If claims exceed available funds in the Recovery Fund, how are claims satisfied?

The correct approach to satisfying claims when they exceed the available funds in the Recovery Fund is based on the order in which the claims were filed. This means that claims submitted earlier will be addressed first, ensuring that those who have been waiting longest for compensation receive their funds before those who filed subsequently.

In scenarios where the claims outpace the funds available, this method helps maintain a fair and orderly process. It allows the system to manage resources effectively and ensures that claimants who may have been affected by the same incident can receive relief in a timely manner.

Other options such as prioritizing based on the nature of the claim or random selection could lead to complications and potentially unfair outcomes. This method balances the needs of all claimants without introducing biases or unpredictability that could arise from such alternatives.