Arizona Adjuster Practice Exam

Which type of adjuster report informs the insured whether the insurer will cover the claim?

1. Full formal report

2. Summary report

3. Provisional report

4. Preliminary report

The correct answer is: Full formal report

The type of adjuster report that informs the insured whether the insurer will cover the claim is known as a Full formal report. This type of report provides a comprehensive assessment of the claim, including a detailed account of the evaluation of damages, the conclusions drawn by the adjuster, and the final determination regarding coverage. In a Full formal report, the adjuster presents all relevant facts, documentation, and findings gathered during the claims investigation. It serves to clarify the extent of liability and whether the policy covers the circumstances surrounding the loss. The thoroughness and detail typically included in this report allow the insured to understand the insurer's stance on the claim and the basis for any coverage decision made. In contrast, other types of reports may serve different purposes or may not provide definitive conclusions about coverage. A Summary report may condense information but lacks the detailed analysis necessary to inform the insured about coverage. A Provisional report often reflects that a claim is still under review and may not provide a clear decision regarding coverage. A Preliminary report typically presents initial findings but does not represent a final determination on the claim, leaving the insured without confirmation of coverage.