CCA Auto and Property Claims Flashcards
6 cards from real CCA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CCA Auto and Property Claims flashcards as text
What is 'replacement cost value' (RCV) coverage?
Answer: Coverage that pays the cost to replace damaged property with new property of like kind and quality, without deducting for depreciation
Replacement cost value pays what it actually costs to replace the damaged item with a new equivalent, without subtracting depreciation.
In an auto claim, 'diminished value' refers to:
Answer: The reduction in a vehicle's market value after being repaired following an accident
Diminished value is the difference between a vehicle's pre-accident market value and its post-repair market value, since a repaired vehicle often sells for less.
An insured's home suffers a covered fire loss. The adjuster must complete a proof of loss. What is the purpose of this document?
Answer: To formally document the insured's claim and the amount of the loss for the insurer's records
A proof of loss is a sworn statement by the insured detailing the circumstances of the loss and the amount claimed, required by most policies before payment.
What does 'subrogation waiver endorsement' do in a property policy?
Answer: It prevents the insurer from pursuing recovery against a specified third party
A subrogation waiver endorsement removes the insurer's right to recover from a named party, often required when tenants or contractors agree to waive claims against each other.
A homeowner files a claim for personal property destroyed in a fire. The insurer uses a 'contents schedule' to evaluate the claim. What does this typically include?
Answer: An itemized list of damaged or destroyed belongings with descriptions, ages, and values
A contents schedule documents personal property items with their descriptions, ages, original costs, and estimated replacement values to support the claim settlement.
Which type of auto coverage pays for the insured's own vehicle damage regardless of fault?
Answer: Collision coverage
Collision coverage pays for the insured's own vehicle damage caused by a collision, regardless of who was at fault in the accident.