Claims Adjuster Practice Exam 2025 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 400

What is a possible consequence of filing a fraudulent claim?

Increased insurance premiums

Legal action or penalties

Filing a fraudulent claim can lead to legal action or penalties as a significant consequence. Insurance fraud is a serious crime, and when an individual submits a claim that they know is false or exaggerated, it can result in criminal charges, fines, or even imprisonment. Authorities take such actions seriously in order to protect the integrity of the insurance system and deter potential fraudsters.

While increased insurance premiums may occur as a result of widespread fraud affecting the overall risk assessments of insurers, the direct consequence of an individual's fraudulent claim is primarily legal repercussions. The idea of faster claim processing or guaranteed payment contradicts the principles of ethics and legality within insurance practices, as fraud undermines trust and can lead to thorough investigations that delay any potential payments.

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Faster claim processing

Guaranteed payment

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