Florida Adjusters License Practice Exams: Multiple Choice Questions and Answers, Exams of Nursing

Download Florida Adjusters License Practice Exams: Multiple Choice Questions and Answers and more Exams Nursing in PDF only on Docsity!

FL Adjusters License Practice Exams questions

with correct answers

Which of the following is NOT one of the four critical elements of a contract? (A) A mutual understanding and agreement with the terms of the contract. (B) Written evidence of the agreement and its terms. (C)A legal purpose. (D)Consideration, consisting of money or a promise of performance. CORRECT ANSWER (B) Written evidence of the agreement and its terms. Assume that five years ago a couple insured their home for [its then appraised value of] $60,000. Two weeks ago they had a stove fire resulting in an estimated loss of $15,000 for repairs. The adjuster finds that the value of their home is now $100,000, but the home is still only insured for $60,000 and has a deductible of $500. The policy has an 80% coinsurance clause. How much should the adjuster pay to the couple? (A) $11, (B) $10, (C) $14, (D) $15,000 CORRECT ANSWER (B) $10,

Negligence is described as: (A)Liability imposed by jury verdict. (B) Liability arising from statutorily imposed liability regardless of fault. (C) Fault that arises from doing something you shouldn't have done, or not doing something you should have done. (D) Fault imposed on you because you have a greater ability to pay. CORRECT ANSWER (C) Fault that arises from doing something you shouldn't have done, or not doing something you should have done. Describe the coverage's provided in a split limit policy of 10/20/10. (A) The coverage provides $10,000 in property damage limits, $20,000 in bodily injury for any one individual, and $10,000 for bodily injuries to each additional person injured. (B) The coverage provides $10,000 for bodily injury to one individual, $20,000 for property damage, and $10,000 for bodily injuries to each additional person injured. (C) The coverage provides up to $10,000 of liability protection for bodily injury to any one individual, an aggregate of $20,000 for all bodily injuries regardless of how many individuals, and $10,000 for medical payments coverage for the insured's bodily injury.

(D) The coverage provides up to $10,000 of liability protection for bodily injury to any one individual, an aggregate of $20,000 for all bodily injuries regardless of how many individuals, and $10,000 for property damage. CORRECT ANSWER (D) The coverage provides up to $10,000 of liability protection for bodily injury to any one individual, an aggregate of $20,000 for all bodily injuries regardless of how many individuals, and $10,000 for property damage. A couple has insured their home for $150,000. A fire ensues and guts their home, resulting in a total loss. An appraisal of the home prior to loss results in a value of $120,000, yet the adjuster is required by law to pay the couple $150,000. This is known as the application of: (A)The valued policy law. (B) Payment of policy limits plus a penalty for over-insuring the home. (C) Replacement cost value (D) Actual cash value CORRECT ANSWER (A)The valued policy law. Which of the following would not be a preferred claims practice or behavior under Florida's Unfair Insurance Trade Practices Act? (A) Not responding to an insured's calls because you haven't made up your mind yet. (B) Sending a letter to a claimant explaining why you can't pay their claim, or offering a compromise based on specific facts and legal issues.

(C) Contacting a witness the day after receiving the claim and getting additional facts about the accident. (D) Contacting an insured or claimant immediately upon receipt of a claim for property damage or bodily injury. CORRECT ANSWER (A) Not responding to an insured's calls because you haven't made up your mind yet. The doctrine of proximate cause is defined as: (A) The proximity of a loss to an insured location. (B) The physical link between one insured loss and another. (C) The primary reason for an event or accident. (D) If there is an unbroken chain of events, or series of consequences, flowing from the initial loss caused by the insured peril to a subsequent loss, the insured peril causing the initial loss will be considered the "proximate cause" of the subsequent loss. CORRECT ANSWER (D) If there is an unbroken chain of events, or series of consequences, flowing from the initial loss caused by the insured peril to a subsequent loss, the insured peril causing the initial loss will be considered the "proximate cause" of the subsequent loss. Once an adjuster is licensed, he or she must maintain a continuing education requirement. Select from the following an adjuster's compliance requirement in order to stay licensed: (A) A newly licensed adjuster must complete 24 hours of continuing education in every two year compliance period, of which 5 hours must be taken in a properly certified 5 Hour Law & Ethics Update course.

