SOFE Exam AFE Topic 2 Question 45 Discussion

Actual exam question for SOFE's AFE exam

Question #: 45
Topic #: 2

[All AFE Questions]

The estimated amount receivable from third parties from whom the insured may have the right to recover damages is known as:

Areduction for subrogation

Breduction for salvation

Creduction for damages

Dreduction for paid losses

Show Suggested Answer

Suggested Answer: B

by Jennifer at Aug 22, 2022, 06:28 PM

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Tayna

27 days ago

If this was a 'reduction for damages', would that mean they're reducing the amount I can claim? I don't like the sound of that. A all the way!

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Lynna

29 days ago

I'm going to go with A. Reduction for subrogation. It's the only one that sounds like it could be an actual insurance term.

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Laurel

5 days ago

I agree, reduction for subrogation is the correct term.

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Bernadine

1 months ago

D. Reduction for paid losses seems the most logical to me. Why would they call it anything else?

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Fletcher

5 days ago

B) reduction for salvation

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Zoila

8 days ago

A) reduction for subrogation

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Daniel

2 months ago

Haha, 'reduction for salvation'? What is this, a religious insurance policy? I'll go with A.

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Raylene

6 days ago

User 2: I think it's actually called reduction for subrogation.

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Delila

27 days ago

User 1: Haha, 'reduction for salvation'? What is this, a religious insurance policy?

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Beckie

2 months ago

I think the correct answer is A. Reduction for subrogation. It makes the most sense in the context of the question.

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Ahmed

2 months ago

I'm not sure, but I think it might be C) reduction for damages.

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Yuette

2 months ago

I agree with Crista, because subrogation is when the insurer can recover from a third party.

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Crista

2 months ago

I think the answer is A) reduction for subrogation.

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