Texas All Lines Adjuster Test Questions And Answers Pdf

Liberalization {Ans: The liberalization clause in an insurance contract is a condition that states that the insurer can add or broaden coverage at any time without writing up a new contract. This clause guarantees that, in the case of legislative action that broadens insurance coverage without any increase in premiums, this additional coverage must take effect in existing policies as well as in new policies.}McCarren-Ferguson Act {Ans: 1945 US Law exempting insurance from most federal regulation, and placing it under the authority of the individual states.}Fraud, Hard {Ans: Deliberately faking or causing an incident in order to collect money.}Agency Authority - express {Ans: Authority that is expressly given to the agent in writing. Allows agent to act on behalf of the principal.}Coinsurance {Ans: The Coinsurance Clause applies to policyholders who purchase an inadequate amount of property insurance. These policyholders must pay a percentage of the claim. In health insurance, coinsurance refers to the portion of a covered claim that the insured is responsible for paying out-of-pocket, after the deductible has been paid.}Insurance {Ans: A financial device that transfers the risk of unexpected, catastrophic losses from one party to another.}Adjuster {Ans: An agent who,