(B) An adjuster has to complete 28 hours of continuing education in every two year compliance requirement in the following categories: 12 Law, 2 Ethics and 14 Optional. (C) An adjuster must complete 30 hours of continuing education on Florida law every two years immediately following licensure. (D) Only independent adjusters are required to take continuing education. Adjusters who work for insurance companies do not. CORRECT ANSWER (A) A newly licensed adjuster must complete 24 hours of continuing education in every two year compliance period, of which 5 hours must be taken in a properly certified 5 Hour Law & Ethics Update course. Which of the following is NOT an example of "compensatory damages": (A) Wages lost by the injured party due to inability to work because of injuries sustained in an accident. (B)Pain and suffering (C) Medical bills for treatment of injuries sustained in an accident. (D) A jury verdict of $1,000,000 against the defendant to punish them for their reprehensible actions in causing the loss. CORRECT ANSWER (D) A jury verdict of $1,000,000 against the defendant to punish them for their reprehensible actions in causing the loss. The basic and primary functions of an adjuster are:

(A) Processing and filing mail. (B) Filing special forms for the insurance company and regulatory bodies. (C) Investigating, managing, evaluating, reporting on, and negotiating and disposing of claims. (D) Making payments and recording claim status claims for property damage, vehicle repairs, damages, medical bills, wage loss and compensation. CORRECT ANSWER (C) Investigating, managing, evaluating, reporting on, and negotiating and disposing of claims. The Adjuster's Code of Ethics starts with a basic premise which states: (A) The work of adjusting engages the public trust. (B) Not attempting in good faith to settle claims when it could and should have done so may subject an adjuster to direct liability for bad faith claims practices. (C) It is important for an adjuster to avoid violations of the Unfair Trade Practices Act. The insurer, on whose behalf the adjuster performs, may be subjected to administrative penalties if the adjuster commits an infraction. (D) Any person who is damaged by certain adjuster practices is granted a right to sue the adjuster. CORRECT ANSWER (A) The work of adjusting engages the public trust.

Which of the following statements is NOT true? (A) If a question of coverage arises and cannot be swiftly resolved in favor of the insured, the carrier should immediately tender the claim to its defense attorney and deny the claim. (B) If a lawsuit is filed and served upon an insured, the insured must immediately tender the lawsuit to the insurer or it may jeopardize the carrier's ability to defend the claim, and the insured's rights to coverage under the policy. (C) A carrier has the right, but not the duty, to settle any claim if it deems reasonable and prudent to do so. (D) Under a liability insurance policy, a carrier's duty to defend is greater than its duty to pay. CORRECT ANSWER (A) If a question of coverage arises and cannot be swiftly resolved in favor of the insured, the carrier should immediately tender the claim to its defense attorney and deny the claim. The fundamental difference in adjusting claims in the healthcare industry and in the property/casualty (i.e. workers' compensation, liability, etc.) industry is: (A) You serve the interests of not just one, but many different employers. (B) The property and casualty industry is much more complex and litigious. (C) The pay is not as good in the healthcare insurance industry. (D) The relative degree of legalism involved. To adjust claims in the property and casualty industry one must have a sound foundation and understanding of various

legal doctrines and issues. CORRECT ANSWER (D) The relative degree of legalism involved. To adjust claims in the property and casualty industry one must have a sound foundation and understanding of various legal doctrines and issues One of the most important claim handling goals of an insurance company is: (A) To avoid underwriting exposures for which payment may be required. (B) To strictly interpret its policies and reduce claim payouts to only what is clearly provided for under the insurance contract. (C) To help those who have been injured, or who have suffered loss for which the insured is responsible, while at the same time minimizing loss for the insured party and carrier. (D) To save money for the insurance company and its stockholders. CORRECT ANSWER (C) To help those who have been injured, or who have suffered loss for which the insured is responsible, while at the same time minimizing loss for the insured party and carrier. A couple has Coverage A limits of $250,000 on their home located in Ft. Lauderdale, FL. They suffer a wind loss to their roof from a tornado spawned by Hurricane Ernesto that results in an estimate of $11,500.00 for repairs. The adjuster deducts the Florida hurricane deductible of $5,000 from the estimate and pays them $6,500 in settlement of their property claim. This is known as the application of: (A) A straight deductible

