Accredited Advisor in Insurance (AAI) 301 Exam with Verified Solutions

Daiki, a new producer, wants to establish a reputation with both clients and carriers as an effective negotiator. To be an effective negotiator, Daiki should focus on which one of the following? A. Creating a "single-issue" situation B. Creating an outcome that benefits both parties C. Obtaining the best possible outcome D. Obtaining the most concessions - Ans: Creating an outcome that benefits both parties Mehmet met with insurance agent Leila to obtain homeowners insurance. Leila had binding authority through Cintriel Insurance and she issued a written binder to Mehmet, submitting a signed homeowners insurance application to Cintriel at the same time. The binder stated that it provided homeowners coverage for 30 days, pending issuance of the policy. Five days later, before Cintriel acted on Mehmet's application, Mehmet's house was damaged by fire. Which one of the following statements about Mehmet's insurance is true? A. Mehmet has no homeowners insurance but has an errors and omissions claim against Leila. B. Mehmet has homeowners insurance only if Cintriel ultimately issues a homeowners policy. C. Mehmet has no homeowners insurance. D. Mehmet has homeowners insurance, as provided by the binder. - Ans: Mehmet has homeowners insurance, as provided by the binder. Juanita paid in advance for her six-month automobile policy but sold her vehicle to Peter after three months. As a part of the sale agreement, Juanita gave Peter the remaining three months of the insurance policy on the vehicle. Which one of the following statements is true regarding the validity of the insurance policy transfer? Radley Contracting Company is installing new signage on the front of a building. George, a passerby walking near the building is injured when a Radley employee accidentally drops a tool from a crane. George likely has the ability to assert which one the following types of claim? Select one: A. Premises and products liability B. Premises and operations liability C. Completed operations liability D. Incompleted operations liability - Ans: Premises and operations liability Furkan feels that urgent work demands of colleagues and clients distract from his personal production goals. Which one of the following best describes a time management technique that Furkan can employ for completing more important tasks before less important tasks? Select one: A. Managing phone calls and e-mails B. Eliminating time-wasters C. Setting priorities D. Preparing for meetings - Ans: Setting priorities The loss of or damage to property can have adverse financial consequences including reduced property value. Which one of the following statements is correct with respect to a reduction in value?