AINS PT. 2 EXAM WITH CORRECT
ANSWERS 2025
Allan insurance company is a growing regional insurer selling policies in
three states, specializing in personal auto and homeowners policies. which
one of the following is most likely true regarding allian and the policies it
sells? ( correct answers )
Allan issues more preprinted than manuscript forms
why are insurance regulators concerned about the effects of large
catastrophes? ( correct answers )
insurers may become insolvent
Oscar's custom-built vehicle looks like a sausage sandwich on wheels. He
plans to drive it to special events at schools around the country where it will
serve as a mobile billboard to promote his product. Oscar is surprised to
learn that insurers are reluctant to insure his vehicle because it fails to meet
one of the ideal characteristics of an insurable risk. Which characteristic is
Oscar's vehicle least likely to meet? ( correct answers )
large number of similar exposure units
at Greenfield insurance company, Bernadette and Rachel are corporate
UWs, and Tomas and Jose are field UWs. all of the following are
underwriting activities typically performed by corporate UWs except:
( correct answers ) support producers and insureds
winston is skimming through his new personal auto policy that just
arrived Winston discovers that every insurance policy is represented
through a collection of policy provisions. he discovers all of the policy
provisions except: ( correct answers )
exceptions
the two main sectors of the insurance ( correct answers )
industry are casualty insurance property-
loss ratio ( correct
life-health insurance answers ) incurred losses / earned premiums
Jennie recently purchased a personal auto policy from west cox insurers.
three weeks later, Jennie reported her car was stolen from her driveway
during the middle of the day. upon further investigation, claims rep harry
finds out the home address he has on file for Jennie does not match the
location where the theft occurred. which one of the following would be helpful
for harry to pursue concerning Jennie's claim? ( correct answers )
harry can verify Jennie's address and other possible helpful information by
reviewing her policy which has her original application attached
, because the insurance company usually determines the policy wording and
the insured has little to no choice but to "take it or leave it", an insurance
contract it: ( correct
answers ) contract of adhesion
destructive competition in the insurance industry could result in: ( correct
answers ) insurance shortages
Michael is a commercial lines UW. he received a risk control report on a new
business that he had recently written with Laura, one of his producers. after
reviewing the report, Michael contacted Laura to let her know that they
needed to process a policy change request adding a new classification and
some exposures to the general liability policy. these activities are occurring
during which one of the following steps of the UW process? ( correct
answers ) monitor the UW decision
earned premiums are on the income statement because they are ( correct
answers ) revenues
Sota's Superstore has recently become an insured of Keithly Insurance
Company. Kaito, Keithly's premium auditor, is being sent to conduct an
advance audit. Which one of the following tasks will Kaito do to assist
underwriting? ( correct answers )
classify the various exposures
all of the following are sources of UW information to evaluate an insurance
submission except: ( correct answers ) UW authority reports
bill is an insurance producer for and employed by ABC insurance company.
he represents only ABC when marketing insurance products, and uses an
administrative staff also employed by ABC. bill is a producer in the
( correct answers ) direct writer marketing system
A stock insurer differs from a reciprocal insurance exchange in which one of
the following
Earned ways?
premiums ( correct
are the portionanswers ) stockholders
of written ( correct
own answers
a stock )
insurer. members
premiums ownpart
that to the a reciprocal insurance
of the policy periodexchange
that apply
has already occurred
which one of these is most directly associated with a satisfied ( corre
customer? answers ) leads and referrals that can be used to ct
generate new business
Rachel is considering investing in the stock of an insurance company. which
one of the following is likely to provide the best indication of the insurer's
financial position at this point in time? ( correct answers ) balance sheet
special damages ( correct answers ) medical expenses
ANSWERS 2025
Allan insurance company is a growing regional insurer selling policies in
three states, specializing in personal auto and homeowners policies. which
one of the following is most likely true regarding allian and the policies it
sells? ( correct answers )
Allan issues more preprinted than manuscript forms
why are insurance regulators concerned about the effects of large
catastrophes? ( correct answers )
insurers may become insolvent
Oscar's custom-built vehicle looks like a sausage sandwich on wheels. He
plans to drive it to special events at schools around the country where it will
serve as a mobile billboard to promote his product. Oscar is surprised to
learn that insurers are reluctant to insure his vehicle because it fails to meet
one of the ideal characteristics of an insurable risk. Which characteristic is
Oscar's vehicle least likely to meet? ( correct answers )
large number of similar exposure units
at Greenfield insurance company, Bernadette and Rachel are corporate
UWs, and Tomas and Jose are field UWs. all of the following are
underwriting activities typically performed by corporate UWs except:
( correct answers ) support producers and insureds
winston is skimming through his new personal auto policy that just
arrived Winston discovers that every insurance policy is represented
through a collection of policy provisions. he discovers all of the policy
provisions except: ( correct answers )
exceptions
the two main sectors of the insurance ( correct answers )
industry are casualty insurance property-
loss ratio ( correct
life-health insurance answers ) incurred losses / earned premiums
Jennie recently purchased a personal auto policy from west cox insurers.
three weeks later, Jennie reported her car was stolen from her driveway
during the middle of the day. upon further investigation, claims rep harry
finds out the home address he has on file for Jennie does not match the
location where the theft occurred. which one of the following would be helpful
for harry to pursue concerning Jennie's claim? ( correct answers )
harry can verify Jennie's address and other possible helpful information by
reviewing her policy which has her original application attached
, because the insurance company usually determines the policy wording and
the insured has little to no choice but to "take it or leave it", an insurance
contract it: ( correct
answers ) contract of adhesion
destructive competition in the insurance industry could result in: ( correct
answers ) insurance shortages
Michael is a commercial lines UW. he received a risk control report on a new
business that he had recently written with Laura, one of his producers. after
reviewing the report, Michael contacted Laura to let her know that they
needed to process a policy change request adding a new classification and
some exposures to the general liability policy. these activities are occurring
during which one of the following steps of the UW process? ( correct
answers ) monitor the UW decision
earned premiums are on the income statement because they are ( correct
answers ) revenues
Sota's Superstore has recently become an insured of Keithly Insurance
Company. Kaito, Keithly's premium auditor, is being sent to conduct an
advance audit. Which one of the following tasks will Kaito do to assist
underwriting? ( correct answers )
classify the various exposures
all of the following are sources of UW information to evaluate an insurance
submission except: ( correct answers ) UW authority reports
bill is an insurance producer for and employed by ABC insurance company.
he represents only ABC when marketing insurance products, and uses an
administrative staff also employed by ABC. bill is a producer in the
( correct answers ) direct writer marketing system
A stock insurer differs from a reciprocal insurance exchange in which one of
the following
Earned ways?
premiums ( correct
are the portionanswers ) stockholders
of written ( correct
own answers
a stock )
insurer. members
premiums ownpart
that to the a reciprocal insurance
of the policy periodexchange
that apply
has already occurred
which one of these is most directly associated with a satisfied ( corre
customer? answers ) leads and referrals that can be used to ct
generate new business
Rachel is considering investing in the stock of an insurance company. which
one of the following is likely to provide the best indication of the insurer's
financial position at this point in time? ( correct answers ) balance sheet
special damages ( correct answers ) medical expenses