(B) A percentage deductible (C) A franchise deductible (D) Depreciation CORRECT ANSWER (B) A percentage deductible A claim in the property/casualty industry is defined as: (A) An assertion of an alleged legal right against a person, entity, company or insurer that carries with it a demand for money as compensation for injuries or damage (B) A bill submitted for payment by an insured or claimant (C) An accident involving injury or property damage (D) A lawsuit CORRECT ANSWER (A) An assertion of an alleged legal right against a person, entity, company or insurer that carries with it a demand for money as compensation for injuries or damage Which of the following is one of the duties of an Insured following a loss? (A)Making a record of all damaged property (B) Giving prompt notice of loss to the insurer (C) Stopping payment of the most recent premium payment

(D) Reporting the loss to the police CORRECT ANSWER (B) Giving prompt notice of loss to the insurer What is the primary difference between a staff adjuster and an independent adjuster? (A) A staff adjuster works for an insurance company and an independent adjuster represents property owners against their own insurance companies. (B) A staff adjuster works independently or for adjusting firms who represent many clients and an independent adjuster works for an insurance company. (C) A staff adjuster works for an insurance company and an independent adjuster works independently for themselves or for adjusting firms who represent many clients. (D) A staff adjuster represents property owners in claims against their own insurance companies and an independent adjuster works independently or for adjusting firms who represent many clients. CORRECT ANSWER (C) A staff adjuster works for an insurance company and an independent adjuster works independently for themselves or for adjusting firms who represent many clients. In today's society, the most important factor in the purchase of insurance is: (A) Trust (B) The ability to buy it online.

(C) The size and financial stability of the insurance company. (D) The proximity of the insurance agent to one's home. CORRECT ANSWER (A) Trust Describe the difference between a peril and a hazard. (A) A peril is a hazard gone wrong. (B) A peril is a cause of loss, like fire. A hazard is a condition that exists beforehand that increases the likelihood of such a loss, like a messy storeroom or garage that contains lots of toxic chemicals, oily rags, etc. (C) A hazard is a cause of loss and a peril is the condition that created it. (D) When someone drives too fast, that's a peril. When they get into an accident and kill someone, that's a hazard CORRECT ANSWER (B) A peril is a cause of loss, like fire. A hazard is a condition that exists beforehand that increases the likelihood of such a loss, like a messy storeroom or garage that contains lots of toxic chemicals, oily rags, etc. When you purchase insurance, you are buying: (A) Peace of mind that if an insured event does occur, that the insurance company will keep its promise and provide the financial protection that you purchased. (B) A guarantee of financial security.

(C) Protection from damage to property or personal injury. (D) A new car if you get into an accident. A new house if yours burns down. CORRECT ANSWER (A) Peace of mind that if an insured event does occur, that the insurance company will keep its promise and provide the financial protection that you purchased. Breach of contract by a carrier or its adjuster, through non-payment or non- compliance with policy requirements, could have which of the following consequences for a carrier (select one from the following): (A) The insured could have the state withdraw the carrier's license to conduct business. (B) If found guilty of a breach of contract, the carrier could be punished with a "bad faith" verdict that would cost it millions of dollars. (C) If sued, the carrier could be required to pay the claim and return the paid-up premium to the insured. (D) If the carrier has just cause for the breach, its denial may be justified and the insured would have to accept it. CORRECT ANSWER (B) If found guilty of a breach of contract, the carrier could be punished with a "bad faith" verdict that would cost it millions of dollars. An insurance policy is often referred to as a contract of adhesion. This means: (A) The policy is strictly interpreted in favor of the party who had control over its creation.

(B) Both parties are required to strictly adhere to the specific wording of the policy. (C) The insurance company is required by law to unilaterally waive any policy requirements that are deemed vague or ambiguous. (D) If any of the wording or language in the policy is vague or ambiguous, if the meaning of the wording is difficult to understand or interpret, or if what is written can be interpreted to have different meanings, the law is well settled that the interpretation shall be in favor of the party who did not control its terms...in this case, the policyholder. CORRECT ANSWER (D) If any of the wording or language in the policy is vague or ambiguous, if the meaning of the wording is difficult to understand or interpret, or if what is written can be interpreted to have different meanings, the law is well settled that the interpretation shall be in favor of the party who did not control its terms...in this case, the policyholder. Which of the following is NOT a defense to a claim of negligence? (A) Comparative Negligence (B) Assumption of the Risk (C) No Negligence (D) Breach of Warranty CORRECT ANSWER (D) Breach of Warranty An adjuster's responsibility as a fiduciary means:

