Within the finance section, which unit handles compensation and claims?

• A. Supply Unit
• B. Compensation/claims Unit
• C. Federal Emergency Management Agency Liaison Unit
• D. Acquisitions Unit

Answer: (B)

This item tests how the Finance/Administration Section is organized in incident management, specifically who handles personnel costs and claims. The unit responsible for compensation and claims takes on workers’ compensation, insurance claims, and related financial issues for personnel assigned to the incident. It keeps records of injuries, coordinates with insurers and any required external agencies, and ensures proper documentation for reimbursement or settlements. Keeping these tasks in this unit maintains clear accountability and prevents mixing with other financial functions such as procurement or cost tracking. The other units have different roles: the Supply Unit handles equipment and supplies; a FEMA Liaison Unit would coordinate with the Federal Emergency Management Agency; and the Acquisitions Unit handles contracts and purchasing actions.