TEXAS ALL LINES ADJUSTER TEST EXAM BRAND NEW!! QUESTIONS AND CORRECT DETAILED AND VERIFIED ANSWERS

TEXAS ALL LINES ADJUSTER
TEST EXAM BRAND NEW!!
QUESTIONS AND CORRECT
DETAILED AND VERIFIED
ANSWERS
Accumulated Depreciation - ANS ✔✔✔The total
decrease in an item's value over a period of
time. Formula: (Annual Depreciation x Number
of years used)
Acreage Reporting Date - ANS ✔✔✔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.
Actual Cash Value (ACV) - ANS ✔✔✔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)
Actual Production History - ANS ✔✔✔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.
Adhesion - ANS ✔✔✔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."
Adjusted Gross Revenue (Crop Insurance) -
ANS ✔✔✔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.
Adjuster - ANS ✔✔✔An agent who, for
compensation, processes insurance claims.
Can represent either the insured or the insurer.
Adjuster - Emergency - ANS ✔✔✔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.
Adjuster - Independent - ANS ✔✔✔Selfemployed 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
Adjuster - Public - ANS ✔✔✔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.
Adjuster - Staff - ANS ✔✔✔Salaried employee of
one insurance company who can work locally,
regionally, or nationally. Also called: Company
Adjuster
Advance Payment Settlement - ANS ✔✔✔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.
Agency Authority - ANS ✔✔✔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.
Agency Authority - express - ANS ✔✔✔Authority
that is expressly given to the agent in writing.
Allows agent to act on behalf of the principal.
Agency Authority - implied - ANS ✔✔✔Authority
that an agent possesses by implication of her
behavior, regardless of whether this authority
is granted in writing.