(A) The adjuster is required to document all activities and continuously report to the company of the progress of claims. (B) The adjuster represents, and controls, the property and financial interests of the client, to whom he/she owes a high degree of loyalty and good faith. (C) Once an adjuster makes a promise, the company is bound by that promise. (D) The adjuster cannot obligate the insurance company. CORRECT ANSWER (B) The adjuster represents, and controls, the property and financial interests of the client, to whom he/she owes a high degree of loyalty and good faith. Matt has an automobile policy with 50/100/50 policy limits, hits a car with three occupants, and all are hurt. They all sue. The first sues and collects $25,000; the second sues and collects $60,000; and the third sues and collects $37,500. The car Matt hit has $13,500 in damage. The insurance company spends $9,500 on a law firm defending the suit. Ignoring PIP, Med Pay or UM issues, how much is the maximum amount that the company would pay for the loss? (A) $145, (B) $135, (C) $123, (D) $113,500 CORRECT ANSWER (C) $123, Your insured runs a red light and hits another vehicle. Damage to the insured car is $7,600 and your policy has a $500 collision deductible. Damage to the other

vehicle is $5,750 and is undriveable. Repair takes 3 weeks and the claimant incurs $657.00 in rental car charges. Fortunately the claimant was not injured seriously and has not seen a doctor. You think that if you handle the PD claim promptly and fairly, no injury claim will be made. How much will you pay for the property damage claim? (A) $12, (B) $7, (C) $5, (D) $6,407 CORRECT ANSWER (D) $6, John has a Personal Auto Policy with liability limits of 10/20/10, basic PIP with no deductible, and Med Pay with a $1,000 limit. He is driving his car during a bad Thunderstorm, loses control on a wet street and runs off the road into a tree. He is Injured and incurs $13,232 in medical bills. How much will John's policy pay and under what coverage? (A) $11,585.60 ($13,232.80 under UM and $1,000 in Med Pay) (B) $9,000.00 ($8,000 under UM) (C) $11,000.00 ($10,000 under PIP and $1,000 in Med Pay) (D) $12,585.60 ($11,585.60 under UM and $1,000 under Med Pay) CORRECT ANSWER (C) $11,000.00 ($10,000 under PIP and $1,000 in Med Pay)

Mary has an Auto policy with Basic PIP coverage, a deductible of $500 and Property Damage limits of $10,000. She hits a bicyclist who is riding on the right side of the road and veers into the lane in front of her. She tries to avoid him, but there is traffic coming from the opposite direction and she hits him, causing a total loss of the bicycle valued at $355.00 and injuries to the bicyclist resulting in $3,400 in medical expenses and $757.50 in lost wages. You receive a phone call from the claimant asking if you will pay for his bicycle. He also says that his personal insurance paid for his medical except for $885 in deductible and co-pays and asks if you will pay his out of pocket medical bills and his lost wages. Disregarding arguments about liability, how much could you pay for property damage under Mary's policy? (A) $757. (B) $ -0- (C) $355. (D) $257.50 CORRECT ANSWER (C) $355. If an insured has the Basic $10,000 in PIP coverage and no deductible, and after an automobile accident incurs $2,300 in medical expenses, $1,300 in lost wages, and $300 in expense for general housekeeping services, how much would you pay in response to a claim filed for PIP? (A) $3, (B) $2,

(C) $2,

(D) $3,900 CORRECT ANSWER (C) $2,

The named insured and his best friend are involved in an accident in the named insured's vehicle. The vehicle carries Basic PIP limits of $10,000, Additional PIP of $25,000, Extended PIP coverage, and a $1,000 deductible. The passenger's injuries result in medical expenses of $16,850 and lost wages of $5,250. If you were handling the passenger's (hint!) PIP claim, how much would you be willing to pay under the named insured's PIP coverage? (A) $15, (B)$16, (C)$10, (D) $21,100 CORRECT ANSWER (C)$10, Jack's Body Shop & Repair Service owns two tow trucks, one with a standard tow package and one with a lift bed for cars that can't be towed. Jack's personal vehicle is also owned by the company. Jack has purchased a Business Auto Garagekeepers Policy with the following:

• Symbol #1 is listed next to "Liability" coverage.
• Symbol #7 is listed next to "Physical Damage: Collision" coverage. Jack's personal vehicle - a 2004 Ford Expedition - is the only vehicle listed.
• Symbol #1 is listed next to "Garagekeepers".

