Arkansas Insurance Adjuster Practice Exam

When handling a Business Interruption claim, what is NOT a responsibility of the adjuster?

1. Calculate the income the business would have made.

2. Determine fixed expenses paid during closure.

3. Determine the direct physical loss to property.

4. Calculate the indirect loss of profits or revenue.

The correct answer is: Determine the direct physical loss to property.

Business interruption claims are typically related to income and expenses, not physical damage to property. The adjuster's responsibility includes calculating the income and expenses of the business, as well as determining the indirect loss of profits or revenue. However, calculating the direct physical loss to property is typically the responsibility of the property adjuster. This involves assessing the cost of repairs or replacement for any damaged property.