CALA Claims Investigation Process 2

Question 1

When investigating a total loss vehicle claim, which document is most critical for establishing the vehicle's pre-loss market value?

Accepted Answer

A CCC ONE or comparable market valuation report

Answer

Market valuation reports from tools like CCC ONE use comparable sales data to establish fair market value for total loss settlements.

Question 2

During a recorded statement, a claimant's account of the accident contradicts the physical evidence on the vehicle. The adjuster should:

Accepted Answer

Document the inconsistency and continue investigating without confrontation

Answer

Inconsistencies should be documented and investigated further; premature denial or accusation can expose the insurer to bad faith claims.

Question 3

Which type of lien search is most important when settling a total loss claim on a vehicle?

Accepted Answer

DMV title and lien search

Answer

A DMV title and lien search confirms ownership and identifies any lienholder who must be included in the settlement payment.

Question 4

An adjuster discovers the insured vehicle has aftermarket modifications not listed on the policy. How should these be handled?

Accepted Answer

Investigate whether modifications were undisclosed and apply policy terms accordingly

Answer

Policy terms govern coverage of aftermarket parts; undisclosed modifications may affect coverage, requiring investigation before inclusion or exclusion.

Question 5

What is the primary purpose of an examination under oath (EUO) in the claims investigation process?

Accepted Answer

To obtain a formal, sworn statement when fraud or material misrepresentation is suspected

Answer

An EUO is a formal, sworn examination conducted when there are serious questions about claim validity or potential fraud.

(CALA) Certified Automotive Loss Adjuster Practice Test

(CALA) Certified Automotive Loss Adjuster Practice Test

CALA Claims Investigation Process 2