While enroute in the company tow truck to an accident to pick up a wrecked car, Jack's employee/driver, Mel, is talking on his cell phone getting directions to the pickup location and swerves over into the adjacent lane and sideswipes another vehicle. He quickly stops, gives the other driver his name, the name and phone number of the company and his insurance information, and then proceeds on to the pickup. The 3rd party claim is later assigned to you for handling. Is there coverage for this claim? (A) No. Since Mel was at fault in the accident, the policy doesn't cover the damage. (B) Yes. Liability coverage is provided for "Any Auto", which includes Jack's tow trucks. (C) No. Your analysis of coverage indicates the tow truck was not listed under the "Physical Damage: Collision" section. (D) No. Mel left the scene of the accident, voiding coverage. CORRECT ANSWER (B) Yes. Liability coverage is provided for "Any Auto", which includes Jack's tow trucks. Refer to the coverages listed in question #7. The week after the accident, Jack is walking next to the tow truck that Mel was driving and notices a huge scrape down the passenger side of the truck. A wheel well is so badly dented to where it threatens to cut a tire, and a tool box lid on the side of the truck is so damaged it can't be opened. Jack calls the insurance company and files a collision claim to get the truck repaired. Is there coverage for damages to the truck under Jack's policy? (A) Yes. Symbol #1 is listed under Garagekeepers coverage, and Jack's business included the Garagekeepers exposure.

(B) No. Since it was Jack's employee, Mel, who was at fault, Jack can't collect under this own insurance policy. (C) No. Jack's tow truck is not "specifically described" for Physical Damage (i.e. Collision and Other Than Collision) coverage. (D) Yes. Jack's policy includes Collision and Other Than Collision coverage for the tow trucks. CORRECT ANSWER (C) No. Jack's tow truck is not "specifically described" for Physical Damage (i.e. Collision and Other Than Collision) coverage. ABC Company has a Business Auto policy with Symbol #1 indicated for Liability coverage. Which autos are covered under the policy? (A) Non-owned autos only (B) Any auto (C) Specifically described autos (D) Owned autos only CORRECT ANSWER (B) Any auto The Anytime Insurance Agency has a Business Auto policy with $100,000 in Liability with coverage Symbol #1. The also have Collision, Other than Collision and Basic Personal Injury Protection (PIP) with a $500 deductible and coverage Symbol #2. The company owns two vehicles, a 2005 Ford Expedition and a 2003 Lexus. One day the company's office manager was taking the Lexus to the bank to make some deposits and was broadsided by a vehicle running a red light. Injuries

were severe and the office manager was rushed to the hospital emergency room. Claims for damage to the Lexus and injuries to the employee were turned into your office for processing under the company's Business Auto policy's Collision and PIP coverages. How would you handle the claims? (A) The collision claim is not covered as symbol #2 provides coverage only for specifically-described autos. The PIP claim is not covered as it is excluded. The employee's injuries would be covered under Workers' Compensation. (B) Neither the collision claim nor the PIP claim is covered because the employee did not get permission to drive the car. (C) The collision claim is covered but the PIP claim is not as it is excluded. The employee's injuries would be covered under Workers' Compensation. (D) The collision claim is covered, subject to the $500 deductible, and the employee's injuries would be eligible for PIP coverage up to the $10,000 limit. CORRECT ANSWER (C) The collision claim is covered but the PIP claim is not as it is excluded. The employee's injuries would be covered under Workers' Compensation. Big Jim's Auto Sales & Service has a Garage Policy with a $100,000 Liability (Symbol #21) policy. They also have Garagekeepers coverage with a $40,000 limit and a $100 Comprehensive deductible and a $500 Collision deductible. One night a customer brings a car in for repairs and leaves it parked and locked outside the repair shop as part of its "Night Owl" drop off service. An unknown driver loses control of his car, hits the customer's car and leaves the scene. Damage to the customer's car is $1,500. What, if anything, would be payable by the Garage Policy for this claim? (A) $1,400 from the Garagekeepers section of the policy.

