Arkansas Insurance Adjuster Practice Exam 2026 – Comprehensive All-in-One Guide to Exam Success

Question: 1 / 400

Which of the following is considered an indirect loss for Janie after her rental property suffers damage due to flooding?

Paying to have wood floors replaced

Losing a month of rental income

An indirect loss refers to a consequence of damage or loss, rather than the direct cost of repair or replacement. Option B, losing a month of rental income, would be considered an indirect loss because it is a financial consequence resulting from the damage to the rental property. Options A, C, and D would all be considered direct losses, as they involve paying for specific repairs or replacements to the property. Therefore, they do not fit the definition of an indirect loss.

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Tenant replacing a damaged sofa

Hiring a contractor to reinforce a damaged retaining wall

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