Property and Casualty Insurance Producer Exam
Unfair practices (FL): practice questions
Our Property & Casualty Insurance bank has 11 questions on this topic. Here are 5 of them with answers; the full mock exam draws from every topic, like the real one.
Question 1 · Florida
Failing to explain in writing the policy basis for a claim denial or a compromise offer is, under Florida law:
- Optional for the insurer if the claim is small
- An unfair claim settlement practice
- Required only for auto claims
- A matter for the courts only
Show the answer
B. An unfair claim settlement practice — Fla. Stat. 626.9541(1)(i)3.f.: failing to promptly provide a reasonable written explanation of the basis for denial or a compromise offer.
Question 2 · Florida
Under Florida law, an insurer or agent may give, for advertising, merchandise worth no more than:
- $25
- $10
- $50
- $100
Show the answer
A. $25 — Fla. Stat. 626.9541(1)(m): giving articles of merchandise having a value of not more than $25 for advertising is not an unlawful inducement.
Question 3 · Florida
In Florida's complaint-record rule, a 'complaint' means:
- Any phone call to the insurer about a claim or policy
- Only lawsuits
- Only complaints filed with the state
- Any written communication primarily expressing a grievance
Show the answer
D. Any written communication primarily expressing a grievance — Fla. Stat. 626.9541(1)(j): 'complaint' means any written communication primarily expressing a grievance.
Question 4 · Florida
Under Florida's unfair claim practices law, an insurer that changes an adjuster's report in a way that lowers the estimate must:
- Explain why in detail and list every change and who ordered it
- Destroy the earlier version
- Notify the police
- Get the agent's signature on the revised report before sending it
Show the answer
A. Explain why in detail and list every change and who ordered it — Fla. Stat. 626.9541(1)(i)3.j.: altering a report without a detailed explanation and a list of all changes and who ordered them is an unfair practice.
Question 5 · Florida
On written request of the insured, a Florida insurer must affirm or deny coverage (or say the claim is being investigated) within how many days after proof-of-loss statements are completed?
- 30 days
- 10 days
- 45 days
- 90 days
Show the answer
A. 30 days — Fla. Stat. 626.9541(1)(i)3.e: failing to affirm or deny coverage, or provide a written statement that the claim is being investigated, within 30 days after proof-of-loss statements are completed.
More Property & Casualty Insurance topics
- Property policies
- Policy provisions and contract law
- Insurance terms and concepts
- Casualty policies and bonds
- Licensing (CA)
- Policies and cancellation (CA)
- Auto (CA)
- Claims (CA)
- Licensing (TX)
- Claims (TX)
- Policies and cancellation (TX)
- Residual markets and guaranty (TX)
- Claims (FL)
- Policies and cancellation (FL)
- Auto and PIP (FL)
- Licensing (NY)
- Unfair practices (NY)
- Claims (NY)
- Auto and no-fault (NY)
- Policies and cancellation (NY)