(B) $1,500 from the liability section of the policy (C) Nothing. The garage was not negligent. (D) $1,000 from the Garagekeepers coverage CORRECT ANSWER (D) $1,000 from the Garagekeepers coverage All State Auto Sales has a standard Garage Policy with Symbol 21 for Liability coverage. All of the following claims would be covered under All State's policy except: (A)Sam purchases a used car from All State. A week later the fuel system malfunctions causing the car to explode, injuring a bystander who sues for $15,000 in bodily injury. (B) Jerry purchases a new car from All State in Jacksonville. Since the car isn't in stock they send an employee to an Orlando dealer to get the car. About 125 miles north of Orlando the employee rear-ended Joe who was on her motorcycle. Joe sues All State. (C) Jake left his truck at All State's for brake repair. They fixed the brakes and returned the truck to Jake. The next day Jake had a wreck and said it was because the brakes weren't fixed correctly. Jake sues All State for his injury. (D) John (owns his own fully insured car) is test-driving a new car when he side- swipes another car and hurts the driver, Susie. Susie sues John. John tenders the claim to All State claiming he is covered under their policy and that All State should provide his defense. He does not want to use his carrier for fear of a premium increase. CORRECT ANSWER (D) John (owns his own fully insured

car) is test-driving a new car when he side-swipes another car and hurts the driver, Susie. Susie sues John. John tenders the claim to All State claiming he is covered under their policy and that All State should provide his defense. He does not want to use his carrier for fear of a premium increase. The trigger of coverage defined as "an accident, including continuous and repeated exposure to the same generally harmful conditions" is known as: (A) A claim (B) An occurrence (C) A lawsuit (D) An incident CORRECT ANSWER (B) An occurrence The basic premise of a General, Homeowners or Personal Liability insuring agreement states that: (A) only losses caused by basic perils are covered. (B) the policy will respond if an insured person or entity is legally liable for bodily injury or property damage that occurs within the policy period and is not otherwise excluded from coverage. (C) the policy will pay for bodily injury or property damage for which the insured is legally liability arising out of the use of an automobile.

(D) all risks of loss are covered unless excluded. CORRECT ANSWER (B) the policy will respond if an insured person or entity is legally liable for bodily injury or property damage that occurs within the policy period and is not otherwise excluded from coverage. An elderly customer slips on spilled salt that fell from a store shelf and falls, injuring her hip. What kind of claim will be filed under the store's CGL policy? (A) A Completed Operations claim (B) A Product's Liability claim (C) A Premises Liability claim (D) A Workers' Compensation claim CORRECT ANSWER (C) A Premises Liability claim Your insured, a roofing contractor, is putting a new flat roof on a building and one of the insured's employees accidentally tips a bucket of tar off of the side of the roof. It falls thirty feet onto a car that is parked on the side of the building below. When the claim for property damage comes in, what kind of claim is it, and what kind of policy will respond? (A) An operations claim to be addressed by the insured's General Liability policy. (B) A completed operations claim filed under the insured's General Liability policy. (C) A claim filed under a Performance Bond provided to the property owner.

(D) An automobile property damage claim to be addressed by the Insured's Business Auto policy. CORRECT ANSWER (A) An operations claim to be addressed by the insured's General Liability policy. A restaurant wants to add a bar and sell alcoholic beverages. To protect themselves from the risk of over-serving customers and getting dragged into lawsuits rising from intoxicated customers or drivers, what kind of coverage should it make sure it has? (A) An Umbrella policy (B) Automobile Liability coverage (C) General Liability coverage (D) Liquor Liability coverage endorsed onto its General Liability policy CORRECT ANSWER (D) Liquor Liability coverage endorsed onto its General Liability policy A customer ate some oysters at the insured's Oyster Bar and Grill and became extremely ill. Where would the coverage lie for such an event? (A) Premises and Operations and Med Pay (B) Completed Operations (C) Contractual Liability

(D) Product's Liability CORRECT ANSWER (A) Premises and Operations and Med Pay An insured's customer hits her head on a low hanging shelf in your store. You're handling the claim. After talking to her and the insured on the telephone, you really don't think there is any liability, but you think the best way to handle the case is to pay her medical bills without admitting liability and try a walk-away settlement. (A) Tell her you'll pay her bills and wish her well. Ask her to call you if she has any questions. When they arrive, pay the bills under the CGL's Medical Payments coverage. (B) Tell her you'll pay her bills but she must sign a release of liability. (C) You can't offer to pay her bills without admitting liability, so don't. Deny the claim. CORRECT ANSWER (A) Tell her you'll pay her bills and wish her well. Ask her to call you if she has any questions. When they arrive, pay the bills under the CGL's Medical Payments coverage. An insured's employee is injured in an automobile accident. A claim for injuries is submitted to the General Liability carrier. How should they respond? (A) The injuries are covered under Med Pay for up to $1,000.00. (B) There is no coverage as injuries to employees are excluded under the GL. They are covered under the employer's Workers' Compensation policy.