Florida Insurance Licensing Practice Exam

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Prepare for the Florida Insurance Licensing Exam using comprehensive questions and in-depth explanations. Perfect your understanding of essential insurance concepts and ensure your success!

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What is the action called when a ship throws some of its cargo overboard to save the ship during a storm?

Jettison
Abandonment
Salvage
Dereliction

The correct answer is: Jettison

When a ship finds itself in danger during a storm with rising waves or strong winds, the crew may need to take preventative measures to save the ship. Jettison is the action where a ship intentionally throws some of its cargo overboard in order to lighten its load and reduce the risk of sinking. This allows the ship to stay afloat and hopefully ride out the storm. Abandonment may seem like a logical choice, as the crew may need to abandon the ship if it is severely damaged, but it is not specifically related to throwing cargo overboard during a storm. Salvage and dereliction are also incorrect as they refer to actions taken after a ship has already sunk or been abandoned, such as retrieving items from the sunken ship or leaving it in a state of abandonment. Therefore, jettison is the most appropriate and accurate term for this question.