Prepare for the Arkansas Insurance Adjuster Exam with flashcards and multiple choice questions, each offering hints and explanations. Equip yourself for your test confidently!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.


Inducement can be defined as:

  1. withholding material information to get a claimant to accept a lower settlement

  2. falsely increasing the settlement figure to increase the adjuster's income

  3. an action, item, or promise made to motivate desired behaviors

  4. allowing emotions to dictate one's actions

The correct answer is: an action, item, or promise made to motivate desired behaviors

Inducement is defined as an action, item, or promise made to motivate desired behaviors. Options A and B are incorrect because they involve deceitful or manipulative actions, while inducement is meant to motivate positive behaviors. Option D is also incorrect because it involves an emotional response rather than a tangible action or item.