Arkansas Insurance Adjuster Practice Exam

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An insurance company might consider any of the following a risk, EXCEPT:

  1. a high crime neighborhood.

  2. a home.

  3. an automobile.

  4. a jewelry collection.

The correct answer is: a high crime neighborhood.

An insurance company might consider a home, automobile, and jewelry collection as risks because they all have monetary value and could be damaged or stolen. However, a high crime neighborhood is not something that can be insured against as it is not a tangible possession or asset. Additionally, living in a high crime neighborhood does not necessarily mean that the individual is more likely to file an insurance claim. Therefore, a high crime neighborhood is not a risk that an insurance company would typically consider.

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