AINS 101 | Associate in Insurance |
150+ Questions and 100% Correct
Answers | Latest 2024/2025
Insurance policies are written in such a way that the parties have to
perform only under certain conditions, because an insurance contract is
a - Correct Answer - Conditional Contract
An insurer will make a loss payment if an insured loss occurs and if the
insured performs certain duties. This illustrates that an insurance policy
is a - Correct Answer - Conditional Contract
The Insurance Services Office, Inc. (ISO) commercial package policy is
an example of a
- Correct Answer - Modular Policy
A liability adjuster must be concerned with specific, out-of-pocket
expenses when evaluating the damages being claimed. The technical
term for such expenses is
- Correct Answer - Special Damages
What falls under personal property-casualty insurance?
- Correct Answer - Homeowners
Personal Auto
Personal Umbrella
,Commercial Package Policy and BOP provides business owner's with
what coverages?
- Correct Answer - Property, Crime and Liability coverages
t/f
Common examples of federal government insurance plans include the
National Flood Insurance Program and the Terrorism Risk Insurance
Program.
Common examples of state government insurance plans include Fair
Access to Insurance Requirements plans (for consumers who can't buy
insurance in the private market) and beach and windstorm plans.
- Correct Answer - true
Private insurers are classified by what two basic forms of ownership?
- Correct Answer - Proprietary - earn a profit for their owners
Cooperative - provide insurance at a minimum cost to their owners who
are the policy holders
Private Insurers - Correct Answer - Stock Insurers: to earn a profit
Mutual Insurers: pay dividends to policyholders
Surplus Lines insurers: provide coverages not in the standard market.
Re-insurance: allows a insurer to transfer some loss exposures to
another insurer
Reciprocal Insurance Exchanges: each member is an insured and an
insurer
Lloyds: an insurance and reinsurance market place
Captive: formed to cover the loss exposures of specific organizations
Government Insurance
,- Correct Answer - 1. to fill unmet insurance needs
2. To facilitate required insurance purchases
3. to provide efficiency and convenience to the mkt
4. to achieve social goals
Property and Casualty can only be obtained through..
- Correct Answer - Government Insurance Programs
Common types of commercial property-casualty insurance?
- Correct Answer - Commercial Property
Commercial Crime
Commercial General Liability
Commercial Auto
Workers compensation
Commercial Umbrella
The big differences between property and liability policies are found in
their - Correct Answer - Insuring agreements
which of the following most accurately describes one of the policy
provisions in an insurance policy?
- Correct Answer - The exclusions are in place to reduce duplicate
coverage.
Which one of these is most directly associated with a satisfied
customer? - Correct Answer - Leads and referrals that can be used to
generate new business
, Because insurance contracts impose an obligation for ethical practices
and behaviors on the parties while dealing with one another, an
insurance contract is called a
- Correct Answer - Contract of utmost good faith
Margaret was severely injured and scarred due to a recent accident.
Which one of the following is an example of general damages Margaret
received? - Correct Answer - Compensation for disfigurement
Jennie recently purchased a personal auto policy from Westcox Insurers.
Three weeks later, Jennie reported her car was stolen from her driveway
during the middle of the day. Upon further investigation, claims
representative Harry finds out the home address he has on file for
Jennie does not match the location where the theft occurred. In light of
this scenario, which one of the following would be particularly helpful for
Harry to pursue concerning Jenny's claim?
- Correct Answer - Harry can verify Jennie's address and other possible
helpful information by reviewing her policy which has her original
application information attached.
Joel is the underwriter for Stanton Industries. He received a notice from
the premium auditor on the account. After a recent visit to the insured's
location, the auditor wanted to make Joel aware of a decline in the
business and some questionable business practices. Which one of the
following types of hazards is the auditor identifying?
- Correct Answer - Moral Hazards
Earned premiums are the portion of written premiums that
150+ Questions and 100% Correct
Answers | Latest 2024/2025
Insurance policies are written in such a way that the parties have to
perform only under certain conditions, because an insurance contract is
a - Correct Answer - Conditional Contract
An insurer will make a loss payment if an insured loss occurs and if the
insured performs certain duties. This illustrates that an insurance policy
is a - Correct Answer - Conditional Contract
The Insurance Services Office, Inc. (ISO) commercial package policy is
an example of a
- Correct Answer - Modular Policy
A liability adjuster must be concerned with specific, out-of-pocket
expenses when evaluating the damages being claimed. The technical
term for such expenses is
- Correct Answer - Special Damages
What falls under personal property-casualty insurance?
- Correct Answer - Homeowners
Personal Auto
Personal Umbrella
,Commercial Package Policy and BOP provides business owner's with
what coverages?
- Correct Answer - Property, Crime and Liability coverages
t/f
Common examples of federal government insurance plans include the
National Flood Insurance Program and the Terrorism Risk Insurance
Program.
Common examples of state government insurance plans include Fair
Access to Insurance Requirements plans (for consumers who can't buy
insurance in the private market) and beach and windstorm plans.
- Correct Answer - true
Private insurers are classified by what two basic forms of ownership?
- Correct Answer - Proprietary - earn a profit for their owners
Cooperative - provide insurance at a minimum cost to their owners who
are the policy holders
Private Insurers - Correct Answer - Stock Insurers: to earn a profit
Mutual Insurers: pay dividends to policyholders
Surplus Lines insurers: provide coverages not in the standard market.
Re-insurance: allows a insurer to transfer some loss exposures to
another insurer
Reciprocal Insurance Exchanges: each member is an insured and an
insurer
Lloyds: an insurance and reinsurance market place
Captive: formed to cover the loss exposures of specific organizations
Government Insurance
,- Correct Answer - 1. to fill unmet insurance needs
2. To facilitate required insurance purchases
3. to provide efficiency and convenience to the mkt
4. to achieve social goals
Property and Casualty can only be obtained through..
- Correct Answer - Government Insurance Programs
Common types of commercial property-casualty insurance?
- Correct Answer - Commercial Property
Commercial Crime
Commercial General Liability
Commercial Auto
Workers compensation
Commercial Umbrella
The big differences between property and liability policies are found in
their - Correct Answer - Insuring agreements
which of the following most accurately describes one of the policy
provisions in an insurance policy?
- Correct Answer - The exclusions are in place to reduce duplicate
coverage.
Which one of these is most directly associated with a satisfied
customer? - Correct Answer - Leads and referrals that can be used to
generate new business
, Because insurance contracts impose an obligation for ethical practices
and behaviors on the parties while dealing with one another, an
insurance contract is called a
- Correct Answer - Contract of utmost good faith
Margaret was severely injured and scarred due to a recent accident.
Which one of the following is an example of general damages Margaret
received? - Correct Answer - Compensation for disfigurement
Jennie recently purchased a personal auto policy from Westcox Insurers.
Three weeks later, Jennie reported her car was stolen from her driveway
during the middle of the day. Upon further investigation, claims
representative Harry finds out the home address he has on file for
Jennie does not match the location where the theft occurred. In light of
this scenario, which one of the following would be particularly helpful for
Harry to pursue concerning Jenny's claim?
- Correct Answer - Harry can verify Jennie's address and other possible
helpful information by reviewing her policy which has her original
application information attached.
Joel is the underwriter for Stanton Industries. He received a notice from
the premium auditor on the account. After a recent visit to the insured's
location, the auditor wanted to make Joel aware of a decline in the
business and some questionable business practices. Which one of the
following types of hazards is the auditor identifying?
- Correct Answer - Moral Hazards
Earned premiums are the portion of written premiums that
