The law presumes that the parties to a contract have the requisite contractual capacity to enter

Ken lives in a sparsely populated area of western Nebraska. Some insurers that write coverage in this area cannot afford to have a full-time claims adjustor on their payroll. Instead, when a policyowner reports a claim, insurance companies hire Ken to investigate the claim. Ken is a(n):

(a) independent adjustor (b) agent (c) company adjustor (d) public adjustor

Which of the following is NOT an example of a risk covered under professional liability insurance?

A) Several years ago, McDonald's restaurant was sued when a woman burned herself on hot coffee she spilled in her lap. B) A woman sued her hair salon after a color treatment left her with bald, burned spots on her scalp. The dye, usually safe, had been mixed incorrectly by the colorist. C) An interior designer ordered four special-order chairs at $7,000 each. Unfortunately, she put the wrong product code on the order form and the wrong chairs were manufactured. D) A woman received electrical burns when a lamp malfunctioned. She had just picked up the lamp from the electrician's shop, where she had had the lamp rewired. E) A bridge collapsed, killing a family of four. It was discovered that the contractor had used the wrong-sized bolts to hold the bridge together.