ACE Claims Processing & Investigation 3

Question 1

Which claims handling standard requires insurers to acknowledge receipt of a claim within a specified number of days under most US state regulations?

Accepted Answer

Unfair Claims Settlement Practices Act (UCSPA)

Answer

The UCSPA, adopted in various forms by states, mandates timely acknowledgment, investigation, and settlement of claims.

Question 2

In a liability claim, 'comparative negligence' means:

Accepted Answer

Damages are allocated based on each party's percentage of fault

Answer

Under comparative negligence, each party's damages are reduced by their percentage of fault in causing the loss.

Question 3

A 'sworn proof of loss' in property claims is a formal document that:

Accepted Answer

Requires the insured to attest under oath to the details and value of their loss

Answer

A sworn proof of loss is a legal document signed under oath by the insured detailing the circumstances, nature, and amount of the claimed loss.

Question 4

Which ACORD form would typically be used to document a general liability bodily injury claim at a retail store?

Accepted Answer

ACORD 4 (General Liability Notice of Occurrence/Claim)

Answer

The ACORD 4 is the standard form for reporting general liability occurrences or claims, including slip-and-fall incidents at commercial locations.

Question 5

When investigating a suspected arson claim, which evidence type carries the MOST weight in determining origin and cause?

Accepted Answer

Fire investigator's origin and cause report

Answer

A certified fire investigator's origin and cause report is the most authoritative evidence for determining whether a fire was accidental, natural, or intentional.

(ACE) ACORD Certified Expert Practice Test

(ACE) ACORD Certified Expert Practice Test

ACE Claims Processing & Investigation 3