Arizona Adjuster Practice Exam

What must an insured do if they experience a loss covered under their property insurance policy?

1. Wait for the insurer to contact them

2. Notify the police if a crime is suspected

3. Immediately begin repairs

4. Contact a public adjuster first

The correct answer is: Notify the police if a crime is suspected

When an insured experiences a loss that is covered under their property insurance policy, notifying the police is a crucial step, particularly if there is any suspicion of criminal activity, such as theft, vandalism, or arson. This action is important not just for documenting the loss for potential insurance claims, but also for initiating any necessary criminal investigations. The police report can serve as important evidence in the claims process, helping the insured to substantiate their claim. In general, insurers require that policyholders take appropriate steps to mitigate damages and preserve evidence. While repairs may eventually need to be made, the insured should first inform the police in cases where illegal activity is involved to ensure proper protocol is followed and evidence is preserved. This initial notification can also impact the insurer's investigation and the outcome of the claim positively. Thus, notifying the police when a crime is suspected aligns with standard procedures involved in handling property losses, emphasizing the importance of documenting the circumstances surrounding the loss before any recovery or repairs take place.