First Notice of Loss Procedures Flashcards
7 cards from real CCP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 First Notice of Loss Procedures flashcards as text
An insured submits an FNOL for a business interruption claim following a covered property loss. Which additional element is most important to document at FNOL?
Answer: The date operations ceased and the insured's estimated daily revenue loss
The cessation date and estimated revenue loss are essential starting points for evaluating a business interruption claim.
Which statement about electronic FNOL submissions is most accurate?
Answer: Electronic FNOLs are generally accepted and can initiate the claims process, though follow-up documentation may be required
Electronic FNOLs are widely accepted as valid notice, initiating the claims process, though additional documentation may follow.
A claimant reports a liability claim involving an injured minor. What additional FNOL consideration applies?
Answer: The statute of limitations for minors may be tolled, requiring longer file retention and monitoring
Statutes of limitations for minors are often tolled until they reach majority, requiring extended file management and monitoring.
During FNOL, a claimant states they have already obtained a repair estimate. How should the adjuster respond?
Answer: Thank the claimant, request a copy of the estimate, and explain that an independent inspection may also be conducted
Claimant-obtained estimates provide useful initial information but do not replace the insurer's independent assessment.
What is the role of empathy during the FNOL process?
Answer: Expressing empathy helps establish trust, reduces claimant stress, and improves the quality of information shared
Demonstrating empathy during FNOL improves communication, builds claimant trust, and often results in more complete and accurate information.
An FNOL is received for a claim where the insured is also potentially liable to a third party for damages. How should the adjuster flag this file?
Answer: As a combined first-party and third-party exposure requiring reserves for both
When both first-party and third-party exposures exist, the file must reflect reserves and handling procedures for both simultaneously.
Which best describes the concept of 'acknowledgment of coverage' versus 'confirmation of coverage' at the FNOL stage?
Answer: Acknowledgment means the insurer received the claim; confirmation means coverage has been verified and accepted
Acknowledging a claim is a procedural step confirming receipt, while confirming coverage requires investigation and policy review.