State Farm Auto Insurance Practice Test

When gathering information for eligibility, which report provides insight into the customer's auto claim history?

1. Motor Vehicle Record

2. Previous Insurance Report

3. Loss History Report

4. Insurance Risk Score

The correct answer is: Loss History Report

The Loss History Report is the essential tool for obtaining insights into a customer's auto claim history. This report specifically details past claims the customer has made for auto insurance, including information such as the dates of the claims, their amounts, and types of incidents involved. This data is critical for underwriters and agents to assess the risk profile of the customer, helping them determine eligibility for coverage or the appropriate premiums. In contrast, the other reports serve different purposes. The Motor Vehicle Record focuses on the customer's driving history and any traffic violations, which can indicate risk but does not provide detailed claim information. The Previous Insurance Report may include information about the customer's past insurance coverage but does not specifically highlight individual claims. The Insurance Risk Score aggregates various risk factors but does not directly present a customer's claim history like the Loss History Report does. Thus, the Loss History Report is uniquely positioned to provide the relevant insights needed for evaluating a customer's auto claim history.