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N.C. CLAIMS ADJUSTER EXAM 2025| BRAND
NEW ACTUAL EXAM WITH 100% VERIFIED
QUESTIONS AND CORRECT SOLUTIONS|
GUARANTEED VALUE PACK| ACE YOUR
GRADES.
1. Inception/Expiration Date - correct answer - an insurance policy covers
the insured starting at 12:01am on the day on which coverage begins
and expires at 12:01am on the expiration day of the policy.
2. Occurrence Date - correct answer - Date of which the loss occurred
3. Identification of parties involved - correct answer - The loss report
should include the names and addresses of the parties involved in the
loss, the names and addresses of any injured person(s) and the names
and addresses of any witness(s).
4. Policy Form/Number - correct answer - Identifies the type of coverage
purchased (policy form) and the policy number for the particular policy
purchased by the insured.
5. Description of the Loss - correct answer - Information concerning how,
when and where the accident or loss happened is an essential element
in any loss report.
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6. Coverage - correct answer - Shows the type of coverage(s) purchased
as well as the limits of coverage purchased.
7. Damages - Special Compensatory damages - correct answer - Are
amounts paid to compensate the plaintiff for direct expenses such as
medical treatment, lost wages (both past and future), funeral expenses
and rehabilitation expenses required because of bodily injury. Special
damages are paid for losses that can be determined and documented.
They are often referred to as "out-of-pocket" expenses.
8. Damages - General Compensatory Damages - correct answer - Are paid
for losses that cannot be specifically measured and itemized in order to
compensate the plaintiff for things such as pain and suffering, loss of the
use of an arm or leg, loss of vision, physical disfigurement and/or loss of
consortium.
9. Damages - Punitive Damages - correct answer - Are typically awarded
to the plaintiff in addition to compensatory damages when the
defendants conduct has been especially malicious. Punitive damages
are awarded to punish the defendant and to deter others from engaging
in similar actions.
10. Unfair Claims Settlement Practices - correct answer - 1. Knowingly
misrepresenting relevant facts or policy provisions relating to the
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coverage at issue. 2. Failing to acknowledge with reasonable
promptness communications pertaining to claims. 3. Failing to adopt and
implement reasonable standards for the prompt investigation of claims.
4. Arbitrary and unreasonable refusal to pay claims. 5. Failing to affirm
or deny coverage of claims within a reasonable time after proof of loss
has been completed. 6. Not attempting in good faith to make prompt, fair
and equitable claims settlement when the insurer's liability has become
reasonably clear. 7. Compelling insureds to institute suits to recover
amounts due under a policy by offering substantially less to settle
immediately. 8. Attempting to settle claims for less than the amount for
which a reasonable person would believe one was entitled based on
written or printed advertising material accompanying or made a part of
an application. I. Attempting settlement of claims on the basis of
applications that were altered without notice to knowledge of or consent
of insureds.
11. Total Losses on Motor Vehicles/Miscellaneous Provisions - correct
answer - 1. If the insurer and the claimant are unable to reach an
agreement as to the value of the vehicle, the insurer shall base any
further settlement offer not only on the published regional average value
of similar vehicles, but also on the value of the vehicle in the local
market. 2. Local market value shall be determined by using either the
local price of a comparable vehicle or if no comparable vehicle can be
found, quotations from at least two qualified dealers within the local
market area. Additionally, if the claimant represents that the vehicle was
in better than average condition, the insurer shall give due consideration
to the condition of the claimant's vehicle prior to the accident. 3. When a
motor vehicle is damaged in an amount which equals or exceeds 75
percent of the preaccident actual cash value, an insurer shall "total loss"
the vehicle by paying the claimant the preaccident value and in return,
receiving possession of the legal title for salvage purposes. 4. The
insurer will be responsible for all reasonable towing and storage charges
until three days after the owner and the storage facility are notified in
writing that the insurer will no longer reimburse the owner or storage
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facility for storage charges. 5. Loss and claims payments shall be mailed
or otherwise delivered within 10 business days after the claim is settled.
12. After Market Parts - correct answer - An after market part is any part
made by a non original manufacturer.
13. Speculative Risk - correct answer - When there is a chance of gain as
well as a chance of loss. Insurance is not intended to protect against this
type of risk.
14. Pure Risk - correct answer - When there is a chance of loss only.
15. Insurable Risk - correct answer - One that an insurance company is
willing to accept.
16. Characteristics of Insurable Risk - correct answer - 1. Low probability
of loss occurring, 2. Less than catastrophic results, 3. The loss must be
measurable, 4. The loss must be significant, 5. The loss must be
accidental and unintended.
17. Probability - correct answer - Measures the chance of an event
occurring, it is the measure of uncertainty (risk).
