North Carolina Adjuster Practice Exam

What must be true before an insurer can make a statutory claim payment?

1. Claim must be a high-profile case.

2. All necessary investigations must be completed.

3. Adjuster must approve all settlements personally.

4. Insured must provide a written request.

The correct answer is: All necessary investigations must be completed.

The requirement that all necessary investigations must be completed before an insurer can make a statutory claim payment is crucial in the claims process. This ensures that the insurer fully understands the circumstances of the claim, evaluates the validity, and assesses the amount owed based on the terms of the policy. This thorough investigation allows the insurer to make informed decisions and fulfill their obligations under the policy and state regulations, leading to fair compensation for the insured. Completing investigations is essential as it helps to establish the facts surrounding the claim, including any relevant evidence and documentation necessary to substantiate the loss. This step not only protects the rights of the insurer but also ensures that the claimant receives the proper compensation they are entitled to, given the findings of the investigation.