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AIC 300 CLAIMS IN AN EVOLVING WORLD EXAM||
PRACTICE EXAM AND STUDY GUIDE NEWEST 2025
ACTUAL EXAM|| QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY
GRADED A+
Adam manages a claims department for an insurer. He measures the
department's performance by best practices, claims audits, customer satisfaction
data, and loss ratio. Which one of Adam's measures refers to a system of
identified internal practices that claims representatives perform to produce
superior performance?
A. Claims audits
B. Best practices
C. Loss ratio
D. Customer satisfaction data - ..(ANSWER)...B. Best practices
Best practices generally refers to a system of identified internal practices that are
shared with claims reps and produce superior performance.
DaJuan, a claims representative, sets a low case reserve for a seemingly simple
claim. A few weeks later it becomes apparent that the initial reserve was too low,
and he increases it in order to issue payments. More bills related to the claim
arrive a few months later, and he increases the reserve again. This process is
known as
Select one:
A. Readjusting.
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B. Stairstepping
C. Reopening.
D. Incremental reserving. - ..(ANSWER)...B. Stairstepping.
Correct. The process of repeatedly increasing the reserve for a claim is called
stairstepping.
Olivia is careful to keep proper claim status notes when she handles a claim. For
example, she makes sure to only include neutral, objective comments about the
parties involved. This is because claim notes
Select one:
A. Are potentially discoverable in a trial.
B. Continue for as long as the claim is open.
C. Present a chronology of the life of the claim.
D. Must be able to speak for themselves. - ..(ANSWER)...A. Are potentially
discoverable in a trial.
Correct. Are potentially discoverable in a trial. Seemingly innocuous comments
can be devastating when read to a jury.
Ciara is going to college with the goal of working as a data scientist for an insurer.
She will need a strong foundation in mathematics and statistics, computer
programming, domain knowledge, and data science. Which one of Ciara's skills
will require her to understand the insurance profession to which the data is being
applied?
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Select one:
A. Mathematics and statistics
B. Data science
C. Computer programming
D. Domain knowledge - ..(ANSWER)...Domain knowledge
...is the understanding of the discipline, profession, or activity to which the data is
being applied.
rin helps her employer, a multi-line insurer, to determine actual exposure and
premium for coverage. She does this by conducting detailed examinations of
policyholder operations, records, and accounting. Erin is a(n)
Select one:
A. Underwriter
B. Premium auditor.
C. Claims adjuster.
D. Producer. - ..(ANSWER)...Premium auditor.
Premium auditors provide inventory values, contractors' equipment lists, and
other facts that are important to the claims function.
Erik is a claims manager for Taunton Insurance. He is leading a team of property
claims representatives responding to a recent tornado in Kentucky. Before
sending the representatives into the field, Erik has decided to use Internet of
AIC 300 CLAIMS IN AN EVOLVING WORLD EXAM||
PRACTICE EXAM AND STUDY GUIDE NEWEST 2025
ACTUAL EXAM|| QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY
GRADED A+
Adam manages a claims department for an insurer. He measures the
department's performance by best practices, claims audits, customer satisfaction
data, and loss ratio. Which one of Adam's measures refers to a system of
identified internal practices that claims representatives perform to produce
superior performance?
A. Claims audits
B. Best practices
C. Loss ratio
D. Customer satisfaction data - ..(ANSWER)...B. Best practices
Best practices generally refers to a system of identified internal practices that are
shared with claims reps and produce superior performance.
DaJuan, a claims representative, sets a low case reserve for a seemingly simple
claim. A few weeks later it becomes apparent that the initial reserve was too low,
and he increases it in order to issue payments. More bills related to the claim
arrive a few months later, and he increases the reserve again. This process is
known as
Select one:
A. Readjusting.
,2|Page
B. Stairstepping
C. Reopening.
D. Incremental reserving. - ..(ANSWER)...B. Stairstepping.
Correct. The process of repeatedly increasing the reserve for a claim is called
stairstepping.
Olivia is careful to keep proper claim status notes when she handles a claim. For
example, she makes sure to only include neutral, objective comments about the
parties involved. This is because claim notes
Select one:
A. Are potentially discoverable in a trial.
B. Continue for as long as the claim is open.
C. Present a chronology of the life of the claim.
D. Must be able to speak for themselves. - ..(ANSWER)...A. Are potentially
discoverable in a trial.
Correct. Are potentially discoverable in a trial. Seemingly innocuous comments
can be devastating when read to a jury.
Ciara is going to college with the goal of working as a data scientist for an insurer.
She will need a strong foundation in mathematics and statistics, computer
programming, domain knowledge, and data science. Which one of Ciara's skills
will require her to understand the insurance profession to which the data is being
applied?
, 3|Page
Select one:
A. Mathematics and statistics
B. Data science
C. Computer programming
D. Domain knowledge - ..(ANSWER)...Domain knowledge
...is the understanding of the discipline, profession, or activity to which the data is
being applied.
rin helps her employer, a multi-line insurer, to determine actual exposure and
premium for coverage. She does this by conducting detailed examinations of
policyholder operations, records, and accounting. Erin is a(n)
Select one:
A. Underwriter
B. Premium auditor.
C. Claims adjuster.
D. Producer. - ..(ANSWER)...Premium auditor.
Premium auditors provide inventory values, contractors' equipment lists, and
other facts that are important to the claims function.
Erik is a claims manager for Taunton Insurance. He is leading a team of property
claims representatives responding to a recent tornado in Kentucky. Before
sending the representatives into the field, Erik has decided to use Internet of
