Question

The claims adjusting process consists of 3 major elements. which of the following is NOT one of the elements

-is there coverage?
-is the insured liable?
-the insured must be over 21 yrs
-there must be damages?

Answer 1

The claims adjusting process includes assessing for coverage, insured liability, and damages, whereas the insured being over 21 is not a typical element of this process.

Step-by-step explanation:

The claims adjusting process in the context of insurance involves determining whether coverage applies, assessing if the insured is liable, and establishing whether there have been damages that warrant a payout under the policy. Among the options provided, "the insured must be over 21 years" is not one of the elements of the claims adjusting process. Insurance policies do not typically require an age above 21 for the adjuster to consider in their claims process. Instead, a fundamental law of insurance emphasizes that the payments into insurance over time must adequately cover the insured's claims, the costs of running the company, and allow for the company's profits.