Property And Casualty Insurance License Study Guide 2026

Under the concurrent causation doctrine, if a covered peril and an excluded peril combine to cause a loss, the entire loss may be covered because a covered cause was a contributing factor.

UM coverage compensates the insured for bodily injuries caused by a driver who carries no liability insurance or by a hit-and-run driver.

A public adjuster represents the policyholder — not the insurer — in preparing, filing, and negotiating property insurance claims, typically charging a percentage of the settlement.

The insuring agreement is the core of the policy where the insurer promises to pay for covered losses in exchange for the premium.

An umbrella policy sits above primary liability policies, paying claims that exceed underlying limits and sometimes covering gaps left by underlying policies.

Insurance policies are contracts of adhesion because the insurer prepares standardized terms that the insured must accept or reject without negotiation.