Download New York Auto Adjuster Prep: 25 Questions with Answers and Explanations and more Exams Automobile Engineering in PDF only on Docsity! New York Auto Adjuster prep 25 Q uestions with Answers and Explanations 2023 Medical coverage under a personal auto policy will cover the insured if he/she is injured while: - ✔P️assenger on a bus. EXPLANATION: Personal auto medical coverage is available to the policyholder or a family member (resident relative) injured while occupying, or as a pedestrian, struck by a motor vehicle or trailer designed for use on public roads. It also covers any other persons while they are occupying your motor vehicle. It does not cover injuries sustained while riding in vehicles not intended for use on public roads such as trains, subways and airplanes. Which of the following best describes "no release or walk-away" release? - ✔T️he bills are paid and no attempt to obtain a separate release is made. . EXPLANATION: The bills presented are paid with no attempt to obtain a separate release, although the wording on the draft or check may also serve as a form of release. After a certain amount of time has passed with no further contact with the claimant, the file is considered closed. The minimum coverage required in New York for uninsured motorists bodily injury is: - ✔$️25,000 per person, $50,000 per accident. is correct. EXPLANATION: New York state law established the minimum coverage limits of $25,000 per person, $50,000 per accident and up to $50,000 per person, and $100,000 per accident for death. Richard has been advised by the New York Superintendent of Insurance to cease and desist in the performance of certain infractions of the Insurance Code. He has had a hearing and been issued a cease and desist order. He continues to violate the cease and desist order. He can be fined a penalty of up to: - ✔5️,000 per violation. EXPLANATION: Richard is subject to a penalty of up to $5,000 for each violation. If an insured has more than one auto policy with the same insurer that provides uninsured motorists coverage, which of the following statements about the recovery of benefits is correct? - ✔T️otal recovery is restricted to the highest limits of those coverages. . EXPLANATION: Only the highest limit would apply. In some states, however, stacking of limits is permitted wherein if the insured insures more than one vehicle, the limits can be combined. After receiving an inquiry from the New York Department of Insurance regarding a claim, an insurer must respond within: - ✔1️0 business days A New York licensee subject to an administrative action in another jurisdiction or governmental agency must report such action to the Superintendent within: - ✔3️0 days.. Oliver Dogwood was in an auto accident which destroyed his car. While investigating the accident, Adjuster Doright found that Mr. Dogwood paid $1,000 for the vehicle. After checking with others he found the same vehicle with an asking price of $1,700, a retail price of $2,150 and a dealer price of $1,750. What amount will Mr. Dogwood receive? - ✔M️r. Dogwood will receive $2,150 plus any sales tax. The insured is required to pay retail price plus sales tax. In insurance terms, the party who has been wronged is known as the _____ party, and the person causing the injury is the _____ party. - ✔t️hird / first. EXPLANATION: The third party would be the claimant and the person committing the wrongful act would be the first party. The second party is the insurance company. Bodily injury claims are usually classified as types of damages. Which of the following is considered "exemplary" damages? - ✔P️unitive Damages. EXPLANATION: Punitive damages (also known as exemplary damages) are damages intended to reform or deter the defendant and others from engaging in similar conduct which formed the basis of the lawsuit. An example would be a driver going 120 miles per
