Alberta General Insurance Level 1 Practice Exam

What does the claim step involving an adjuster meeting with the client facilitate?

1. Policy renewal negotiation

2. Review of damage and discussion of the loss

3. Finalizing the insurance premium

4. Determining the insurance company's profitability

The correct answer is: Review of damage and discussion of the loss

The adjuster meeting with the client allows for a review of the damage and discussion of the loss in order to accurately determine the appropriate amount of compensation the client is entitled to receive. Option A, policy renewal negotiation, is incorrect as this step is focused on assessing damages and not negotiating renewal terms of the insurance policy. Option C, finalizing the insurance premium, is also incorrect as this step is meant to determine the cost of the insurance policy, not the amount of compensation for a specific loss. Option D, determining the insurance company's profitability, is incorrect as this step is focused on assessing the client's situation and determining proper coverage, not the profitability of the insurance company.