AIC-M EXAM LATEST
Which one of the following insurer functions includes calculating
insurance rates, developing rating plans, estimating loss reserves, and
providing predictive modeling services? - ANSWERS-Actuarial
Organizations establish techniques that, when implemented effectively,
help to achieve their goals more efficiently than by other means. These
are commonly known as - ANSWERS-Best practices.
BRE Insurance Company has observed a significant increase in severity
in lost time workers compensation claims throughout its claims offices.
To address this issue the field claims managers for BRE have gotten
together and come up with a number of options that they believe would
address this issue. Which one of the following is true regarding its affect
on costs, employees, and overall financial results? - ANSWERS-
Segmentation used with predictive analytics would have low costs and
positively affect both employees and overall financial results.
Which one of the following is the responsibility of the underwriting
department of an insurer? - ANSWERS-Helping the insurer avoid the
problem of adverse selection
END OF
PAGE
1
, AIC-M EXAM LATEST
Mark is a claim representative who adjusts personal auto claims. If there
is a claim for a broken windshield, Mark always recommends his
favorite glass repair business because it is consistently fast and
affordable. Is this an example of a conflict of interest? - ANSWERS-No,
because the recommendation is based on the merits of the vendor.
Argot Insurance Company ("Argot") has a business continuity plan that
includes sections addressing the following topics:
An increase in employee retirement rates;
Predicted talent shortages; and
Key-executive succession planning.
Which one of the following is a justification for addressing the above
topics in Argot's business continuity plan? - ANSWERS-A lack of
strong leadership at crucial times can result in major business
interruptions.
The claim office of insurer ABC holds quarterly meetings with its staff
of claim representatives. In communicating the proper claim philosophy
to the staff, claim management should ensure that the philosophy of the
company is part of every decision and communication. Management's
communication should - ANSWERS-Support the promise to promptly
pay amounts that are due.
END OF
PAGE
2
, AIC-M EXAM LATEST
Which one of the following explains how performance management and
project management align an organization to its mission statement? -
ANSWERS-Performance management relates the organizational mission
to its goals, and connects goals to the tasks and skills needed. Project
management aligns resources with the tasks needed to fulfill the
organization's mission.
Which one of the following statements is correct with respect to state
insurance regulators' involvement in the claim handling process? -
ANSWERS-Enforcement of controls by state insurance regulators is
usually handled under the Unfair Claims Settlement Practices Act or
similar legislation.
Through the use of predictive analysis the ABC Insurance Company is
able to identify the more severe claims early in their receipt. Due to this
identification, ABC will likely be able to - ANSWERS-Reserve these
claims more accurately.
Which one of the following expresses how the mission statement usually
differs from a vision statement? - ANSWERS-A vision statement
focuses on the future, while the mission statement focuses on the
present.
END OF
PAGE
3
, AIC-M EXAM LATEST
Which one of the following explains how organizational structures
change over time? - ANSWERS-Organizational structures respond to
internal growth, profit goals, and the external environment.
Which one of the following explains why communication to employees
is critical to any organization? - ANSWERS-Communication is critical
to alignment in any organization. Communication that is a continuous
effort encouraging employee investment is similar to a targeted
marketing campaign creating awareness and affecting employee
behavior.
Which one of the following describes how the culture and management
style of an organization affects its communications? - ANSWERS-
Organizational culture determines the style of communications.
Organizations with a delegatory style of management will provide
communications that are broad and strategic, allowing employees to
create their own way of achieving goals. Directive managers will tell
others what to do. Supportive management will explain the rationale for
goals and encourage employees to pursue related endeavors.
Providing flexible work schedules is an effective way for a manager to -
ANSWERS-Meet employees' work-life balance needs.
END OF
PAGE
4
Which one of the following insurer functions includes calculating
insurance rates, developing rating plans, estimating loss reserves, and
providing predictive modeling services? - ANSWERS-Actuarial
Organizations establish techniques that, when implemented effectively,
help to achieve their goals more efficiently than by other means. These
are commonly known as - ANSWERS-Best practices.
BRE Insurance Company has observed a significant increase in severity
in lost time workers compensation claims throughout its claims offices.
To address this issue the field claims managers for BRE have gotten
together and come up with a number of options that they believe would
address this issue. Which one of the following is true regarding its affect
on costs, employees, and overall financial results? - ANSWERS-
Segmentation used with predictive analytics would have low costs and
positively affect both employees and overall financial results.
Which one of the following is the responsibility of the underwriting
department of an insurer? - ANSWERS-Helping the insurer avoid the
problem of adverse selection
END OF
PAGE
1
, AIC-M EXAM LATEST
Mark is a claim representative who adjusts personal auto claims. If there
is a claim for a broken windshield, Mark always recommends his
favorite glass repair business because it is consistently fast and
affordable. Is this an example of a conflict of interest? - ANSWERS-No,
because the recommendation is based on the merits of the vendor.
Argot Insurance Company ("Argot") has a business continuity plan that
includes sections addressing the following topics:
An increase in employee retirement rates;
Predicted talent shortages; and
Key-executive succession planning.
Which one of the following is a justification for addressing the above
topics in Argot's business continuity plan? - ANSWERS-A lack of
strong leadership at crucial times can result in major business
interruptions.
The claim office of insurer ABC holds quarterly meetings with its staff
of claim representatives. In communicating the proper claim philosophy
to the staff, claim management should ensure that the philosophy of the
company is part of every decision and communication. Management's
communication should - ANSWERS-Support the promise to promptly
pay amounts that are due.
END OF
PAGE
2
, AIC-M EXAM LATEST
Which one of the following explains how performance management and
project management align an organization to its mission statement? -
ANSWERS-Performance management relates the organizational mission
to its goals, and connects goals to the tasks and skills needed. Project
management aligns resources with the tasks needed to fulfill the
organization's mission.
Which one of the following statements is correct with respect to state
insurance regulators' involvement in the claim handling process? -
ANSWERS-Enforcement of controls by state insurance regulators is
usually handled under the Unfair Claims Settlement Practices Act or
similar legislation.
Through the use of predictive analysis the ABC Insurance Company is
able to identify the more severe claims early in their receipt. Due to this
identification, ABC will likely be able to - ANSWERS-Reserve these
claims more accurately.
Which one of the following expresses how the mission statement usually
differs from a vision statement? - ANSWERS-A vision statement
focuses on the future, while the mission statement focuses on the
present.
END OF
PAGE
3
, AIC-M EXAM LATEST
Which one of the following explains how organizational structures
change over time? - ANSWERS-Organizational structures respond to
internal growth, profit goals, and the external environment.
Which one of the following explains why communication to employees
is critical to any organization? - ANSWERS-Communication is critical
to alignment in any organization. Communication that is a continuous
effort encouraging employee investment is similar to a targeted
marketing campaign creating awareness and affecting employee
behavior.
Which one of the following describes how the culture and management
style of an organization affects its communications? - ANSWERS-
Organizational culture determines the style of communications.
Organizations with a delegatory style of management will provide
communications that are broad and strategic, allowing employees to
create their own way of achieving goals. Directive managers will tell
others what to do. Supportive management will explain the rationale for
goals and encourage employees to pursue related endeavors.
Providing flexible work schedules is an effective way for a manager to -
ANSWERS-Meet employees' work-life balance needs.
END OF
PAGE
4