N.C. CLAIMS ADJUSTER EXAM 2025| BRAND
NEW ACTUAL EXAM WITH 100% VERIFIED
QUESTIONS AND CORRECT SOLUTIONS|
GUARANTEED VALUE PACK| ACE YOUR
GRADES.
1. Inception/Expiration Date - correct answer - an insurance policy covers
the insured starting at 12:01am on the day on which coverage begins
and expires at 12:01am on the expiration day of the policy.
2. Occurrence Date - correct answer - Date of which the loss occurred
3. Identification of parties involved - correct answer - The loss report
should include the names and addresses of the parties involved in the
loss, the names and addresses of any injured person(s) and the names
and addresses of any witness(s).
4. Policy Form/Number - correct answer - Identifies the type of coverage
purchased (policy form) and the policy number for the particular policy
purchased by the insured.
5. Description of the Loss - correct answer - Information concerning how,
when and where the accident or loss happened is an essential element
in any loss report.
, Page |2
6. Coverage - correct answer - Shows the type of coverage(s) purchased
as well as the limits of coverage purchased.
7. Damages - Special Compensatory damages - correct answer - Are
amounts paid to compensate the plaintiff for direct expenses such as
medical treatment, lost wages (both past and future), funeral expenses
and rehabilitation expenses required because of bodily injury. Special
damages are paid for losses that can be determined and documented.
They are often referred to as "out-of-pocket" expenses.
8. Damages - General Compensatory Damages - correct answer - Are paid
for losses that cannot be specifically measured and itemized in order to
compensate the plaintiff for things such as pain and suffering, loss of the
use of an arm or leg, loss of vision, physical disfigurement and/or loss of
consortium.
9. Damages - Punitive Damages - correct answer - Are typically awarded
to the plaintiff in addition to compensatory damages when the
defendants conduct has been especially malicious. Punitive damages
are awarded to punish the defendant and to deter others from engaging
in similar actions.
10. Unfair Claims Settlement Practices - correct answer - 1. Knowingly
misrepresenting relevant facts or policy provisions relating to the
, Page |3
coverage at issue. 2. Failing to acknowledge with reasonable
promptness communications pertaining to claims. 3. Failing to adopt and
implement reasonable standards for the prompt investigation of claims.
4. Arbitrary and unreasonable refusal to pay claims. 5. Failing to affirm
or deny coverage of claims within a reasonable time after proof of loss
has been completed. 6. Not attempting in good faith to make prompt, fair
and equitable claims settlement when the insurer's liability has become
reasonably clear. 7. Compelling insureds to institute suits to recover
amounts due under a policy by offering substantially less to settle
immediately. 8. Attempting to settle claims for less than the amount for
which a reasonable person would believe one was entitled based on
written or printed advertising material accompanying or made a part of
an application. I. Attempting settlement of claims on the basis of
applications that were altered without notice to knowledge of or consent
of insureds.
11. Total Losses on Motor Vehicles/Miscellaneous Provisions - correct
answer - 1. If the insurer and the claimant are unable to reach an
agreement as to the value of the vehicle, the insurer shall base any
further settlement offer not only on the published regional average value
of similar vehicles, but also on the value of the vehicle in the local
market. 2. Local market value shall be determined by using either the
local price of a comparable vehicle or if no comparable vehicle can be
found, quotations from at least two qualified dealers within the local
market area. Additionally, if the claimant represents that the vehicle was
in better than average condition, the insurer shall give due consideration
to the condition of the claimant's vehicle prior to the accident. 3. When a
motor vehicle is damaged in an amount which equals or exceeds 75
percent of the preaccident actual cash value, an insurer shall "total loss"
the vehicle by paying the claimant the preaccident value and in return,
receiving possession of the legal title for salvage purposes. 4. The
insurer will be responsible for all reasonable towing and storage charges
until three days after the owner and the storage facility are notified in
writing that the insurer will no longer reimburse the owner or storage
, Page |4
facility for storage charges. 5. Loss and claims payments shall be mailed
or otherwise delivered within 10 business days after the claim is settled.
12. After Market Parts - correct answer - An after market part is any part
made by a non original manufacturer.
13. Speculative Risk - correct answer - When there is a chance of gain as
well as a chance of loss. Insurance is not intended to protect against this
type of risk.
14. Pure Risk - correct answer - When there is a chance of loss only.
15. Insurable Risk - correct answer - One that an insurance company is
willing to accept.
16. Characteristics of Insurable Risk - correct answer - 1. Low probability
of loss occurring, 2. Less than catastrophic results, 3. The loss must be
measurable, 4. The loss must be significant, 5. The loss must be
accidental and unintended.
17. Probability - correct answer - Measures the chance of an event
occurring, it is the measure of uncertainty (risk).
