Adjuster - Independent
The total decrease in an item's value over a period of time. Formula: (Annual Depreciation x Number of years used) - correct answer ✅Accumulated Depreciation
An adjuster who is hired to represent the claimant and help determine a fair indemnification. Usually specializes in appraisals and negotiation. Paid commission, usually a percentage of final settlement. - correct answer
✅Adjuster - Public
Salaried employee of one insurance company who can work locally, regionally, or nationally. Also called: Company Adjuster - correct answer
✅Adjuster - Staff
A settlement option that lets the insurer offer some financial relief to the claimant before the claim has been fully settled. The insurer makes advance payments to the claimant, which are then subtracted from the final settlement amount. Often used when a claimant suffers bodily injury and is unable to work. - correct answer ✅Advance Payment Settlement
The Agent's authority to act on behalf of someone else, usually an insurer. This authority is derived from the agent's contract with the insurer. - correct answer ✅Agency Authority [Show Less]