Georgia Adjuster Practice Test

What defines the construction type 'frame' in insurance terms?

1. Walls are made of brick

2. Exterior is made of stucco

3. Walls are made of wood or similar material

4. Structure is made entirely of steel

The correct answer is: Walls are made of wood or similar material

The construction type 'frame' in insurance terms is defined by the fact that the walls of the structure are made of wood or similar materials. This classification is significant because frame structures generally have different risk profiles compared to those made of more durable materials like brick or steel. In insurance assessments, the type of materials used for the construction can influence the premium rates and coverage options available. Frame constructions, due to their use of wood, may be more susceptible to issues like fire and termite damage, leading insurers to evaluate risk differently compared to more robust constructions. The other options describe construction types that involve materials not characteristic of frame construction: brick is associated with masonry structures, stucco relates to exterior finishes common in other types of construction, and steel is indicative of industrial or commercial buildings. Understanding these definitions is crucial for adjusters when determining coverage and assessing claims.