IDAHO PROPERTY AND CASUALTY INSURANCE
EXAM ACTUAL EXAM 2026
◉ Accidental Death Benefits. Answer: A policy rider that states that
the cause of death will be analyzed to determine if it complies with
the policy description of accidental death.
◉ Accidental Death Insurance. Answer: An insurance policy that
provides payment if the insured's death is the result of the accident.
◉ Accumulation Period. Answer: The time before an annuitant's
retirement during which the annuitant is making payments or
investments in an annuity.
◉ Acquired Immunodeficiency Syndrome (AIDS). Answer: An
infections and incurable disease caused by the human
immunodeficiency virus (HIV).
◉ Actual Cash Value (ACV). Answer: The required amount to pay
damages or for property loss. This amount is calculated based on the
property's current replacement value minus depreciation.
◉ Adhesion. Answer: A contract offered on a "take-it-or-leave-it"
basis by an insurer, in which the insured's only option is to either
,accept or reject the contract. Any ambiguities in the contract will be
settled in favor of the insured.
◉ Adjustable Life. Answer: Life insurance that permits changed in
the face amount, premium amount, period of protection, and the
duration of the premium payment period.
◉ Adjuster. Answer: A representative of an insurance company who
investigates and acts on behalf of the company to obtain agreements
for the amount of the insurance claim.
◉ Administrator. Answer: An individual appointed by a court as a
fiduciary to settle the financial affairs and estate of a deceased
person.
◉ Admitted (Authorized) Insurer. Answer: An insurance company
authorized and licensed to transact business in a particular state.
◉ Adult Day Care. Answer: A program for impaired adults that
attempts to meet their health, social, and functional needs in a
setting away from their homes.
◉ Adverse Selection. Answer: The tendency of risks with higher
probability of loss to purchase and maintain insurance more often
than the risks who present lower probability.
,◉ Agency. Answer: An insurance sales office or company.
◉ Agent. Answer: An individual who is licensed to sell, negotiate, or
effect insurance contracts on behalf of the insurer.
◉ Agent Appointment. Answer: The authorization of an agent to act
for or represent an insurer.
◉ Agent's Authority. Answer: Special powers granted to an agent by
his or her agency contract.
◉ Aleatory. Answer: A contract in which participating parties
exchange unequal amounts. Insurance contracts are aleatory in that
the amount the insured will pay in premiums is unequal the the
amount the insurer will pay in the event of a loss.
◉ Alien Insurer. Answer: An insurance company that is incorporated
outside the United States.
◉ Annual Statement. Answer: A detailed financial report that an
insurance company must submit every year to the insurance
department of state in which it conducts business.
, ◉ Annuity. Answer: A contract that provides income for a specified
period of years, or for life.
◉ Apparent Authority. Answer: The appearance of the assumption of
authority based on the actions, words, or deeds of the principal or
because of circumstances of the principal created.
◉ Applicant. Answer: A person making applications for, or offering
himself, herself or another to be insured under an insurance
contract.
◉ Appication. Answer: A document that provides information for
underwriting purposes. After the policy is issued, any unanswered
questions are considered waived by the insurer.
◉ Assignment. Answer: The transfer of ownership rights of a life
insurance policy from one person to another.
◉ Attained Age. Answer: The age of the insured at a determined
date.
◉ Attending Physician's Statement (APS). Answer: A statement
usually obtained from the applicant's doctor.
EXAM ACTUAL EXAM 2026
◉ Accidental Death Benefits. Answer: A policy rider that states that
the cause of death will be analyzed to determine if it complies with
the policy description of accidental death.
◉ Accidental Death Insurance. Answer: An insurance policy that
provides payment if the insured's death is the result of the accident.
◉ Accumulation Period. Answer: The time before an annuitant's
retirement during which the annuitant is making payments or
investments in an annuity.
◉ Acquired Immunodeficiency Syndrome (AIDS). Answer: An
infections and incurable disease caused by the human
immunodeficiency virus (HIV).
◉ Actual Cash Value (ACV). Answer: The required amount to pay
damages or for property loss. This amount is calculated based on the
property's current replacement value minus depreciation.
◉ Adhesion. Answer: A contract offered on a "take-it-or-leave-it"
basis by an insurer, in which the insured's only option is to either
,accept or reject the contract. Any ambiguities in the contract will be
settled in favor of the insured.
◉ Adjustable Life. Answer: Life insurance that permits changed in
the face amount, premium amount, period of protection, and the
duration of the premium payment period.
◉ Adjuster. Answer: A representative of an insurance company who
investigates and acts on behalf of the company to obtain agreements
for the amount of the insurance claim.
◉ Administrator. Answer: An individual appointed by a court as a
fiduciary to settle the financial affairs and estate of a deceased
person.
◉ Admitted (Authorized) Insurer. Answer: An insurance company
authorized and licensed to transact business in a particular state.
◉ Adult Day Care. Answer: A program for impaired adults that
attempts to meet their health, social, and functional needs in a
setting away from their homes.
◉ Adverse Selection. Answer: The tendency of risks with higher
probability of loss to purchase and maintain insurance more often
than the risks who present lower probability.
,◉ Agency. Answer: An insurance sales office or company.
◉ Agent. Answer: An individual who is licensed to sell, negotiate, or
effect insurance contracts on behalf of the insurer.
◉ Agent Appointment. Answer: The authorization of an agent to act
for or represent an insurer.
◉ Agent's Authority. Answer: Special powers granted to an agent by
his or her agency contract.
◉ Aleatory. Answer: A contract in which participating parties
exchange unequal amounts. Insurance contracts are aleatory in that
the amount the insured will pay in premiums is unequal the the
amount the insurer will pay in the event of a loss.
◉ Alien Insurer. Answer: An insurance company that is incorporated
outside the United States.
◉ Annual Statement. Answer: A detailed financial report that an
insurance company must submit every year to the insurance
department of state in which it conducts business.
, ◉ Annuity. Answer: A contract that provides income for a specified
period of years, or for life.
◉ Apparent Authority. Answer: The appearance of the assumption of
authority based on the actions, words, or deeds of the principal or
because of circumstances of the principal created.
◉ Applicant. Answer: A person making applications for, or offering
himself, herself or another to be insured under an insurance
contract.
◉ Appication. Answer: A document that provides information for
underwriting purposes. After the policy is issued, any unanswered
questions are considered waived by the insurer.
◉ Assignment. Answer: The transfer of ownership rights of a life
insurance policy from one person to another.
◉ Attained Age. Answer: The age of the insured at a determined
date.
◉ Attending Physician's Statement (APS). Answer: A statement
usually obtained from the applicant's doctor.
