Florida Insurance Claims Adjuster License Practice Exam

Loss Sustained coverage applies to losses that occurred and were discovered within what timeframe?

1. During the policy period

2. Within one year of the policy's expiration

3. Within 60 days after its expiration

4. Both A and B

The correct answer is: Both A and B

Loss sustained coverage refers to losses that occurred during the policy period and were discovered within one year of the policy's expiration. Option A is not entirely accurate because it does not mention the one-year timeframe for discovery. Option B is also not entirely accurate because it does not take into account when the loss occurred. Option C is incorrect because it only covers losses discovered within 60 days after the expiration, not when the loss actually occurred. Therefore, option D is the correct answer as it covers both the occurrence and discovery of the loss within the specified timeframe.