CCC Insurance Claims & Documentation Flashcards
6 cards from real CCC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CCC Insurance Claims & Documentation flashcards as text
What is the purpose of an 'actual cash value' (ACV) calculation in a collision claim?
Answer: To determine the fair market value of the vehicle immediately before the loss
ACV reflects the vehicle's pre-loss market value, accounting for depreciation, mileage, and condition, and is the maximum amount an insurer pays on a total loss claim.
When a collision shop negotiates a labor rate with an insurer, which factor most directly supports a higher rate?
Answer: Documented overhead costs, technician certifications, and market data
Shops justify higher labor rates by presenting detailed overhead cost analysis, certifications such as I-CAR Gold or OEM programs, and regional labor rate surveys.
What does 'storage accrual' refer to in the collision claims process?
Answer: Daily fees charged when a damaged vehicle remains at the facility beyond an agreed period
Storage accrual refers to per-day storage charges that begin after a set grace period when a vehicle is not promptly picked up or moved following claim settlement.
Which party typically receives the insurance settlement check when the vehicle has an active lien?
Answer: Both the vehicle owner and the lienholder are named on the check
When a vehicle is financed, the insurer issues the settlement check jointly to the owner and the lienholder to protect the lender's financial interest in the vehicle.
What is the role of an independent appraiser in a collision insurance dispute?
Answer: To provide an unbiased third-party damage assessment when the shop and insurer disagree
An independent appraiser evaluates the vehicle damage without allegiance to either party, providing an objective estimate used to resolve disagreements over repair scope or cost.
Why is it important for a collision shop to retain copies of closed repair orders and estimates for several years?
Answer: For warranty, audit, legal, and insurance dispute purposes requiring historical documentation
Retained records protect the shop during warranty claims, insurer audits, litigation, and regulatory reviews that may arise years after a repair is completed.