Los Angeles Claims Adjuster Property and Casualty Practice Exam 2025 - Free Claims Adjuster Exam Questions and Study Guide

The correct term for damages that are intended to punish the defendant rather than compensate the plaintiff is punitive damages. These damages serve a specific purpose in the legal system, which is to deter the defendant and others from engaging in similar conduct in the future. Unlike compensatory damages, which are meant to cover the actual losses suffered by the plaintiff, punitive damages go beyond mere compensation. They are awarded only in cases where the defendant's actions were particularly egregious, reckless, or malicious.

This type of damages sends a strong message about the consequences of harmful behavior and aims to uphold societal norms by discouraging wrongdoing. Other types of damages mentioned, such as compensatory, general, and special damages, focus primarily on compensating the plaintiff for their actual losses and do not carry the same punitive intention. Hence, punitive damages serve a unique role in the legal landscape, emphasizing accountability and societal protection against harmful acts.