Claims Adjuster Practice Exam 2025 – Complete Study Guide

In the context of insurance, personal injury refers to specific types of harm that individuals can suffer that are not necessarily physical in nature. A common example of personal injury is libel, which involves the publication of false statements that damage a person's reputation. This type of injury is often addressed under personal injury liability insurance policies, which protect individuals and businesses from financial losses arising from claims of defamation, privacy invasion, and other similar offenses.

Libel falls under the category of defamation, and it is distinct from other forms of injury, such as physical harm or tangible property damage. It recognizes that a person's reputation and dignity can be severely affected by false information spread about them, leading to significant emotional distress and loss of livelihood.

In contrast, while assault is indeed a personal injury, it typically refers to physical harm rather than reputational damage. Fraud does not fit under personal injury in this context; it involves deceitful practices for financial gain, which is a different legal concept. Property theft focuses on physical possessions and loss of property, which is classified under different types of coverage in insurance policies, rather than personal injury. Thus, libel is the correct and most relevant example of personal injury in the insurance realm.