Claims Adjuster Study Guide Questions And Correct Answers

Types of Insurance Fraternal Benefit Societies {Ans: -non-profit -engages in charitable activities -provides some types of insurance -typically consist of people with similar religions, ethnicities and occupations}The Claims Process: Filing a Claim {Ans: -does not grant immediate indemnification -when you file a claim it is because you believe they are owed payment by an insurer -policy owners file claims by calling the insurer}Risk Managment {Ans: Managing risk keeps insurance in the black (which means making a profit) -a policyholder pays premiums, and in return the insurer takes risks -What is the chance of loss on an item? -How can the insurer reduce the risk of loss when insuring a particular item or person}Direct Loss {Ans: -physical harm due to tangible property directly related to peril}Cancellation and Non-Renewal of Policies {Ans: -insurers must give policy holders 30 days notice of cancellation or non-renewal -in case of non-payment of premiums, 10 days notice -policies in effect for less than 60 days, 10 days notice -notification must be delivered in person or at least by first class mail -if sent by mail, insurer must keep the receipt}Physical Hazard {Ans: a physical condition that increases the chance of