Claims Management and Loss Control Flashcards
7 cards from real TRIP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Claims Management and Loss Control flashcards as text
A transportation insurer uses telematics data to identify drivers with harsh braking scores above a threshold. This practice is an example of:
Answer: Predictive analytics applied to proactive loss control
Using telematics data to identify high-risk driving behaviors before accidents occur is predictive analytics applied proactively to reduce future losses.
Which federal agency oversees Hours of Service (HOS) regulations that directly impact fatigue-related loss control for commercial motor carriers?
Answer: Federal Motor Carrier Safety Administration (FMCSA)
The FMCSA establishes and enforces Hours of Service regulations governing how long commercial drivers may operate, directly targeting fatigue as a leading cause of truck accidents.
In a transportation liability claim where multiple carriers handled the same shipment, which legal doctrine helps courts apportion liability among them?
Answer: Joint and several liability or proportionate fault allocation
Joint and several liability or proportionate fault allocation doctrines allow courts to assign responsibility among multiple carriers based on their respective contributions to the loss.
A risk manager is calculating the 'loss ratio' for a transportation insurance program. What is the correct formula?
Answer: Incurred losses divided by earned premiums, expressed as a percentage
The loss ratio equals incurred losses divided by earned premiums, indicating what percentage of premium income is consumed by claims and a key measure of insurance program performance.
What is the role of a 'third-party administrator' (TPA) in transportation claims management?
Answer: An independent organization that handles claims administration on behalf of a self-insured or insured entity
A TPA handles claims investigation, adjustment, payment, and administration for a fee, allowing self-insured fleets or insureds to access professional claims management without maintaining in-house staff.
Under the concept of 'general average' in marine cargo insurance, when is a cargo owner required to contribute to the general average fund?
Answer: When a voluntary sacrifice or extraordinary expenditure is made to save the ship and all cargo from a common peril
General average requires all cargo interests to contribute proportionally when a voluntary sacrifice (e.g., jettisoning cargo) saves the ship and remaining cargo from a common peril.
A transportation company implements a post-accident drug and alcohol testing protocol for all drivers involved in accidents above a certain damage threshold. This practice primarily serves to:
Answer: Identify impairment as a contributing cause and demonstrate due diligence in loss control
Post-accident testing identifies impairment as a causal factor, supports legal defensibility, demonstrates the carrier's due diligence, and provides data to improve future loss control efforts.