Insurnce Adjusting Test

Introduction

Welcome to the Center for Continuing Education's Texas Property/Casualty Adjuster's Pre-Licensing course. This course has been approved by the Texas Department of Insurance to prepare you for the proctored Property/Casualty adjuster licensing exam.

An adjuster is any person who investigates or adjusts losses on behalf of either an insurer or a self-insured, or any person who supervises the handling of claims.

To qualify as an adjuster you need to comply with the statutes and prove that:

* You are at least 18 years of age,

* You are a bona fide resident of Texas or of a state or country that will permit Texas residents to act as insurance adjusters in that state or country,

* You comply with all federal laws pertaining to employment or the transaction of business in the U.S.,

* You are experienced or have special education or training with reference to handling of loss claims under insurance contracts or sufficient duration and extent to make you competent in passing an examination as required by the Commissioner of Insurance.

Adjusters may qualify by completing this course and passing its required final examination.

The 40-hour pre-licensing course is broken down into sections. The course consists of on-line reading assignments with quizzes, a downloadable 10 hour self study reading assignment, plus an on-line proctored 150-question final examination.

The first part is a 30 hour on-line study section covering the course materials required to prepare you for the final examination. There are 116 units with a five-question quiz at the end of each unit. To progress from one unit to the next you must pass the quiz by answering four of the five questions correctly. During the quiz, you can not backup to find the answer in the study materials. When you complete the quiz, the system will show you your answer, the correct answer and an explanation of the correct answer.

You may log out of the course after completing a section. When you return to the course you will be able to start with the next section you need to complete.

Periodically during the course, you will be asked to answer your validation questions. You must answer the validation questions with the exact answer you gave during the enrollment process. If you fail to answer the validation question accurately you will be locked out of the quiz. You will be required to contact the Center for Continuing Education to have the course proceed.

Upon completing the on-line study section, you must download the self-study manual that is to be used in preparing for the final examination. This manual contains all the material you read in the on-line section. You must spend at least 10 hours reading and studying the manual to prepare for the final examination. When you start your final examination you are confirming to the Texas Department of Insurance you have met the necessary self-study hours in preparing for the examination.

The final exam is required to be proctored by a disinterested third-party. A disinterested third-party can be a person who will not personally benefit from you passing this exam.

Examples of a disinterested third-party are:

* Teacher,

* Professor,

* Librarian,

* Courthouse clerk,

* School or college counselor,

* Insurance company training/education representative.

Listed are types of insurance agent, adjuster, or individuals that do not qualify as a disinterested third-party to proctor the final licensing examination:

* Family members or relatives

* Immediate supervisor

* Immediate employee subordinate

Your selected proctor must register with the Center for Continuing Education on the web site at www.cceducation.com. Upon registering, the proctor will be given a code that will unlock the exam. The Proctor will be required to monitor you as you complete the final exam and sign off at the end of the exam. The proctor will be required to print a Proctor Affidavit, sign it, and immediately fax it to the Center for Continuing Education at 512-288-3646.

The examination consists of 150 multiple-choice questions covering all sections of the pre-licensing course. You will be given 180 minutes to complete the exam. Upon completion of the exam, if time allows, you will be allowed to review your answers. The system will immediately grade your exam.

Upon successful completion of the final exam and the receipt of the Proctor Affidavit, the Center for Continuing Education will release your certificate of completion. The certification of completion must be submitted with your adjuster application to the Texas Department of Insurance.

If you fail the first final examination, you may retest a second time at no charge.

You are now ready to start your 40-hour Property/Casualty adjuster pre-licensing course. Go to next section.

Continue

Principles and Concepts

Insurable Interest

A basic rule concerning who can be insured states that before the insured can benefit from insurance, he or she must have a chance of financial loss or have a financial interest in the property. This is called an insurable interest. The insured has an insurable interest in his or her own home, but not his or her neighbor's home.

Underwriting

When the application comes to the insurance company, underwriters review it for its acceptability to the company.

Function

In addition to the application, underwriters may turn to other sources of information to help them evaluate the risk. These include:

* Inspection services

* Government bureaus, such as the Bureau of Motor Vehicles

* Insurance industry bureaus, such as the Automated Property Loss Underwriting System

* Financial information services, such as Standard And Poor's

* Previous insurers

* The company's own claim files