Georgia Adjuster Practice Test

What is a general summary of a policy commonly referred to as?

1. Policy overview document

2. Insurance summary

3. Certificate of Insurance

4. Policy descriptor

The correct answer is: Certificate of Insurance

The general summary of a policy is commonly referred to as a Certificate of Insurance. This document serves to provide evidence of insurance coverage. It summarizes key aspects of an insurance policy, such as the type of coverage, policy limits, and relevant dates, without including the detailed terms and conditions. The Certificate is typically issued by the insurance company and is often used to verify that an individual or organization is insured, particularly in contexts such as business dealings or contractual agreements. The other terms presented may not accurately describe the same function. A policy overview document might describe various components of the insurance policy but is not a standardized term widely recognized in the insurance industry. An insurance summary can also describe an overview, but it may not have the same formal recognition as a Certificate of Insurance. Lastly, a policy descriptor may refer to specific features or clarifications about coverage but does not encapsulate the entire summary of a policy in the way that the Certificate of Insurance does.